Steps to reproduce the bug: Leave the camera positioned on your avatar and zoom in/out (using the mousewheel). Click on your av to rotate the camera (and av) around.
Observed results: The nametag scales smoothly. Now focus the cam somewhere else (on/off av) and zoom in/out. The nametag no longer scales smoothly but bounces/shakes/jitters at each zoom level.
Expected results: Nametags should scale smoothly no matter where the camera is focused.