colorbox display does not load for an image in a nested content type display

Hi
I am using colorbox to display an image for several content types.
In structure > content types > content type , there seems to be a problem when nesting an image field in the display (see attached screenshots). Nesting caused the colorbox not to work for me.

It took me quite a while to figure out why the colorbox style was not working for that image field. I've un-nested it in the manage display and everything works fine now.
Fyi, there were no watchdog errors.