Doesn't stop people from trying to have the cake and eat it too. I think I remember reading about a FOSS project on GitHub that put a clause in the license that said something along the lines of "this software is free to use except for purposes we deem immoral in which case you can't use it" (sorry, I can't remember which project it was)
Yes, there's a nice funny joke of this nature in the JSON license: "The Software shall be used for Good, not Evil." [1]
I remember IBM had to obtain a separate license without this clause, to insure themselves against potential nice funny lawsuits claiming the breach of that clause.