This question already has an answer here:
I recently built a filter panel similar to the one left of Amazon.com search results.
My panel is different in that it can be collapsed out of the way to free up room for the results (see below)
I felt that the first letter of the title should basically remain in the same place as a user clicks to expand / collapse the panel so I went with option A but another developer thinks option B looks better.
I can't find anything official so I thought I'd ask here.