I agree it's incredible, but basically RIM fired 95% of the BBOS developers and had the QNX staff designing things they had no experience with, e.g. email, with little oversight from the few remaining BBOS devs. Ergo, they flubbed a variety of things, like basic RFC2822 email formatting errors and so on.
Luckily the most egregious of those errors have since been corrected over the last 1.75 years, but there are some omissions that remain. The Contacts app is one of the worst of those - clearly the devs had never designed any PDA apps before. At this point the only solution would seem to be completely abandoning the current codebase and starting over from scratch. I refuse to sync BB10 contacts with any other online/cloud entity (or even Outlook) unless I want a complete debacle on my hands.
That said, I'm actually considering a Classic as a secondary device to replace my current secondary device, especially since my carrier never offered the Passport. I'm still a sucker for a BlackBerry. :D