Maxime Bruneau-lavoie
Could you explain how being able to add UVs and normals on vertices can be useful? I don't understand what you mean by “allowing for discontinuities between quads” and it's hard to visualize what having cusps in the mesh quads looks like.
Sure. Take for example a cube. When you place a Box SOP down in the viewport, it looks very oddly shaded because the normals are computed on the points themselves (of which there are 8 ). This is because it's putting one normal at each point which is shared by all 3 vertices, and it gives the box a “smooth shaded” look.
If you dive inside the box object and switch “Add Vertex Normals” on, you'll see it now looks like a proper cube. This is because all the normals are now on the vertices (4/face) and the normals are unique to each face, and they're all pointing in the same direction.
Now, if you turn on “Display Normals” on the right viewport toolbar (sort of looks like a pizza cutter icon halfway down), you can see the diffference in the normals when you toggle “Add Vertex Normals” on and off. There will be 24 vertex normals drawn when it's on, and 8 point normals when it's off.
UVs can also be treated the same way - with vertex UVs, you can have a fully connected mesh with no “double points” and a clean separation between two UV islands - say, where the clothes and skin meet on a character. One polygon edge will have one set of vertex UVs, and the other polygon that shares that edge will have a different set of vertex UVs, making this clean texture separation possible.
As for exporting to UE4, I don't know much about that

You may want to post that question on the Unreal Engine forum below for the Engine folks to answer.