Return of Reckoning

Hello, I just started playing and don't understand why targets won't disengage after looting or interacting. Example i kill an enemy, right click to loot, the target should then disengage automatically or if i move a certain distance away. But It doesn't, I'm stuck with the objects nameplate/reticule until I press escape to disengage. Whats going on here?

Turn off sticky targeting in menu.