This version of the Action allows nested objects! I have achieved this with a little ingenuity, and some head scratching, as well as consulting the ActionsDev List which (if nothing else) helped me think the problem though simply by asking the question.
The result - you can now nest items in your layout. Take the layout example to the right. The items are nested, and the box below shows how it the results in the browser.
The object to which the Action is applied occupies a set space on the Freeway Page. This is supported by a table structure and the _clear.gifs. However, the Action needs to reduce this area to allow for the borders and to ensure that the space used by the decorated text box in the HTML file is no bigger than that of the box in Freeway's layout. This is a potential minefield of layout problems, especially as Freeway won’t allow Actions near this basic page structure.
You need to be aware that your layout can mess this up. If you notice that the edges of the box look clipped, then your layout is likely to be either occupying too much width, or you have not left enough gaps for the Action to accurately calculate the final width of the box needed. An example of such a failing layout is presented to the bottom right. Other layout issues may arise too - but these should be easy to overcome. It's a case of a little fine tuning on your part.
This layout mashes the borders of the table. You either won't be able to see them, or the edges will be clipped.
Consider restructuring the layout to make the Action work correctly.