I would make a video of the whole process unfortunately I cannot upload enough here. So if you want me to provide the video of this Game Breaker bug I will gladly give you proof and a video to go with it (I shadow play my logins to try to help you fix your game). You've got my email if you want the video I will supply it.
Prior to this last patch 2/7/2014 I had absolutely no issues with my character on ANY server. And I play with a couple different groups of friends and I server hop quite a bit to get to them - never an issue. I dont mind waiting the 300 seconds as long as I can continue where I left off. I never log out near a zombie infested town its always in a secure location far out of the zombie spawn s. I have never had to wait to LOG OUT so could my game be bugged? I have heard of people waiting to log out but I have not seen it yet on my client.