The problem with D&D style morality is that it depends on an outside, objective morality that simply does not make logical sense in our universe.
It makes more sense if you view it from the character's standpoint (A Inside Conscience, as in the way the character views themselves) or from a societal standpoint (A Outside Conscience, as in the way society would view the character if given omniscience over their actions)
So a Paladin who casts Holy word in a crowded street who doesn't care about casualties would remain lawful good using a Inner-Compass, while he might fall if the game is using an Outer-Compass. On the flipside, using the Inner-Compass, a Paladin who fails to save someone due to forces outside their control might fall, whereas they would be safe on the Outer-Compass, depending on how the psyche of that particular paladin is built. For example, take the Mitakihara Five:
Puella-------Inner---------Outer
Mami-------TN--------------LG
Sayaka-----LE--------------LG
Kyouko-----CN-------------CE
Madoka----NE-------------TG
Homura----LE--------------LN
Now, due to the nature of PMMM, all the girls have a rather negative view of themselves, but it gets my point across. Once you get past Madoka being True Evil and Adolf Hitler spending his tenure as Fhurer as a Lawful Good man, it starts to make a lot more sense. There's also the added bonus of level loss being more easily explained as emotional trauma/Fighting their own distrust of their comrades.
Oh shit, this isn't /tg/, sorry.