A somewhat nice feature in that we can choose to use a local copy (which might be quicker), but I think in general it actually slows down users, since they will have to add that extra click. So it would just be nice if there could be an option to remember your choice.
Additionally, it would be really, really, REALLY nice if it matched against the directory/file path instead of just the filename. I have about a million different "index.php" files in different directories, and the current implementation of this feature makes this a bit of a pain to deal with.
Thanks for considering my suggestions.
Nate "dawg"
Edit: filed enhancement request: http://trac.filezilla-project.org/ticket/3772
select file already being edited dialog
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