When the window is narrow enough the navigation drops down below the logo, but in IE7 it doesn't land in its exact position and it jumps up on hover, then to the right on mouse out http://www.bioklinik-salon.hr/o_nama
How do I fix this?
It's a "haslayout" issue in IE7 and IE8 needs some help too.
In your IE.css on line 160 you will find the div that the menu is nested in. Add a float to the rules.