2. Is this a false positive because of the way Paragon processes things or am I really detecting a virus?
do you have the file in avast chest?

if so you can upload it to a online multiscanner to see if it is only avast trhat detect it…or many others also

here is how to

Create a folder called Suspect in the C:\ drive. Now exclude that folder in the File System Shield, Expert Settings, Exclusions, Add, type (or copy and paste) C:\Suspect\* That will stop the File System Shield scanning any file you put in that folder.

Now you go to one of these online scanners and brows to that folder/file and test it
when done post the link to the scan result here

upload suspicious file(s) to www.virustotal.com and test with 40+ malware scanners
when you have the result, copy the url in the address bar and post it here for us to see

alternative
Jotti http://virusscan.jotti.org/en
VirSCAN http://virscan.org/
Metascan http://www.metascan-online.com/