Ugh, yes, terrible.
I have personally seen some Morgans and Saddlebreds with hooves like that. Since their walls are strong, they can be encouraged to grow quite tall and conical, causing the heels to contract which allows the bars to grow tall inside the hoof and the sole to compress and be retained as well.
In other cases, I have seen this type of hoof happen more naturally, and people thinking that because the sole goes all the way to the ground, that this means the hoof has been trimmed down as much as it can be. Donkeys in particular are prone to getting very tall hooves that sometimes will keep standing up instead of curling, putting them up on stilts.
I can't imagine how the poor animals' tendons can cope.
I've had other people say my horses' hooves are too short, or too long, just looking at the outward appearance. Yet some of it has to do with the size of the bones in the horse's leg. My TB has small bones in his hooves, so when his hoof capsule is tight and not flared, and his hoof trimmed well, his hooves look very small and short. Yet this is healthier for him than trying to make him have a larger hoof by allowing it to flare or have longer walls.
My Arab has large bones, so her hooves look larger, even when they also are trimmed down. Some have thought they were overgrown because they looked large, but again it is important to see if the capsule is tight, the frog and heels are meeting the ground surface, and the toes are not run forward.