Hatch/Fill result not as expected - "flattened"?

I am attempting a Fill and doing "Select Entities" and select 4 closed lines. So far so good. But the resulting Fill is not coincident to the selected lines - it is flat on the X-Y plane. I suspect this is because my 4 entities have non-zero Z vertices. Is this expected behavior? Is my expectation beyond the capabilities of DraftSight?