I maintain that as long as the morals clause is still present, it doesn't matter what else the contract says; they still have an ability to pull the plug at any time, and their reasoning is a black box that cannot be addressed. As someone else said, walking into that beartrap is a fool's choice.
But wouldn’t the market correct for this? If WotC frivolously forces someone to pull their products, there will be a pretty immediate hue and cry.
I get that borderline cases might exist, but this is not really a blank check.
I mean wouldn’t the simplest solution, if you wanted to publish something that was walking the line, be to just ask WotC before you publish?