engine failure after rotation

[birddog]

Two questions:
1) A buddy of mine just returned from initial training in a late model 337. The training stipulated that after rotation to "land the aircraft on loss of an engine if the gear was still down and you had runway remaining to land on". Just writing this down makes it sound like a questionable technique. Would you agree with this?

2) They were also training using zero flap take-off as standard. Does the aircraft not have better climb performance single engine with 1/3 take-off flap setting?
BD
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BMW R65