Here's a simpler work around. I really didn't want to go and add a custom template everywhere. Also, this only seems to affect IE and not Chrome or any other browser.
$(document).ready(function () {
// Work to lock editing cells
$("form").submit(function () {
// If we have anything that is being edited
if ($("td.k-edit-cell").length > 0) {
// Grab the active element per Kendo
var activeElement = kendo._activeElement();
// If that element is defined and is not the document body
if ((activeElement) && (activeElement.nodeName.toLowerCase() !== "body")) {
// Blur it manually, and also close the cell.
$(activeElement).blur();
$("#grid").data("kendoGrid").closeCell()
}
}
});
});