What BIOS are you running? BTW just for correction's sake it's a Morgan core for the Duron, not Palomino 🙂
I flashed my BIOS on my K7T Turbo just like 2 days ago to BIOS 3.2, but i think it would have taken an XP and /or Morgan Duron at the prior BIOS I had.. (2.8)
as long as you don't have the very first early revision of the board I'd say you will probably be fine.. if so though, I would suggest just flashing to the latest, I did and had no probs. at all.