The creation of intelligent magical weapons is not an exact science and there are occasional failures, as such think of causing a little more stress to your players by "rewarding" them with an insane magical weapon
Agrophobic, refuses to come out of the scabbard without a strength check to draw it.
Haemaphobic: afraid of blood, fight at a penalty against any blooded creatures but really good against undead, elementals etc
Schizophrenic, not just one mind in your sword, lets have half a dozen minds in there, all different and bound to cause confusion
the possibilities are endless
A kingdom where, if there are multiple princes (princesses can't rule unless they have no siblings), the princes fight to the death in the arena to decide who gets to rule. A simple way to make sure your brother cannot make a bid for the thrown, and keeps the royal blood in one line.