Visual Studio Code: Azure Extension Pack error "Expected value to be neither null nor undefined"

This post presents a solution to the following error displayed in Visual Studio Code when using the Azure Tools Extension Pack:

Internal error: Expected value to be neither null nor undefined: resourceGroup for grouping item

The Azure Tools Extension Pack (Azure Tools) is critical to Azure developers who use Visual Studio Code (see the A below):

When signed in to a subscription, the Azure Tools Extension displays Azure resources by default, grouped by resource group. For some subscriptions (not all) the following error is displayed by Visual Studio Code when group by is set to "Group by Resource Group":

The fix to this issue is to click on the group by icon:

This displays the following context menu:

From the context menu, select the menu item "Group by Resource Type." This has change causes the error to no longer be raised. For subscriptions experiencing this error, there seems to be no way to select the Group By menu item "Group by Resource Group" without generating an error.