And if the player successfully keeps resisting the Urge then naturally these lines would not be playing since they're fully in control of their actions. For now it's gonna be extremely awkward getting to ACT III and still hearing "Father they will die for you" after refusing Bhaal

Oh, absolutely agree here. It was super immersion breaking having the father line come out right after the prologue. I had to do a double take. And it must be super frustrating playing a redemption urge only to have them praising their father or shouting out their murderous impulses. Yikes. These absolutely should only be tagged for succumbing to your urges or embracing Bhaal as you said.
To add to that, if the DU is running around verbally fantasizing their psychopathic murder fantasies, wouldn’t that also cause their companions to question even more who it really is they’re following?
Seems like quite the oversight and immersion breaking for both types of DU players.