Well, not to characterize a breed, but the Mals that I have been around in the schutzhund/IPO world can be a bit touched. And, from what I understand, the not-so-good ones end up on police forces (i.e. not suitable for the sport for one reason or another).
And, knowing quite a few K9 officers, they are generally not the most suitable sorts of handlers for most Mals. I wouldn’t write this off as a bad dog without knowing more about the handler, the training of both, and the circumstances.
Too much in-breeding? Well, the dog is going to live with his handler.