Should this perhaps be specified as melee only? I believe that's how it's applied, right? And while I'm asking things about this... What about spell/ranged/aura damage that is inflicted upon you by adjacent enemies? I will start delving into the SVN myself eventually, if only to try and follow up curiosities or narrow down bugs before posting rather than actually doing any modding (I'll leave that to those more capable), but this seemed like something worth pointing out.

Regards,
- Matthew