I hit this bug, read the previous messages, and wondered why it had not been fixed in so long. I resolved to fix it myself, and spent some time reading the code.
But then I was diverted to other tasks, and when I returned to the bug a week later, it suddenly dawned on me why it was not a bug. When grub-install uses its varous tools to survey the disk and make proper boot stanzas, it tries as much as possible to figure out how the other OS's want to be booted and place that information in its boot stanzas. And the copied OS plainly states how it wants to be booted in its copied boot stanzas -- namely, exactly like the originally uncopied OS, so in the newly created boot stanza, that's exactly what it gets -- a copy of the copy of the original stanza. So that's what we get. And to fix it we have to make sure that the copied system is altered to refer to itself, just as its /etc/fstab is altered to refer to itself. -- hendrik