2. Functionality slowly deteriorates (e.g. when selecting a playlist nothing shows, selecting the hyper-link from a song to see an artists other songs shows nothing, play/pause/next song buttons stop working and songs continue playing, can't select songs, etc.)
3. Exit Spotify (sometimes song continue playing)
4. Check Task Manager and see that 7 instances of Spotify are running as background processes (see attachment 1)
5. Try opening Spotify and get "The Spotify application is not responding." (see attachment 2)
6. Manually go through and End task in the Task Manager for each instance of Spotify
7. Reopen Spotify and it functions normally
Note this problem happens everyday, and result in me not using Spotify as much as I would.
Just like explained there by CarlosE, turning off the local files and its source folders from the settings and restarting spotify fixed it. I could also turn them back on and spotify still properly closes and starts. So basic but sooo satisfying. Hope it works for you 🙂