How to reproduce
- Create LTI course element
- Configure to open in new window
- Publish and run
=> opens new window, but content displays in iframe
The idea of this option is to support tools that can not run in frames/iframes. The current implementation does not solve this problem, thus it is considered as a bug.
Note that there is some magic code that opens the LTI content in a new window when the protocol does not match (OO with HTTPS, LTI tool with HTTP)! Thus, testing this might look as if it worked.