Again something is not right with the setup the speakers are accurate but hardly bright or non musical. What did the dealer say about the setup? Were they thrilled with it or where they saying we just got these in do you want to check them out and perhaps they were not finished with the setup or the speakers weren't fully broken in?
The other possibility is that this dealer just doesn't know how to setup a good system. I have seen it before in many dealerships. I am not saying that we are necessarily better, but lets face facts just because you can put out an expensive system doesn't mean you have the experience to make a great sounding one.
I have seen dealers with sound rooms without a lick of acoustical treatments, with sound rooms that had slap echo, no power conditioners, stock power cords, wrong or inexpensive cabling, no vibration control etc.
I will also say that your Krell Resolution speakers are a bit dull in the top end, I am not saying the speakers aren't good, I have heard them and many other speakers with the ring radiator tweeter and although the tweeter is rated to go to 20k and above they don't sound that way they sound way more recessed than the current generation of metal tweeters.
So one person's musical is another persons dull.
Anyone who thinks that Paradigm one of North America's biggest and most successful companies can't make a world class speaker is smoking something.
If the sound isn't to your liking I can understand that, however, if I was getting the same results like you were getting in your demo I wouldn't jump to such hasty conclusions, but question what is going on with the setup, and were the speakers broken in?
