This issue may be a side-effect of Bug 90086: https://bugs.documentfoundation.org/show_bug.cgi?id=90086
When a heading follows a bulleted list, applying "Continue previous numbering" changes the heading to a bulleted list; not exactly the correct result.
It should continue previous ***numbering***.
An example document (which results from a docx -> odt conversion done by LO writer 126.96.36.199) is available here: https://drive.google.com/file/d/0B6XxNd5c3zV_MndtZ0d5RnRfVlU/view?usp=sharing
*** This bug has been marked as a duplicate of bug 90832 ***