1. You're misquoting me, or you misread my post. My point on not trying was in relation to Papi's idea of a life bonus. ie. If I was getting exp/gold/ability bonuses because I have not died in a long time, I might not want to risk losing that bonus.... If there was some sort of penalty, I might think twice about trying out some of the things I've done in the past. (just realised Dersu posted this same topic earlier)
The death penalty, as proposed by Admin, would allow your try once without consequence. You die once and you have a non-effect penalty. You die a second time, and there is an real effect added to the debuff.
So you would risk nothing trying something once. If you fail, you wait it out cautiously for a moment or two. Think of the first death like a Yellow apple in soccer.
2. Taking on Aggy with one group is a questionable choice in judgement. No sympathy for your cost.
3. Server lag is a legitimate concern. That being said, the first death (in Admin's version) is a non-effect, 2 minute Yellow apple. Once everyone is back online, let the debuff expire and continue with your day.