Outlook 2007 Grammar Check Issue

[JL-HallD]

I am having a strange issue with Grammar Check feature in Oulook 2007

I am running a clean install of office 2007 Professional with SP1

on a PC that is running Windows XP Professsional with SP2 installed

The issue -

Under Tools > Options > Spelling,

the box for "Ignore original message text in reply or forwards"

IS checked - it is working as designed for spell check,

but the grammar check does not stop at the end of the newly entered text -

the grammar of the entire document is being checked including the original text -

I've tried re-installing Office already,

I've tried un-checking and then re-checking the option above,

and I'm having trouble finding anything in Microsoft's KB

Any suggestions on how to fix this?

Attached are screenshots of the spelling tab in options

and of the Proofing Tab under autocorrect options