Hello,
I'm having the same problem here … but looking at the result of HTML, the search's div was inserted into the same div that is used for the table, but not in table itself and then, the 'jqgrid-overlay' div overlays the entire content so theres no way of using the search… unless you hide the 'jqgrid-overlay' like this:
jQuery('.jqgrid-overlay').hide()
Furthermore, the search is inserted at the top of the page and the table is moved down breaking all the page layout…
Does anyone has a fix for this? =S