eol vs paragraph

When pasting text into a knowit note from various sources (text file, xterm screen, gedit, etc) the Editor option, "'Enter' ends 
current line, not paragraph" has no effect. I always get paragraphs <p> inserted where there should be an end of line no mater what 
the setting. I then have to delete all the paragraphs and type an enter get the desired result. Is there a way to prevent this behavior?

Thanks for a great program,
Kevin


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