It's a pretty stupid line to put in a license. What the hell does it even mean? Without defining "evil" in the context of the license, it could mean anything -- who gets to decide what constitutes "evil"? The original author? In that case, it's like making the license immediately revocable for any reason at any point in the future.

It's understandable that Google, or just about anyone else, would reject a license with that sort of vague language in it.

There's a time and place for whimsy, but a software license isn't it.