if i am not wrong, This is not a issue, what are you facing is default keyboard shortcut settings turned on cause of improper termination of application,
default Free Transform tool shortcut key is : E
default Character tool shortcut key is : Ctrl+T
Changing the default or creating new keyboard shortcuts in Illustrator is easy.
Edit > Keyboard Shortcuts
Illustrator has two types of text objects: Point Type and Area Type. Point Type is used most often for random text objects that appear in your document and aren't bound by any shape or frame. Area Type is used for larger blocks of text, where words flow from one line to the next and are encompassed within a shape or a frame.
Point Type has no frame or shape that holds it. Therefore, scaling Point Type will always result in the text becoming distorted -- after all, you are scaling the text
if you use the Selection tool to scale an Area Type object, the object itself will scale, but the text within the object will not scale, only re flow to fit within the new shape
i grabbed this images and some lines from : Creative pro make illustrator behave
Hope this will help....