it looks like this is a projct 7 issue.
something in the tab panels magic code is forcing the tabs along the top to use all of the availabel height in the content div.
perhaps try editing the p7tp_10.css file.
change:
.p7TP_tabs div {
display: block;
float: left;
margin: 0 -1px 0 0;
}
to:
.p7TP_tabs div {
display: block;
float: left;
margin: 0 -1px 0 0;
height: 26px;
}
I cant guarantee that will work though, the height may be dynamically set through the javascript.
I would contact Project 7 if this does not do the trick.