Can Click to Drag Custom Form Field But Cannot Drop When Designing in Outlook 2007

Outlook version
Outlook 2007
Email Account
Office 365 Exchange
I went in design mode to an existing custom Task form I had created and my organization has been using successfully from a shared Task folder for about a year now. I need to add a new text box and label to the form. After I created each, I clicked them to adjust their position on the screen by dragging them. I am able to click, for example, the new text box (cursor changes to the cross/+ indicating you have selected something and dotted lines appear around the field I've begun to drag). I am able to move that around the screen but when I release the left mouse button, it won't drop. It remains as if I still have the left button pressed.

Then, when I drag somewhere outside the custom form, Outlook crashes and attempts to close the form. I get the message "You placed a large amount of data on the Clipboard. Do you want these data to be available to Microsoft Office Outlook or other programs after you close this window?" Yet I'm never able to click either Yes or No because I cannot activate that message box. I just get the hourglass. I have to use Task Manager to kill Outlook. One time when I did that, I did get to an Outlook dialog box that said "Unspecified Error", yet I couldn't activate and click out of that one either.

I've tried different mice, rebooted, cleared cache, use Esc with mouse clicks, but none of those things work.

Any guidance would be appreciated. Thank you!