karrank:
If F150 is assigned due conflicting traffic at F160, this is not applying the intended flexibility of the procedure in class E airspace. This is simply what happens in any controlled airspace, and ATC is still separating.
It is when the pilot reports established VFR-on-top that ATC must decide whether to clear the aircraft to maintain VFR-on-top and give appropriate traffic; or deny the clearance because that same traffic presents a collision risk.
The same limitations apply to VFR climb/descent.
Blue skies, you'll need em.
