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LDD uses exact numbers, where as in real life ABS and polycarbonate have some give or flexibility that a computer program can't factor in. There are many documents about LEGO part stress that explain what a "legal" vs "illegal" build is. Any illegal build will not work in LDD. I break the rules all the time too, but LDD is looking at it from a pure math ...

I believe that the issue here stems from the fact that Technic bricks and System bricks are not 100% compatible. Here's a slide from a great presentation which explains the details: This difference is barely noticable when building, especially in your scenario because the hinge adds some additional play, but I believe that LDD won't allow these to connect ...

Interesting... I just tried this myself (with real bricks) and the two parts definitely snap together nicely. No stress or anything. I'm wondering if the issue is the 1x2 plate. Maybe LDD can't deal with a hinged part having to snap into two places at once. What about if you remove the bottom 1x2 yellow plate? Would it snap in then? In that case perhaps ...