I'm playing the computer version and whenever I try to make a potion via alchemy it won't let me and says something like "you must type your name" or something. The only way it lets me make potions is if I fill out the name bar. I have to name my potions like "Restore Fatiguerrrrrrrrrrrrrr" because it wont let me even attempt making it without the name bar being full. Is this WAD or a bug?

It's a bug. Get the Morrowind Code Patch which fixes this among many other things.

http://www.tesnexus.com/downloads/file.php?id=19510 will fix that and many other annoying things.