Can't use Open dialog box to open an EFS file in Windows 10

Consider the following scenario:

• On a Windows 10-based computer, you protect a file by using Encrypting File System (EFS). To do this, follow these steps:
   
  1. Right-click the file in File Explorer, and then select Properties.
  2. On the General tab, select the Advanced button.
  3. Select the Encrypt contents to secure data option, and then select OK.
• You start an application and try to use the Open dialog to open the file. For example, you start WordPad and try to open the file by select File -> Open.

In this scenario, you cannot open the file.

To work around this issue, use one of these methods:

• In File Explorer or the Desktop, double click the EFS-encrypted file or right-click the file, and then choose Open with to open the file.
• Remove EFS protection. To do this, right-click the file, and then select Properties -> General -> Advance. Uncheck the Encrypt contents to secure data check box.

This is a known Windows Information Protection issue.