Steps to reproduce problem:

 

1: open your editor example at http://cutesoft.net/example/general.aspx

2: set focus inside the editor

3: Click the 'textbox' button on the cuteeditor toolbar

4: On the popup that displays the textbox properties, delete the 'text1' text from the 'value' field

5: click ok

 

Note that now the textbox value is back to 'text1'

 

if you right click the textbox, and select properties, and repeat step 4, it still does not clear it.

 

I'm using the editor to create forms for our intranet and the people that are going to be creating forms aren't going to be technical enough to go into the HTML tab to manually remove the text.