Preserve Non-Uniform Scale doesn't work for child actors

Preserve Non-Uniform Scale doesn't work for child actors when they are scaled smaller than the parent.

Licensee Description:

I just noticed that the option does not seem to work if the object is parented to another object which has non-uniform scale applied to it.

1. Open QA-Game
2. Place the AmmoCrate_Closed static mesh
3. Change the scale to 10,1,10
4. Make a copy of the actor and move it beside the original
5. In the World Outliner, make the copy a child of the other by dragging it onto it (See attached screenshot)
6. In the Viewport > Scale dropdown > Make sure Preserve Non-Uniform Scale is checked
7. Select the child actor, press the R-key to select the scale tool
8. Mouse-click the middle of the scale tool to scale the entire actor and drag it large and very small

Results: When the child actor becomes smaller than the parent, the Y-scale will never be smaller than the parents Y-scale. (See attached video)

Expected: For the child actor to truly scale uniformly.