A few times I've got the ethical choice for "A new cruel game has sprung up in your empire. It involves catching creatures in sphere and making them fight to the death, etc, etc." The morale penalty for the "Good" choice varies, of course, but every time what actually happens is that my Empirewide morale instantly tanks to 1%, rather than the 1%~10% drop that's expected. It's happened every time I've seen it. I thought it might have been fixed in 1.2, but there it popped up again this morning.

PsiDraconis