While I was playing around with the new Observer block (or BUD block), I wanted to see what would happen when you slept in a bed. I placed down the Observer block (I have tried in all directions and the bug still occurs) and ran some redstone out of it. I placed down the bed, however the bed broke in half. The unusual part is that this only happens when there is redstone coming from the Observer block. This half part of bed is able to be used, you can sleep in it however if it gets updated then it will be destroyed. I hope this is fixed for the upcoming feature.
Thanks