hierarchical taxonomy not sorted correctly within hierarchy

• i’m using this plugin along with some code to display (query) all the custom posts (CPT: “menu”) on a page, grouped together by the custom taxonomy: “menucategory”.
• the custom tax (menucategory) is hierarchical, and i would like these items grouped together

the test page is here:
http://viatransferdev.tracyappsdesign.com/menu/

here’s the code for that page:

<?php $terms = get_terms('menucategory');
  	$count = count($terms); ?>
  		<?php if ($count > 0) {
  			foreach ( $terms as $term) { ?>

  			<h2 class="menuCategoryTitle"><?php echo $term->name; ?></h2>
			<div class="menuCategory">
  				<?php $loop = new WP_Query(array('menucategory' => $term->slug, 'post_type' => menu, 'orderby' => custom_sort, 'order' => ASC));
            				while ( $loop->have_posts() ) : $loop->the_post(); ?>
  						<div class="menuItem">
  							<h3><?php the_title(); ?></h3>
  							<?php the_content(); ?>
  						</div><!--/menuItem-->
  					<?php endwhile; ?>
  			</div><!--/menuCategory-->
  		<?php }
  	} ?>

and this is how the hierarchy of the custom tax is set up: (the “order” value will be in parentheses)

• Pizza (1)

• Traditional Pizzas (10)
• Specialty Pizzas (20)

• Appetizers (10)

(i number by 10’s so that if the client wants to add a category between 2 and 3 (of like, 20) all the others after don’t need to be renumbered as well)

is this a bug? something wrong with my code? or am i misunderstanding how the plugin works?

thanks!

http://wordpress.org/extend/plugins/custom-taxonomy-sort/