I have been having a similar issue. When I checked -dwgunits, the drawing I wanted to insert the block into was set to inches and the block was set to feet. When I set both to feet, the block inserted properly when inserted by the insert block command, but not by dragging it off the tool palette. The block was/is a jointpole, just a circle and text (JP) and was created many versions ago, nothing fancy. The text came in the right size, but the circle was HUGE. Obviously I am still missing something, but I don't know what it is. Any ideas????
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