Default body field's select element for input format is marked as invalid

I am using latest Drupal 7 install with Seven as admin theme. After I correctly enter title and body text for the default Basic page content type, Client side validation marks Input format element as is invalid.

This is the reported error: "You should enter at least two words."

And it doesn't let me proceed with submitting the form.

This also happens when I try to submit empty form.

Here is the screenshot