The 400" rule on a 737 was explained to me with above mentioned plus the fact that burning engine still produces thust and main priority is the terrain clearance. And indeed, that is how the sim plays it on us. Which brings me to the original idea, is this correct? On the other hand, seized fan creates extreme drag and shutting down the engine comes as a relief. What would be the effects of a stalled/surging engine...?
FD