The paragraph spacing bug is also visible in the re-typeset book utp_book-1.1.pdf (page 90). The original book does have vertical space before the quote (page 110).
The sentence "Use the .QP macro inside a .QS/.QE block to break up paragraphs." on this page does IMHO has a typo--.LP or .PP should be used instead of .QP. Carsten
