Question about shadows design

The shadow engine dose not seem to be able to handle scenes with more then a few lights. For example if the scene has many spatial each with it's own light the shadow Onegin will try to apply the light to all of scene the not just the one it is for. Is this by design?

That is by design.  Splitting the scene up and handling draw order properly for every case would be a lot of work.  That said, I consider the shadow code to be basic (though relatively stable) and it will likely evolve and improve over the next few months.