I've personally see someone lose an AC on red before Nilbog changed the setup. A wizard rolled in, smoked a waiting necro who had just engaged and then nuked the AC down.
What I think most people don't realize on red is that if you're not in pvp range, blue rules apply (at this time the level range was +/- 8)... so had the wizard killed the AC first he would have lost the ring if a petition went in about it.
As it was, there was a very angry gnome and a very smug erudite...no GM involvement was required.
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