Here is what I could find on this but I sware there was another earlier patch note that I'm missing:
May 8, 2002 (Why it won't work on EQMac)
Quote:
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A character can no longer trade with an NPC when invisible. Character must turn visible before starting the trade.
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April 8, 2003
Quote:
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When under the effects of invisibility, a character that hides and then moves and breaks their hide also breaks their invisibility. The invisibility icon will now disappear under this circumstance so that the player knows he is no longer invisible.
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This kind of explains this post here:
Quote:
Also, one bug you can add to invis/hide stacking is if you are invis, and then hide.
While invis is active and you are hidden at the same time, the mobs will both con indifferent and not attack you--normal behavior.
However, if you stay hidden/invised, and then your invis drops, the mobs will still con indifferent, but they will aggro you as if you are in invis.
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Looks like before this patch the invisibility buff would not disappear but the player would no longer be invisible when Hide dropped.
Probably worked the same way if your invis dropped but you still had Hide on. It would not show Hide failing/dropping but you would be visible to NPCs because of the invis wearing off.