Not sure if this is expected behavior or a bug:

I have checked in options: "use latest image date as album date"

When I refresh metadata on an individual album from the album list page, the album date is correctly updated. When I do a refresh metadata from the overview page which I assume will refresh all albums metadata, the album dates are not touched.

Not expected behavior. We will have to look into this. Off hand, thought, I do not see how it could behave differently. Do subalbum dates get updated properly in the first case?

Ok, here's the deal.

If you refresh the data for a single album and have the "use latest image date as album date" option set the refresh will pick the date of the most recent image in the album (for the album you have refreshed).

If you do a general refresh with the option set you will get the album date updated only if there is an image whose date is more current than the existing album date. Normally the two actions will result in the same date for an album. The exception is if you have removed images with more recent dates from the album. If you do that you and you want the album date to reflect it, you need to specifically refresh that album.