I am trying a fix of my own real quick then I will get to yours. B. You mean cut it in on the LP for the bake then remove it after? (Little confused on what you meant) Your side note, mainly because this bake is really getting to me and I want to get it right. I will fix it though. Should be easy enough.
This is likely a case of: A. Your low not matching up well enough to your high - http://www.polycount.com/forum/showpost.php?p=1375489&postcount=126 or B. Your cage projecting at such an angle that your map is getting traced up the side, cutting some supporting geometry here will help -…