I know many guilds out there enjoy taking advantage of the 'fel ruleset' when they play in Fel. It's very strange to me this whole, 'give the gear/items back' philosophy that has permeated Chessy in the 5 years I've been gone-- as if keeping the items you've looted somehow makes you less of a person or something.
I'm a terribad pvp'er (I am normally relegated to other roles when we get raided at spawns), and if I was lucky enough to kill someone and find some loot upon them, I am not so sure I'd be willing to give back anything, no matter how good or poor the item.
Were I careless enough not to insure my own items, I would fully expect (and quite probably insist) the party involved take whatever was on my corpse, as he won it fair and square. It's a lesson most people only have to learn one time during the course of their UO career.
I guess, though, that it's a topic for another day.