hi gents
i'm a uk engineer.
i'm often involved in building alteration, most of which in this country are traditional load bearing masonry.
builders seem to be split fairly evenly whether they want flitch beams or steel beams in alterations.... both camps claim they are easier to install....
anyway... flitch beams... without exception i have never stopped a plate short of its bearing because i design the steel plate to do the entire job and consider the timber either side and the adjacent floor area to be adequately restraining the flitch plate; this is much more straightforward than worrying about the transformed section, which often gives negligible benefit.
with regard the flitch beams where the plate stops short of the end of the beam, the principal considerations are the combined effects of bolt bearing, shear and moment transfer of the bolts into the timbers either side of the plate along the length but mainly at the ends of the plate. the british institution of structural engineers [ISE - www.istructe.org] posted a paper by a chap a short while ago that specifically dealt this this issue, and while i've not used it myself i have read it and it appears quite reasonable; although as i say i prefer to take the plate to the bearings.
if you'd like an extract of the ISE paper, please let me know and i'll post a link to it on my website.
hope that helps
andrew