Noticed this issue inTimberline Falls. The game appears to start the depth of field Z distance too close to the camera. This happens when you cross certain invisible boundaries.
A: Normal gfx render:
http://imageshack.us/a/img842/204/gw143p.jpg
B: Two steps forward into issue area, note blur on character. Camera distance remains the same:
http://imageshack.us/a/img411/3668/gw142w.jpg
Current gfx settings:
http://imageshack.us/a/img9/8012/gw147t.jpg
Amd quad 2.4ghz, nvidia 9800gt, win7, 4gb ram.
Edit:
Note the same two positions as in the first images, but with camera zoomed in close. The blur issue does not occur on the character model.
Position A
http://imageshack.us/a/img401/2549/gw145f.jpg
Position B
http://imageshack.us/a/img248/8708/gw146y.jpg