Excluded folder not getting excluded during Publish

Steps to reproduce

I have a templates folder called zzz_templates.

I have excluded this folder in publish.

But still on Publish, the notes under that folder still show up selected.

Did you follow the troubleshooting guide? [Y/N]

Not sure if the sandbox vault is relevant.

Expected result

I expect no files in excluded folder to appear in the Publish dialog.

Actual result

Files in excluded folder keep appearing in the Publish dialog.

Environment

SYSTEM INFO:
Obsidian version: v1.8.10
Installer version: v1.8.3
Operating system: Darwin Kernel Version 24.5.0: Tue Apr 22 19:54:49 PDT 2025; root:xnu-11417.121.6~2/RELEASE_ARM64_T6000 24.5.0
Login status: logged in
Language: en
Catalyst license: none
Insider build toggle: off
Live preview: on
Base theme: dark
Community theme: Obsidian Nord v0.2.0
Snippets enabled: 0
Restricted mode: off
Plugins installed: 9
Plugins enabled: 9
1: Excalidraw v2.12.2
2: Dataview v0.5.68
3: Templater v2.11.1
4: Advanced Tables v0.22.1
5: Git v2.33.0
6: Iconize v2.14.7
7: Advanced Slides v1.20.0
8: Style Settings v1.0.9
9: Note Refactor v1.8.2

RECOMMENDATIONS:
Custom theme and snippets: for cosmetic issues, please first try updating your theme and disabling your snippets. If still not fixed, please try to make the issue happen in the Sandbox Vault or disable community theme and snippets.
Community plugins: for bugs, please first try updating all your plugins to latest. If still not fixed, please try to make the issue happen in the Sandbox Vault or disable community plugins.


Additional information

I found the issue. I had added publish: true in the template file because I wanted all new notes to have that property by default. It seems that Obsidian publish will include notes with publish: true even if they are in an excluded folder.