Debatable. I don't really think the thing is about what people deserve. A sword like that could be used for all kinds of different things, not just some moral crusade.

Hell, I'd use it to detect so-called good people without the stabbing and avoid them. The worst kind of people are good ones. Goodness itself is a kind of evil.

People are quibbling over what is good and evil but no one considers how useful a sword like that would be. D&D already has a hard-coded alignment system with predictable behaviors associated with each alignment so implying good and evil are subjective is meaningless.

Then again, morality itself is pretty meaningless so 🤷