Thanks for replying. I had already read that entry on wikipedia as well as many other documents pertaining to private networks.
Unfortunately, none of this answers my question.
Is checking "Block private networks" a good idea simply because there is a remote possibility that another machine/device out there on the WAN would be using the exact same IP address as a device on my LAN?
-bryan
Yes and no.
Some ISP block this and others don't. Since the ISP usually won't give you a straight answer on that kind of question, it's just safer to block them. There should be no such thing as a device on 192.168.1.1 existing in the WAN cloud, but it is possible by merely setting your WAN as such.
It serves no purpose to set your device to 192.168.1.1 because it won't be able to route anywhere, but otherwise, the first dummy who plugs in his Netgear router backwards into the WAN might confuse the other devices that expect 192.168.1.X to exist on the LAN, but it's seeing it on the WAN for some reason.
Most ISP should block this, but a lot don't surprisingly.