Regarding:
"Solution 1: don't create such armors"
Why allow +bravery armors in the ruleset if that is you opinion?
"Solution 2: don't create such weapons"
Why allow "ToMorale" as an option in the "damageAlter" category, if that is your opinion? Any weapon that uses "ToMorale" displays the described behavior. I would say fix it or scrap it.
"Solution 3: use scripts to implement your own damage algorithm with whatever rules you can think of"
I don't want to create any weapons, I'm just reporting on a sign inversion bug using simple ruleset options of OXCE that are used alot in the Piratez mod.
1/ I did not allow +bravery armors. Also, it's not my opinion, it's just a possible option.
2/ I have also not implemented ToMorale option. Again, it's not my opinion, just giving you options.
3/ I didn't say you need to create any weapons, I just said you can change the damage algorithm (even for all weapons at once)
Anyway, there are a million things you can change in the ruleset to break the game.
I cannot fix them all, the only way to fix them all is to remove modding capability completely.
Modders always try to change more and more... until it breaks; there's absolutely no way for me to stop that from happening.
And making it even more moddable, doesn't solve the problem, just adds more ways how to break the game.
Yankes has listened to your needs for changing everything imaginable around damage calculation and has given you a tool to do that (scripts).
If you want to change how the morale damage works, you can!
The "ToMorale" parameter of OXCE has this scaling right now, whether you want it or not.
Not true.
If you don't want it, you can already today script your own damage algorithm.
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If you have a concrete solution for this "bug", please tell us. And ask all modders if I can change it too.
Until then I consider this a feature, not a bug.