Initially we talked about possible wars between good and evil on a universal scale. It is interesting to observe how good and evil permeates in this universe.
Inside a single average human, we can understand that he is good mostly and when no one is waiting to observe and pass judgement, sometimes he has the 'bad' side too. The intensity of good or bad is decided by the intensity with which he aligns himself with divinity or evil. This can be understood by the concept of what I call as 'Value System'.
A simple example of a value system is the 10 commandments and the complex example of a value system is the principles of Bhagavad Gita. These value systems reflect the notion of good and evil that existed in that time period when they originated. Sometimes, they may hold references to eternal knowledge that is beneficial to the entire mankind.
We have to accept that value systems can be present in different groupings too. As long as it is harmless to anyone ,we can accept it. Some of the samples of such groupings are given below:
Country as a grouping with constitution as the value system
Scientists as a grouping with the principles of science (integrity of knowledge, collegiality, honesty, objectivity, openness etc.,) as the value system
Students as a grouping with the value system imposed by the learning institution
Local Community as a grouping with the value system imposed by the local culture
We start to see that for a single person several value systems successively from big to small can apply as he may be living in a country of his choice, working as a scientist, teaching students and living in a local neighbourhood. To add more to this, the defense in depth principle used in cybersecurity applies here too. For example the value system expected of a human (generic) in Earth subsumes the value system adopted by a country in its constitution for its citizen (specific) and it is fair enough to expect sometimes that both may be identical to a large extent. The value system imposed by constitution on the citizens (generic) of a country subsumes the value system imposed by local community(specific) or local group (specific) or even the family of that person or his self guided concept of being a fine individual. The defense in depth implementation in cyber security protects data. Similarly the defense in depth concept applied as a series of value systems, generic to specific, protects the ethos expected of a genuine human who is in pursuit of excellence.
One thing that piques me is that ,while a value system like constitution is playing a significant role in guaranteeing the fundamental rights of a citizen , one or more of such a citizen(s) sometimes can, in the name of exercising his rights, hurt the feelings and sentiments of a larger group. (for example a cult leader with undesirable ways, is living among a good community and the community is not able to do anything about it). So the constitution should also take part in defining the rules around acceptable groupings in the country and help protect the group values by framing suitable generic grouping laws as long as the groups under question does not violate the constitution or any of the higher accepted principles of groupings.
But the most important value system is the one he assumes for himself , that can turn him into an angel or a monster or anywhere in-between, irrespective of the larger value systems that he is subscribing to. Sometimes the value system of a group can also influence his significant behaviour - for example of a person belonging to a crime syndicate.
For an individual, his parents, family, friends, other elders of the family or community can help build his individual value system in his childhood and possibly in later stages too (since when does learning stop?).
He absorbs from his local/country laws and community and expands his/her value system. If his individual value system fails for any reason (like crime of passion), at least one of the higher context value systems should advise him on acceptable or avoidable acts. A kleptomaniac can consider himself to be flawless by his own value system but the country laws will dictate that what he does as kleptomaniac is against law and will carry consequences like imprisonment/fines etc., Sometimes, one's individual value system can be so diabolical and fully aligned with evil that he will disregard any and all other value systems present in his living context. One such example of such a flaw is the emergence of a psychopath.
Another large hidden factor is the impact of his karmic load in the current birth that will influence his decision of adopting one or many suitable value systems. Sometimes , we may be able to see strange things like a seasoned thief emerging from a highly respectable family ! Sometimes a remarkable guru emerges from a very poor family ! How strange fate can be ?
Good or evil can manifest inside a single person or in any of the groupings. We, in fact can detect a range of goodness and evil in the individuals or/and in the groupings. Any judicial setting should be careful enough to check where the majority of the evil prevailed - inside a grouping or inside an individual. Thus we must understand that the law of karma not only affects individuals but also the groupings. Sometimes the groupings are implicit and not externally manifested. But as long as that sense of grouping prevailed as beliefs and actions happened out of that belief-system, karma will never miss !
A species is supposed to act according to the value systems it subscribes to. Let us consider the case of a human. As stated above there are several value systems that the human subscribe to. If all these value systems is fulling aligned to the consciousness of safeguarding of dharma or righteousness, (In Hinduism it is called the 'Krishna Consciousness') , and then, if the individual is aligning his actions by all of these value systems (including the faith based value system) , then he is said to be living a principled life.
A person living a principled life is said to be a guided by the goodness of the universe and all his thoughts and actions are properly justified as per the value systems that he adopts. If a person is mis-aligned or living by some rouge value system, he is just being obstinate and is liable to be punished by the law of karma.