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First sentence of 3rd paragraph of 10.10. "shutil" documentation for shutil.move command, "The destination directory must not already exist", is misleading and contradicts other information in the entry. I took it to mean that if dst did not exist, python would create it as a directory. What actually happens is that python renames src to dst. In my test, I was moving several files to a new directory, and the result was a file with the pathname dst and contents matching the last move command, consistent with the behavior described in the rest of the paragraph and the following one. When I changed the code to create the directory with os.mkdirs before calling shutil.move, it worked as I wanted, so obviously there's nothing wrong with the destination directory already existing. The preceding paragraph implies this with its description of behavior when dst refers to a directory. I suggest removing this sentence, and maybe adding some text indicating what to do if you want to move a file to a new directory.
I was using Python 2.7.5 on Windows, and branch 2.7.8 of the documentation (there does not appear to be a branch 2.7.5 available.)

I think you are correct that that sentence should just be deleted. The preceding sentence should start "If the destination is an existing directory..."
I also wonder if shutil should be changed to use os.replace, but that is a separate issue.

New changeset e5de4ee6aa4a by Benjamin Peterson in branch '3.4':
clarify behavior of shutil.move when destination exists (closes #22933)
https://hg.python.org/cpython/rev/e5de4ee6aa4a
New changeset 4502e598fe26 by Benjamin Peterson in branch '2.7':
clarify behavior of shutil.move when destination exists (closes #22933)
https://hg.python.org/cpython/rev/4502e598fe26
New changeset a9f36ec5d944 by Benjamin Peterson in branch 'default':
merge 3.4 (#22933)
https://hg.python.org/cpython/rev/a9f36ec5d944