(Anonymous) @ : The first thing that came to mind on loyalty as a bad thing, is remember that loyalty to a person means serving their interests as you see them. This leads to a rich area for conflicts without treachery. A loyal character may hold back information to spare the protagonist from knowing it. Or they may do things that serve the protagonist's ends by means the protagonist would condemn. Or they may try to stop the protagonist from enacting their latest heroic plan/harebrained scheme. A person being loyal to the protagonist doesn't translate into doing what the protagonist wants. If it always does, it destroys characterization.