He confronted Fognini at the net in a lengthy exchange in which he accused the Italian of making a noise to put him off when he was playing a shot.
Fognini raced through the breaker to finally secure victory after more than three hours on court.
Ruthless Roger Federer claimed victory in his opener with a straight-sets win over Spain's Albert Ramos-Vinolas.
"Serve was solid. I was hitting my spots and really was never in trouble there".
"I think it's the first time I served for a match twice and not won".
American John Isner beat Lucas Pouille of France 7-5, 6-3 and American Taylor Fritz fell to seventh-seeded Karen Khachanov of Russian Federation 6-2, 6-4.
The performance itself gave more than enough talking points, with Murray raising his level again to push a player ranked 12 in the world all the way before slipping to a 7-6 (4), 2-6, 7-6 (2) defeat.
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Zarda , said the employer's firing of parachute instructor Daniel Zarda for acknowledging he was gay did violate Title VII. Add Supreme Court as an interest to stay up to date on the latest Supreme Court news, video, and analysis from ABC News.
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It really was only a matter of time until Cleveland Browns quarterback Baker Mayfield aimed his well-known penchant for shade at free agent wide receiver Antonio Brown .
"The sound came from him, which you're not allowed to do, it's against the rules, it's hindrance, you shouldn't do it".
Medvedev could meet Djokovic in the semi-finals of Shanghai, which would be their first meeting since the world number one lost to him in Cincinnati in August.
"I focused and had good energy, because sometimes, you know, when you travel around the globe, you're missing a bit of energy", Federer said (h/t ESPN). Federer took the early initiative in the match and build on the pressure over his less experienced opponent.
Murray had two chances to serve out for the biggest win of his comeback - at 5-4 and 6-5 in the decider - but was unable to take either opportunity. Murray led 4-2 in the opening set, but couldn't pull home against a fired-up Fognini, who broke in the seventh game before clinching the tie-break.
Murray has consistently said his hip is pain-free but that he does not have the fitness to play several matches a week and needs to be quicker across the court.
"The quality from both of us was exceptional at times", said Australian, who credited new members of her backroom team and a better physical and mental outlook for the improvements she has made over the past 18 months.