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It's almost certainly a low quality OCR image scan of ink on paper (probably with an ancient version of ABBYY - probably pirated), that was saved as a PDF.
Professionally created PDFs using Acrobat, DTP (InDesign, even Quark), or WP (MS Word, LO Writer, WordPerfect) don't break paragraphs like that.
One way to deal with it, is to convert to txt, open with a decent text editor (e.g. Vim, Text Pad, Notepad++) and correct using regex. Then open the corrected text file in one of the WP apps mentioned above, style front-matter, headings, bibliography etc as appropriate and save as DOCX and get calibre to convert that to EPUB.
If you use Wordperfect you can save as EPUB directly, which does a better job of mapping its styling to the EPUB CCS.
There are also useful addins for Word - EPUB Tools (it is in the MR Workshop forum), and Transtools, which has an excellent Unbreaker tool.
BR
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