Actually Blackthief's holiday pic is a good example of that, he's doing his diffuse textures with a palette that'd fit easily in T2. It'd look great in T2, but in D3 it almost has a cel shaded quality to it. You have to tone down colors because of the way D3's renderer works.
I tend to agree with you in that case - the colors of the mansion theme I used for those rooms were oversaturated and that's actually not what I wanted to go for. The reason for this is my crappy LCD monitor - I bought it because I haven't enough space on my new desk for a 19"" CRT and for a long time (actually until some weeks ago) I haven't noticed that the colourtemperature was off - that made everything look washed out and so I raised saturation without actually knowing it. Some weeks ago, when the discussion in the Off-Topic started I checked my textures on the old CRT and was totally shocked everything looked like illuminated with a red light - after some tests I figured out that the "red lighting" was caused partly because something's wrong with the red color on my CRT, but also because my textures were too saturated.
I "fixed" the colors of my LCD now so that they look more like on a CRT, but I'm planing to put a new CRT somewhere beside my LCD, just to check if everything's right.
BTW I'm going to post some screens of the entrance hall soon - I created a new set of mansion textures for it, that fits to the otherone, but isn't that "redish".