In soft mode, with the shuttle lifted from the valve seat, system pressure can flow from the bottom of the valve to the hole in the side, which is above the seat but there can (or should) be no flow through the leakage return because the other end of the shuttle is holding it closed.
This is good. between us all, we've now worked out exactly how these valves work
I did once consider if the valve would still work if the leakage return was permanantly blocked off but the valve would then fail to operate as the body would be filled with LHM at full system pressure and the shuttle would be unable to move in any direction. That spurt of leakage on a change of mode is essential to the working of the valve.