I’ve often been heard to warn people of the accidents that can happen when they forget about the traps that appear when you start allowing columns to be NULL – but sometimes NULLs are good, especially when it helps Oracle understand where the important (e.g. not null) data might be.
An interesting example of this came up on OTN a few months ago where someone was testing the effects of changing a YES/NO column into a YES/NULL column (which is a nice idea because it allows you to create a very small index on the YESes, and avoid creating a histogram to tell the optimizer that the number of YESes is small).
They were a little puzzled, though, about why their tests showed Oracle using an index to find data in the YES/NO case, but not using the index in the YES/NULL case. I supplied a short explanation on the thread, and was planning to post a description on the blog, but someone on the thread supplied a link to AskTom where Tom Kyte had already answered the question, so I’m just going to leave you with a link to his explanation.