There is no problem with this event. Dylan and Ellie are probably the most important characters besides Sophia in this game. The story between the two of them and Sophia unfolds from the introduction to the present. Both in direct interaction with Sophia and in interaction between the two.The problem with that is that isn't why LP does these events. These are for whatever people like to play Dylan as MC. You can have events that affect Sophia that we, the players, do not need to see or play through. Such as Liam's work stuff.
And Dylan can only go to the party if he didn't take Sophia on a date. So, these are mutually exclusive routes (Sophia/Dylan route and this one). They don't build on each other. So Sophia isn't going to be seriously impacted by anything that happens. It's not even close to being compared to a linear movie.
I don't think anyone can agree with "Rather, L&P should consider expanding these types of events." If anything, he should be cutting them. I know 90% of us have accepted this game will never be finished, but if LP actually does want to he needs to make sacrifices somewhere.
Spending months of what is effectively a side-route (that not many will play or care about) isn't that.
Also, I don't see it as tragic that Dylan has to choose between the second Sophia event and Ellie. The first Sophia event has already taken place and Dylan has already made progress with Sophia in the first update, which could ultimately have an effect on possible Sophia/Dylan/Ellie events. I at least would like it if L&P would include more events like that. That is what AWAM is about from my point of view.
Under no circumstances should this event be cut out. The events with Dylan and Ellie are just too good for that. There are good reasons why the two are so popular, and good reasons why this story-line has so much potential.