I think this should be fixed, because while it might not be a bug, it's certainly bad game mechanics.
It is too easy and too tempting to abuse this. Even if I wouldn't personally use it, the option of using it would be constantly there which would give me negative feeling. Like somebody said, they use it only if they get crappy loot. Thus, every time you get loot, you start wondering whether it's crappy enough? Should you reload?
