Ah, there was actually a bug in the On Advanced Overlap code! That's why it wasn't working as expected at first... the fix will be in the next build, which will be 0.97.2, which won't be as long as the last build hopefully.
Now your event, if you leave as-is, will always pick A, which picks the B in its container as well. That's going to make any events referring to B refer to the B in the same container as A.
You can work around this by splitting up your event. With my fix applied ( ) the following works successfully as I think you want: the overlapping A/B objects rotate.
+ A (pick) and B (don't pick) overlap
-> A: rotate 10 degrees
+ A (don't pick) and B (pick) overlap
-> B: rotate 10 degrees
If you do it in one event, B refers to the one in the container as the picked A. By using separate events, you can pluck out just the one instance that is overlapping and get around the containers that way. That should satisfy your needs... I hope!