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Gitju, I don't like being called a flunkie thanks, like you I am a grad student and I happen to work in a Chapters to help pay the bills and make ends meet so that I can go to school. Most everyone working there is in fact university educated at the least or finishing high school to go to undergrad so don't assume that those people are idiots or flunkies they might be smarter than you.
As for the device it's brand new and staff only have the information they have been given about it including that it does highlighting, many haven't had mentioned to them that they can only highlight kobo books currently and so they genuinely think that they are giving the right answer.
Kobo has said they will probably make the dictionary and highlighting work on everything they can in a future patch. For most people it isn't an issue because they are using it for reading in one direction such as novels not for research or academic reading. As for scanned pdfs, texts, etc. I feel I should mention that although some of that is legal (i.e. journal articles from pdf to epub) grabbing whole text books or large portions of them instead of buying them is illegal. I know most people don't care but I am a stickler for that kind of thing.
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