I read this as saying that pedestrians don't ALWAYS have the right of way, and that they can jaywalk.
meggo, while there is no term "jaywalking" or "j-walking", I can see where they say "entered the crosswalk" and "uncontrolled intersection", but I think danny might be talking about crossing in the midpoint between two intersections without even looking out for traffic. In summary, I agree with you.