I would like to see a change in this situation, also.
Currently the default settings in a student Privileges is: "this user can view students in any course section"
I, along with a few of my fellow lab mangers, have set our multi-section lab course up under a "shell", where all the sections are combined. It is not necessary nor wise for the students of the individual sections to "view students in any course sections". If the default setting under "Privileges" could please be set to " limit this user to only see fellow section users", it would be greatly appreciated and still allow for the change to the setting where students could have the greater access to view students in other course section if an instructor so chooses.
Beth W
Insructor