I honestly have never wheeled with anyone running MT/R's. I did one run with Eddo, but I was in the stock group while he was in the modified group ( so us stockers did not hold them up on the trail. I will throw out that many people were shocked by the ability of Eddo's KJ)
I have seen the older BFG M/T's cut or puncture sidewalls, though. I have not seen the very newest KM2's do it ( haven't seen any of them but on a new JK), and I have not personally seen a KM cut although I have heard that their sidewalls are not as good as they could be, either.
Just in reading, it does seem that the newer MT's take some more wheel spin to make them work. That is probably because they are much easier to live with on the street. I have had gateway gumbo monster mudders, the original swampers, trxus m/t's, and off-brand generic MT's (BFG knock-offs), and most of them gave up quite a bit in street manners and longevity in exchange for the better mud performance. The only 4x4 with an AT I have ever had is the KJ, and they came on it stock. Well, Goodyear puts "all terrain" right on the side of the SR-A, so it must be true.

I think newer MT's are getting better street manners, better life, and good all-around performance.
Back to tires for the appropriate situation: I remember a '78 Dodge I had with 15/35-15 monster mudders. That truck was ill-tempered in the rain and a POS on icy pavement. I would never haul my kids in something like that on ice. There is a place for Nokians or any AT. It is up to the owner to decide which trade-offs they want to live with: better off-road performance at some sacrifice in streetability & longevity, or less off-road performance so that their tires better fit their rig's use. It does seem like some of the newer MT's ( timberline mt-rip-, hankook, mt/r) are really blurring the line and make a true ALL terrain -even mud- tire.