Solved
Custom DND suppressed effects remain in effect when Allow All used
I find if I use Custom DND with a suppressed effect (tested with Peek) then set DND to 'Allow All' the suppressed effect is still in effect.
I tested this with the following: Custom DND (with Peek suppressed) -> DND Allow All -> DND Query -> Flash %dnd_suppressed_effects().
As a workaround I use Custom DND with no suppressed effects then DND Allow All (just to clear the DND icon)