Topic on Talk:Cool Motive, Still A Crime
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The way I understand this is that it's specifically about one character rejecting another's Freudian Excuse, and is a subtrope of Shut UP, Hannibal in that the latter can apply in general to things like Not So Different, "The Reason You Suck" Speech, etc. Nothing in it says that the character is completely without redeeming traits and beyond redemption the way a Complete Monster is.