All the proportioning valve does is limit pressure to the rear brakes under high demand. At a certain brake pressure, the valve restricts pressure as shown in the FSM. That prevents the rears from locking up before the fronts which would cause an unstable condition (ever pulled the e-brake when driving on snow?). With that said, the proportioning valve is connected to the rear brake line, which is in no way connected to the fronts. In a nutshell, the circuits are isolated in the MC since the primary and secondary pistons operate their own circuits. The primary piston is the one which is actuated by the brake pedal. The secondary piston is actuated by the primary piston as it builds pressure between the two. You press the pedal, the primary piston traps fluid and pressurizes it's circuit while simultaneously moving the secondary piston and pressurizing its own circuit. If the primary circuit leaks, then the primary piston moves until it pushes against the secondary piston (no pressure builds between primary and secondary pistons), therefore actuating the front brakes in the Z. If the secondary circuit leaks then the primary piston pushes the secondary piston to its stop by hydraulic pressure (no pressure between the piston and end of master cylinder) and then pressurizes the primary circuit, the rear brakes in the Z. This book is very good if you're interested in studying the inner workings and all other aspects of brake systems. Bingo!