
There is an argument that says you can have a sound moving mongrel, so you cannot have soundness without type in a pedigree dog, but you should never reward a typical dog that is UNSOUND.
So if I had to choose between a fabulous mover that was untypical or had glaring faults re it's breed type, and a superbly typical outstanding animal whose movement was not super but totally within functional healthy parameters, then the second would win.
Now you are talking of a toy breed that by it's shear shape and size isn't going to have the conformation that a hunting dog or herding dog would have, and it doesn't need to have. So a dog that is a little out at elbows or close behind is not going to suffer ill effects in it's life as a companion.
On the other hand the lack of a sweet disposition would not make it a good companion.
Mind you the movement and conformation I have seen on some working spaniels looks horrendous yet they do their job of work fine.
Working Terriers may not always be the sweetest creatures alive, but they sure do kill vermin well.
What most judges hope for is that there are sufficient animals in the class that they can disregard the totally unsound ones and then find a really typical one that is sound, maybe having to decide if the slightly better moving one is good enough type wise to go over it.