Has anyone seen this issue before?  I am able to press it back to gether with my fingers but when it takes off and hovers for awhile the gap willl return. Obviously it is unsafe to fly in this condition, but I have never seen anyone else report this issue. I have a P3P with new style motors.

Yeah, send it in for warranty repair. That should not happen.

Hello , I'd suggest you to send some picture of this issue to support@dji.com and we will work on your case then.