Index: taxonomy_menu.module
===================================================================
RCS file: /cvs/drupal-contrib/contributions/modules/taxonomy_menu/taxonomy_menu.module,v
retrieving revision 1.19.2.2.2.68
diff -u -r1.19.2.2.2.68 taxonomy_menu.module
--- taxonomy_menu.module	20 Oct 2010 02:26:17 -0000	1.19.2.2.2.68
+++ taxonomy_menu.module	1 Nov 2010 20:31:44 -0000
@@ -766,23 +766,34 @@
 }
 
 /**
- * Helper function to see if any of the children have any nodes
- *
- * @param $tid
- * @param $vid
- * @return boolean
- */
-function _taxonomy_menu_children_has_nodes($tid, $vid, $has_nodes = FALSE) {
-  if (!$has_nodes) {
+* Helper function to see if any of the children have any nodes
+*
+* @param $tid
+* @param $vid
+*/
+function _taxonomy_menu_children_has_nodes($tid, $vid) {
+  $has_nodes = taxonomy_term_count_nodes($tid);
+  if($has_nodes > 0)
+  {
+    return true;
+  }
+  else
+  {
     $children = taxonomy_get_children($tid, $vid);
-    foreach ($children as $tid => $term) {
-      if (_taxonomy_menu_term_count($tid) > 0) {
-        return _taxonomy_menu_children_has_nodes($tid, $vid, TRUE);
+    foreach ($children as $child_tid => $term) {
+      if (_taxonomy_menu_term_count($child_tid) > 0) {
+        $child_has_nodes = _taxonomy_menu_children_has_nodes($child_tid, $vid);
+        if($child_has_nodes)
+        {
+          return true;
+        }
       }
-    }
+    } 
   }
-  return $has_nodes;
+  
+  return false;
 }
+             
 /**
  * Helper function for insert and update hooks
  */