First: If you tick the box in world object handler (which is a "loot target provider" for DemonBuddy in technical terms), it will send EVERY lootable-item within loot-radius-range to DemonBuddy as a valid target. Without ticking this, world object handler first sends the items to DemonBuddy's rule-check code, forcing it to load the rules up and check every item against every item rule for matches, and then passes those that meet the currently loaded item pickup rules to DemonBuddy as valid targets.
Next up: Stash Replacer can now handle filtering what items to pickup or ignore since it now has custom item pickup code... and so PICKUP rules in rules files can be left out of the .xml files (I attached loot-rules for people to use with a pickup rule that picks EVERYTHING up by just matching a single wildcard character, as a just-incase-the-plugin-fails). The tickboxes in the config window to select minimum quality level or item level will now be the filters.
Custom loot rules: You *CAN* still use custom loot-rules if you want. That's what the "None" options are for in the selection boxes in the config. So if you have loot-rules that have pickup rules for ilvl 54+ rares, then you would select "None" for the item level filter in the config - your loot-rules will be used instead. (BUT make sure you AREN'T telling world object handler to ignore loot-rules if you want custom loot rules).
Salvage & Sell rules still apply and still get used, for now at least. (they may disappear in time too if I feel the need to do away with everything in the loot-rules files, which I might!).
This might all seem a little strange at first, since it's totally against how DemonBuddy has always worked - which is why it might seem a little complicated even - but it's really very simple at it's base, just takes a little getting used to I think!