The nightmare levels in the first game were the Scrappy Level for some people, especially the part where you have to try and follow the blood trail. But the thing is, only that way could they have been made to feel like nightmares. They have to be frightening and unpleasant to play.
At first, the case against Max for murdering Alex seems way too flimsy to hold water in court. The angle at which the bullet entered Alex's body was way different from where Max was standing, and any security footage would have shown Max not pointing his gun at Alex and Alex getting knocked over to the left (if Max shot him, he would have fallen backward). Senator Nicole Horne must have pulled a few strings in order to get Max labelled the killer.
Fridge Logic: If Valkyr has such high propablity of causing horrible hallucinations, then why is it such a big hit on the streets?
It apparently makes you feel fucking awesome before the hallucinations set in.
It's also possible consider the trippy portion of the drug to be a selling point. Some of the druggies seem to think the Valkyries are pretty cool.
Not really Fridge Logic but maybe Fridge Horror. Max is going to spend the rest of his life behind bars for killing those dozens of security guards isn't he? He doesn't even know Nicole Horne is responsible in this universe.
Nah, Max gets away with it (somehow) and is after Nicole Horne after the credits.