I agree, this doesn't make sense. Also how can you place the item when there is no space to put it? If you want to mimic reality you should: 1) drag and drop outside of the list the item you want to move putsode the list 2) drag and drop the item in the place you want to put your selection 3) place your pick in the empty space 4) quietly discard the item you dislodged 5) wait for people to point out you are now missing one item 6) drag and drop the person under the carpet 7) repeat until no criticism