Kelly, If it were me I would check the oil as I suggested above. That way it would be the proper amount of oil in the crankcase. Then run the car about 1000 miles and check it as you did before. Also watch for excessive smoke from the exhaust. If the same thing happens then it is time to take a wet and dry compression test to see how the rings are. But until then I wouldn't jump to any bad conclusions. I always say start with the small potential problems and work toward the big ones. Not the other way around. You could have been putting too much oil in the crankcase and forcing it into the vent tube. I would go with the 8 1/4 qts. It always works out for me when I change oil and filter. Notice I said oil and "Filter." The level after running normal operating temps and checking with in 2 minutes after shutting the engine down is just under the max level.
Kelly I would say if it was bad rings the only problems that you would have is fouling plugs and some oil getting into the air box from ring blowby in the crankcase. No more damage would occur in the engine internally IMO. However the problem would only get worse over time and would be a pain to keep running properly. JMO
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