:hidden pseudo broken by real-world HTML

:hidden pseudo broken by real-world HTML

This fiddle shows an example of .is(':hidden')  returning  true  for an element whose children are plainly visible. The root cause seems to be bad markup: a DIV nested inside a SPAN. 

This example is reduced from markup on several large sites where our script needs to operate. There is no opportunity to change the markup. Any ideas on how to get a reliable :hidden implementation given markup abuse in the real world?