Would that be the Dunning-Kruger effect? A bit of light reading has me thinking that it's more a case of "It's not that I'm bad at explaining myself or understanding you, it's that you're an idiot and I'm too smart for you".
Well regardless of which definition it is I wouldn't think a translation team (that is dedicated to translating) should have this problem. As MalusCourvus said foreign words tend to pop out with Japanese since there written in katakana. The only way I can think of is that using another method to translate. As an example, I typed in Vampire Lord (Eden's class) in katakana in Google translate and it gave me Vampire Road. Granted they sound similar in Japanese but one can use basic understanding to see which is more appropriate.
Also to further counter lolix, they managed to to get Dracolich's original name, Sevlml, which should be even more difficult to transliterate from katakana, but they put an r rather than an l in the dragon's new title. Unless they're trying to be different it's a poor mistake. Also Elyse for B. Iris doesn't count. That gets a slide because even though there is a discernible difference between イリス (B. Iris) and イーリス (G. Iris) in Japanese, that nuance is lost in English. (Mentioned in case anyone uses it as a counter argument)