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Currently we are handling REST APIs individually in different pages , e.g. git status page is rendering errorResponse.message as a string on the right pane and destroys the editor. The behavior is not really user friendly and the message is not very human readable.
status.js has some initial code here but I don't think it is currently hooked up (most code isn't calling it).
Closing as part of a mass clean up of inactive bugs. Please reopen if this problem still occurs or is relevant to you. For more details see: https://dev.eclipse.org/mhonarc/lists/orion-dev/msg03444.html