I think the problem is from exporting a Rhino model with units=feet to Acad, where units are not explicit and setting display to Feet-Inches causes units to be treated as inches.
So 3’-2" inches (3.167 feet) in Rhino becomes 3-1/4" (3.167 inches) in Acad.
In the US, its most common to use units=inch for all Architectural drawing, which is probably why this hasn’t been a big complaint.
I think it would be good to add an option in to the dwg exporter to scale by 12 if units are feet in Rhino.
Here, civil engineering drawings (site plans, road work, etc) are typically done in foot units and dimensioned in decimal feet, not feet and inches. In that case, it would be wrong to scale by 12 on export.
What is the context of your report? Is there a user complaint? If there was, what was the workflow?