== Why is this an issue?

React components should not be nested, as their state will be lost on each re-render of their parent component, possibly introducing bugs. This will also impact performance as child components will be recreated unnecessarily.

If the goal is to have the state reset, use a https://react.dev/learn/preserving-and-resetting-state#option-2-resetting-state-with-a-key[`key`] instead of relying on a parent state.

[source,javascript]
----
function Component() {
  function NestedComponent() { // Noncompliant: NestedComponent should be moved outside Component
    return <div />;
  }

  return (
    <div>
      <NestedComponent />
    </div>
  );
}
----

[source,javascript]
----
function Component() {
  return (
    <div>
      <OtherComponent footer={ () => <div /> } /> { /* Noncompliant: Component is created inside prop */ }
    </div>
  );
}
----

[source,javascript]
----
class Component extends React.Component {
  render() {
    function UnstableNestedComponent() { // Noncompliant: NestedComponent should be moved outside Component
      return <div />;
    }

    return (
      <div>
        <UnstableNestedComponent />
      </div>
    );
  }
}
----

You should refactor your code to define a component independently, passing props if needed.

[source,javascript]
----
function OutsideComponent(props) {
  return <div />;
}

function Component() {
  return (
    <div>
      <OutsideComponent />
    </div>
  );
}
----

[source,javascript]
----
function Component() {
  return <OtherComponent footer={ <div /> } />;
}
----

[source,javascript]
----
class Component extends React.Component {
  render() {
    return (
      <div>
        <OtherComponent />
      </div>
    );
  }
}
----

Component creation is allowed inside component props only if prop name starts with `render`. Make sure you are calling the prop in the receiving component and not using it as an element.

[source,javascript]
----
function OtherComponent(props) {
  return <div>{props.renderFooter()}</div>;
}

function Component() {
  return (
    <div>
      <OtherComponent renderFooter={() => <div />} />
    </div>
  );
}
----

== Resources

* https://reactjs.org/docs/reconciliation.html#elements-of-different-types[React Documentation - Elements Of Different Types]
* https://react.dev/learn/preserving-and-resetting-state#option-2-resetting-state-with-a-key[React Documentation - Resetting state with a key]