Instead of using the plugin to provide the form, I tried entering the form code directly into the page. Then, I get a leading <p> inserted before each label or textarea.
For instance, I enter the following when I edit the page...
<div class="contactleft"><label for="wpcf_your_name">Your Name: </label></div>
But when I visit the page, the code looks like...
<div class="contactleft"><label for="wpcf_email">Your Email:</label></div>
I get the feeling that wp 2.1 is trying to help by reformatting the xhtml for me, but it ain't working out. (And I did turn off "WordPress should correct invalidly nested XHTML automatically")
Any thoughts? Is there a way to make wordpress spit out the page untouched?