WE KNOW NOTHING about their feelings about those events
Correct, we don't "Know" their feelings...
But don't forget, its a VISUAL novel. So we get pictures, and some dialogue, that help tell the story.
So what we see, from the story, and what we are told through the dialogue lets us make our own conclusions about what happens on the screen, and what happens off the screen that we are to infer.
So "WE KNOW NOTHING about their feelings" is kind of moot.
Much like a jury in a courtroom, WE KNOW NOTHING about the defendants feelings, but it doesn't really matter, the prosecutor provides evidence about WHAT IS KNOWN to have happened, and the jury then makes a decision about the facts presented, to levy a verdict.
In this case, we the players are the jury. The DEV has presented his evidence (Ep 1) and the Jury found AVA guilty of bad judgment and cheating. The DEV didn't like the jury's decision, so he had a "do over" (EP2) and called an additional witness (AVA) to try to sway the jury's opinion.
The problem is, the Jury sees Ava as an unreliable witness. The facts didn't change (what we saw in Ep 1), and her story doesn't add up.
To make it worse, EP 2 has also called into question the testimony of Witness #1, Annie, and at best, its a hung jury over whether she is reliable or not.
We know that the MC learned to protect himself and kicked the crap out of his bullies.
Do we know this? I could be wrong, but I thought that the MC was winning that fight until a friend of Bryce attacked the MC from behind, with the result in the MC getting his ass beat again.
The DEV must see the train going off the rails here, as they have chimed in. It sounds like he admits to leaving out stuff that he should have included... maybe so. But, as others have already said, a pretty good case has been made for at least one of the main characters being a f'kd up shit bag. Now, dispersion is being cast on the remaining non-mc main character.
I am generalizing here now, but I think that a good portion of the players would be less picky if this was a straight up Kinetic Novel. By trying to be a VN with choices, and then forcing players to make bad choices... with the only reasoning being "mental issues", that is the hard pill for players to swallow.