I want to make sure objects resulting from the AreaOnAreaOverlayer are wider than 5 cm. For this I use a Tolerance value of 5 cm. In some situations however, it moves the border of objects more than that value (around 20 cm) where I would expect it would just create an object of 20 cm wide. I'm using FME 2021.1 build 21619. See the attached template for the data, the situation occurs near the red arrow:




On another note, I'm not sure what your overall goal is, but the Dissolver transformer might be a good alternative to avoid the thin features all together.