I don't know that it's as intended but it is as written. I don't see any code that accounts for whether or not a user is locked out or not. I'm not sure if that's desirable in all situations either. For example, if I get locked out of my bank website, I don't want them to quit sending me notices. Same goes for some of my social media accounts. But, I can understand that this is something that would be beneficial in other scenarios.
I'll add this to our request list. I think it might be best to implement a new option (i.e., Silence Notifications) that we can check before emailing anything to any user. Then, we can have a site setting for whether or not the Silence Notifications option is enabled when a user is locked out.