<< Yeah, i think that is what his reasoning was behind it. He said that bad gas particles and debris settle on the bottom of the tank. When u fill it up close to E, the engine will be getting a lot of crap... >>
He seems to have forgotten that all cars have fuel filters. None of that junk ever gets to the engine anyway. And yes, it's always sucking from the bottom, but it picks up more of the settled particles when the tank is near empty. Regardless, it doesn't matter because of the filter.
ZV
EDIT: <<I notice when I'm really low on gas and corner hard the engine will hesitate.>>
That's not from a fuel pressure drop (well, technically it is since it's from zero pressure). The fuel pump keeps constant pressure as long as the pickup is completely covered by fuel. When cornering, fuel sloshes to one side of the tank and away from the pickup, so when the engine hesitates while cornering on a low tank, it's because your fuel pump is sucking air for a little bit until the fuel covers the pickup again.