well, ATM hfs doesn't even check if the file is accessible by the current user.
i didn't because it wouldn't always work.
if you have folder A and subfolder B, where B is protected and A is public.
when you access B, you get the login dialog, then you access B as the user.
if you then click UP, most browsers re-access A as anonymous, because it remembers it needed NO user to access it.
It is a good behaviour for privacy reasons, but HFS would then show you the B with a lock icon.
So, since this doesn't always work, i'm unsure it is a good thing to make it only some times.
But i'm changing my mind, and thinking it may be good for the sub-items, so maybe in the next build will try.