The rules of the behavior of each side would be as follows, and by joining as an individual player or as a family, there are limitations / benefits:
1. The dishonorable faction, instead of "Fatso-itty-bitty-fish-farmers", let's call them "The Xenox"
Cannot declare war on another Xenox-aligned family
Cannot declare war on a family of larger NW
Cannot use soldiers
Must accept alliance with any neutral family of larger NW
Has access to "Xenox" faction forum
Can send aid to "Xenox" faction members.
Xenox members can be expelled from faction at the whim of the Xenox leader - who is selected by one vote and retains power until end of round.
Xenox factions, having conquered a neutral family, can "enslave" it if it refuses to join as a Xenox faction, thereby taxing a portion of the fam's income.
Once a family has aligned with Xenox faction, it can never revert to neutral.
2. The honorable faction, instead of "Piranhas", let's call them "The Xentia"
Cannot declare war on another Xentia-aligned family
Cannot declare war on a family of smaller NW
Cannot use droids
Must accept alliance requests with any neutral family of smaller NW
Has access to "Xentia" faction forum
Can send aid to "Xentia" faction members.
Xentia members can be expelled from Xentia faction with majority vote of Xentia-aligned family leaders; Xentia leader is elected by majority vote of Xentia-aligned family leaders.
Xentia faction can free enslaved neutral families and reclaim taxed income, any portion of which can be replenished to the freed neutral family.
Once a family aligns with the Xentia faction, the family can revert to neutral whenever it wants.
There would be other stipulations governing the limitations and benefits of joining one faction or the other, as well as benefits of remaining neutral.
In this way, there would be an incentive for the Xentia side to ally and protect small neutral fams, and incentive for the Xenox to attack and / or otherwise enslave small neutral fams, and an incentive for the Xentia and Xenox factions to generally fight each other rather than farm small fams.
In short, it would bring honor back to the game, but still provide a venue for those who insist on playing dishonorably to do so...