HTML Testcase for W3 validator

Hi,

I often use the W3 validator for HTML and CSS, and think it's great. I
hope to be in a position to make a donation very soon.

Today though I had a problem that it didn't detect.

There seemed to be far too big a gap between two paragraphs, which
took me some time to work out as it passed the w3 validator.

It was a typo, due to a full stop being placed after a </p> tag.

I've included a test case that highlights the problem.

I think it could be a common problem for others too.

I have two questions:

  1) Is it valid HTML?

  2) If it is valid, could this still be a warning added to the w3 validator?

Thanks,

Mike