Wow... So, for all the blocks that are over 500%, no one gets paid for the work their miners did over the 500% mark?
That's disappointing if you're right.
Sorry - that's the way it works on every PPLNS pool.
If you don't find a block during the LNS period, you don't get paid for those shares.
PPLNS = Pay Per Last N Shares - if the N in this case is higher than the shares between the last block and this one, you don't paid for it, even if you had shares.
In all seriousness, though, if we hit several in a row, we would be technically paid multiple times for the same shares, right? (EDIT: whereas this payout will only be for one block.)
I guess it all evens out in the end... like everything else, I suppose.