An example is to take Protection, add Sustained to make it a free action to activate and maintain. Then try to add Reaction. The reaction adds as +3PP/rank. I think it happens to any power that starts as permanent. Note that in the protection example the reaction is grayed out and says the 'Power must use a Free Action or Standard Action'. I guess the issue is that a power modified to Free Action by Sustained is not actually registering as a Free Action power.
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