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I had the same issue. When a user signed up on my site (CB 1.2 RC3) it said: cookies session expired. The turns out that my "URL for first login visit" was causing it.
It was:
/index.php?option=com_comprofiler&Itemid=26&task=userDetails
I then changed it to:
mydomain.com/index.php?option=com_comprofiler&Itemid=26&task=userDetails
And problem solved.
-Matt
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