No, this is actually handling what SHOULD be a 404, but as the [spec](http://tools.ietf.org/html/draft-dejong-remotestorage-02) states, it could also be a 200 with an empty object: 

>  Empty folders are treated as non-existing, and therefore GET
    requests to them SHOULD be responded to with either a 404 response
    OR the JSON document representing an empty map ("{}").