To clarify, the two knots are not actually IN the sheet line so much as over it: one of them is where the rear sheet control connects to the main line and I'm having trouble remembering what the second one is, I'll check after work. These knots slide freely on the sheet line that goes from sail to stern, but they tend to bunch up at the pulley.
...what are you doing with that knot in your hand...
(excuse the Hendricks reference).
May I humbly recommend that you put your boat together on your front or back lawn and check out how the rigging works.
If you take your boat out on the water in a stiff breeze (without that safety check), you could end up getting `knotted`in a situation that you neither planned for or intended.
If you have knots in two lines:
1) The sail line, you need to only have a figure eight knot at the end and no knots sliding or otherwhiles.
2) Make sure you read the instructions in how to set up the furling gear for the Mast, as well as checking for any unintended knots that can cause you a lot of hassles on the water