I actually agree with the OP in this case. I understand that it caused a lot of heartbreak, but it was very memorable and gave the game a lot more realism too, imo...
-Wow, that guard is holding a Stein - lol.
-Damn, I just gave the #$@^@!# my Dark Reaver - better get some friends together to kill him and try to get it back.
-etc.
In fact, dropping something on the GROUND would often cause a wandering mob to pick it up and say "ooh, that's nice" or something similar. Halflings in RV come to mind...the little theives. Not sure if that still happens here, but I think it should.
Not a showstopper though, that's for damn sure.
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