Framing – Subfloor flush with rim joists

I recently had a small addition done. It’s a 300 sq ft. 2nd story addition on 8ft piers with LVL beams as rim joists.
Framing is 16” OC stick framing with a vaulted roof.
The framer used for the subfloor (3/4” regular plywood not t&g). They put the subfloor flush with the rim joints, recessing the floor joists by 3/4” so that the exterior walls rest directly on the LVL beams, instead of on the subfloor.
The GC says it’s “fine”. I personally have never seen it done that way, but I also don’t work in residential construction. A buddy of mine who’s a home builder said he’s never seen it that way, and that I might need to check with a structural engineer because there might be some forces at play that necessitate the subfloor being tied directly into the rim joists and walls, rather than just resting on the floor joists. There is about 1/4” to an 1/8” gap between the subfloor and the LVL beams.
Has anyone seen framing done this way?
Thank you very much for any input.