diff --git a/packages/zowe-explorer/src/trees/dataset/DatasetFSProvider.ts b/packages/zowe-explorer/src/trees/dataset/DatasetFSProvider.ts
index 7ecf64dfcf..108caa0ec1 100644
--- a/packages/zowe-explorer/src/trees/dataset/DatasetFSProvider.ts
+++ b/packages/zowe-explorer/src/trees/dataset/DatasetFSProvider.ts
@@ -90,6 +90,7 @@ export class DatasetFSProvider extends BaseProvider implements vscode.FileSystem
      */
     public async stat(uri: vscode.Uri): Promise<vscode.FileStat> {
         ZoweLogger.trace(`[DatasetFSProvider] stat called with ${uri.toString()}`);
+        let entry: DsEntry | DirEntry;
         let isFetching = false;
         if (uri.query) {
             const queryParams = new URLSearchParams(uri.query);
@@ -102,11 +103,33 @@ export class DatasetFSProvider extends BaseProvider implements vscode.FileSystem
         }
 
         const uriInfo = FsAbstractUtils.getInfoForUri(uri, Profiles.getInstance());
-        const entry = isFetching ? await this.remoteLookupForResource(uri) : this.lookup(uri, false);
-        // Do not perform remote lookup for profile or directory URIs; the code below is for change detection on PS or PDS members only
+        if (isFetching) {
+            entry = await this.remoteLookupForResource(uri);
+        } else {
+            try {
+                entry = this.lookup(uri, false) as DsEntry | DirEntry;
+            } catch (err) {
+                if (!(err instanceof vscode.FileSystemError) || err.code !== "FileNotFound") {
+                    throw err;
+                }
+
+                if (!uriInfo.isRoot) {
+                    // we need to look up the resource since the parent folder doesn't exist
+                    // (either user clicked on URI or it was left open in editor)
+                    entry = await this.remoteLookupForResource(uri);
+                } else {
+                    throw err;
+                }
+            }
+        }
+
+        // Do not perform remote lookup for profile or directory URIs; the code below is for change detection on file entries only
         if (uriInfo.isRoot || FsAbstractUtils.isDirectoryEntry(entry)) {
             return entry;
         }
+        if (entry == null) {
+            throw vscode.FileSystemError.FileNotFound(uri);
+        }
 
         ZoweLogger.trace(`[DatasetFSProvider] stat is locating resource ${uri.toString()}`);
 
@@ -382,28 +405,7 @@ export class DatasetFSProvider extends BaseProvider implements vscode.FileSystem
      * @returns The data set's contents as an array of bytes
      */
     public async readFile(uri: vscode.Uri): Promise<Uint8Array> {
-        let ds: DsEntry | DirEntry;
-        try {
-            ds = this._lookupAsFile(uri) as DsEntry;
-        } catch (err) {
-            if (!(err instanceof vscode.FileSystemError) || err.code !== "FileNotFound") {
-                throw err;
-            }
-
-            // check if parent directory exists; if not, do a remote lookup
-            const parent = this._lookupParentDirectory(uri, true);
-            if (parent == null) {
-                ds = await this.remoteLookupForResource(uri);
-            }
-        }
-
-        if (ds == null) {
-            throw vscode.FileSystemError.FileNotFound(uri);
-        }
-        if (FsAbstractUtils.isDirectoryEntry(ds)) {
-            throw vscode.FileSystemError.FileIsADirectory(uri);
-        }
-
+        const ds = this._lookupAsFile(uri);
         const profInfo = this._getInfoFromUri(uri);
 
         if (profInfo.profile == null) {
diff --git a/packages/zowe-explorer/src/trees/uss/UssFSProvider.ts b/packages/zowe-explorer/src/trees/uss/UssFSProvider.ts
index 4f8f16b790..80824e07bc 100644
--- a/packages/zowe-explorer/src/trees/uss/UssFSProvider.ts
+++ b/packages/zowe-explorer/src/trees/uss/UssFSProvider.ts
@@ -62,6 +62,7 @@ export class UssFSProvider extends BaseProvider implements vscode.FileSystemProv
      */
     public async stat(uri: vscode.Uri): Promise<vscode.FileStat> {
         ZoweLogger.trace(`[UssFSProvider] stat called with ${uri.toString()}`);
+        let entry: UssFile | UssDirectory;
         let isFetching = false;
         if (uri.query) {
             const queryParams = new URLSearchParams(uri.query);
@@ -73,12 +74,34 @@ export class UssFSProvider extends BaseProvider implements vscode.FileSystemProv
             isFetching = queryParams.has("fetch") && queryParams.get("fetch") === "true";
         }
 
-        const entry = isFetching ? await this.remoteLookupForResource(uri) : this.lookup(uri, false);
         const uriInfo = FsAbstractUtils.getInfoForUri(uri, Profiles.getInstance());
-        // Do not perform remote lookup for profile or directory URIs; the code below is for change detection on USS files only
+        if (isFetching) {
+            entry = await this.remoteLookupForResource(uri);
+        } else {
+            try {
+                entry = this.lookup(uri, false) as UssFile | UssDirectory;
+            } catch (err) {
+                if (!(err instanceof vscode.FileSystemError) || err.code !== "FileNotFound") {
+                    throw err;
+                }
+
+                if (!uriInfo.isRoot) {
+                    // we need to look up the resource since the parent folder doesn't exist
+                    // (either user clicked on URI or it was left open in editor)
+                    entry = await this.remoteLookupForResource(uri);
+                } else {
+                    throw err;
+                }
+            }
+        }
+
+        // Do not perform remote lookup for profile or directory URIs; the code below is for change detection on file entries only
         if (uriInfo.isRoot || FsAbstractUtils.isDirectoryEntry(entry)) {
             return entry;
         }
+        if (entry == null) {
+            throw vscode.FileSystemError.FileNotFound(uri);
+        }
 
         ZoweLogger.trace(`[UssFSProvider] stat is locating resource ${uri.toString()}`);
 
@@ -306,28 +329,7 @@ export class UssFSProvider extends BaseProvider implements vscode.FileSystemProv
      * @returns The file's contents as an array of bytes
      */
     public async readFile(uri: vscode.Uri): Promise<Uint8Array> {
-        let file: UssFile | UssDirectory;
-        try {
-            file = this._lookupAsFile(uri) as UssFile;
-        } catch (err) {
-            if (!(err instanceof vscode.FileSystemError) || err.code !== "FileNotFound") {
-                throw err;
-            }
-
-            // check if parent directory exists; if not, do a remote lookup
-            const parent = this._lookupParentDirectory(uri, true);
-            if (parent == null) {
-                file = await this.remoteLookupForResource(uri);
-            }
-        }
-
-        if (file == null) {
-            throw vscode.FileSystemError.FileNotFound(uri);
-        }
-        if (FsAbstractUtils.isDirectoryEntry(file)) {
-            throw vscode.FileSystemError.FileIsADirectory(uri);
-        }
-
+        const file = this._lookupAsFile(uri, { silent: false });
         const profInfo = this._getInfoFromUri(uri);
 
         if (profInfo.profile == null) {