RESOLUTION:
1. In Toad go to View | Toad Options | Editor | Behavior.
2. Under Languages, select PL/SQL and select the "Edit" button.
3. In the Language Management menu, select the "Rules" tab.
4. In the rule names list, select "Begin End."
5. Click the + icon to add another condition.
6. Check "Identifier" for the token type, then select "<>" in the drop down menu next to it.
7. Uncheck "Include all tokens." and then type in "case" (without the quotes) in the Tokens field.
8. Retest issue.