This is on a scripted sword ("Dwemer's folly", OE IC quest) that only appears at a certain point in the game. When the player picks it up, two ghosts spawn and a different sword with the same name ends up in the player's inventory. It's only logical that the first sword should be disable. But it doesn't... or rather it does, but then it gets instantly reenabled in the next script run.

If I am not mistaken, this can be solved easily: swap the first two if-blocks ("if ( GetJournalIndex TR_m3_IC_OE_TheftBrass smaller 50 )" and "if ( done == 1 )").