Sequoia and Archive Utility

I just upgraded my M1 iMac from Sonoma to Sequoia. Archive Utility now stops expanding whatever content you are trying to open. I can only get it to work by rebooting. However, that is only good for a single use; it locks up again when trying to expand another folder. I guess it doesn't technically lock up, as the computer does not give me the spinning pinwheel of death but sits there trying to expand the folder but never does.

Edit: I copied the zip folder to my Dropbox and unzipped it on my PC. I then tried copying the unzipped content from the Dropbox folder back to my Desktop folder on the Mac. Now, it's just sitting there trying to copy and paste the file contents (1.2MB) from one folder to the next, both of which are technically on the same hard drive. Perhaps this is a Finder issue, not an Archive Utility issue specifically.