Distribution Agent is blocking users on Subscriber while replicating INSERT, UPDATE, and DELETE statements.

In the middle of a huge phased migration from SQL 2000 to SQL 2008 we noticed the SQL 2008 publisher\distributor was causing blocking when replicating data changes to the SQL 2000 subscriber. We discovered the SQL Server 2005\2008\2012 Distribution Agent was configured to replicate as native SQL commands instead of default parameterized stored procedures.  This
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