The app level serverclass setting "excludeFromUpdate" does not override high-level settings. Splunk serverclass.conf documentation indicate it should override higher-level settings.
Below is an example of a serverclass called myServerClass. I do not want to exclude anything from the app level, thus, having an empty value.
[serverClass:myServerClass]
excludeFromUpdate = $app_root$/local
[serverClass:myServerClass:app:myApp]
excludeFromUpdate =
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