Ignoring meta http-equiv for application/xhtml+xml

Hi,
I'm trying to understand the validator's logic for ignoring the
http-equiv charset declaration in documents delivered as
application/xhtml+xml.

I get an encoding of UTF-8 when validating this file:
http://NikitaTheSpider.com/boneyard/temp/meta-test-xhtml-as-xml.xhtml

And ISO-8859-5 when validating this file:
http://NikitaTheSpider.com/boneyard/temp/meta-test-xhtml-as-html.html

They're the same except for the media type. The former is delivered as
application/xhtml+xml, the latter as text/html. In neither case is the
encoding declared in the HTTP header, but both files contain an XHTML
doctype and a META http-equiv statement that declares the encoding to
be ISO-8859-5.

Is this logic based on the last paragraph in section 3.3 here?
http://www.w3.org/TR/xhtml-media-types/#application-xml

Thanks

-- 
Philip
http://NikitaTheSpider.com/
Whole-site HTML validation, link checking and more