I have realized that I was over thinking things and the default method makes a bit more sense now.
So the way I understand it. First check level of success, Critical beats Special beats Success beats Failure beats Fumble. Then the loser, if successful can downgrade the winners success one level for every level of success achieved.
If both get the SAME level of success then highest roll wins. In this case you do NOT downgrade the success of the winner, which would result in a Failure every time.
Now for another problem I noticed. For skills over 100% the only benefit you are receiving is increasing your chance to Critical or Special. So if I have 200% vs. someone who has 100% then if we both succeed I can't roll over 100% so the extra 100% I have is not helping.
By contrast if you use the "roll low" method (a.k.a. "best margin") then if I roll a 85 vs. the other guys 30 the 200-85=115 beats 100-30=70.
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