Yes, and I'd use the rules as presented in the DMG to price the item.
I would then give the item to every NPC or monster that was capable of affording or using the item. After all, if the item is that cheap and that powerful, everybody would have it. Everybody.
Then I'd stock up on body bags that were custom fit for the PC's.
This would teach them that not every rule, item, spell, or PrC on a webpage or printed in a book is well thought out or balanced, or it would teach them to 'munch' even harder to survive.
One way leads to wisdom, the other leads to madness and death. Lots and lots of death.