Can you explain in more detail what you mean with: “I even tried signing out of axcrypt and it is still decrypted“?
It would be great with a screen shot showing how you open the encrypted file even though AxCrypt is signed out. My guess is that it’s some form of misunderstanding about the mechanisms, or that the file is open in the application, and AxCrypt can’t remove the temporary decrypted copy because of that.