Thanks for the quick reply.
I think I am just confusing myself.
So I can conclude that SD can't Smart update a single folder (since you can't select a single folder to clone)?
I guess my problem is that I only have 80GB partition to fit a 130GB of data from my other external 250GB HD. So, I was hoping to just copy the folder that I needed sync and obviously not the whole thing.
So, I really have two solutions. Bigger HD for clones or partition the other external HD to 80GB to fit into the space I have available for backup. Unless there is a better way out there?