The line breaks are showing up. However, each time I click 'edit' (the full editor), then click 'submit modified post', the topic template system adds an extra <br> for every line break there is in a text area. Example:
No matter what I do, I cannot seem to un check the "HTML" checkbox in the Views setting of a template. So, if I go to change the Views of Template A, and I un check the "HTML" checkbox (and OK the warning that pops up in my browser, telling me that all HTML will be lost, and converted to BBCode), then click "Finish"... It still forces the HTML when I check the Views settings again.
The reason that I do not want the HTML is because I believe this is the reason why the topic templates do not allow line breaks in fields. For example, if I type:
I tested out the 3.2 version, and it works awesomely. However, there is one little glitch: The "Mark as read" button doesn't appear on the hover card for topics that have replies. It appears for single-post threads, though. :)