The Little Wonder wasn't to blind him, it was to stab him in the heart. It had a knife blade that would pop out and Judd was going to slam it into his chest. So yes, he was plotting murder even before the fire.
Judd is more than just a loner. He's creepy and violent. Judd also relates a story about a farm hand who was obsessed with the daughter or the family that hired him and when she rejected him for another, he burnt them all alive. The implication of the scene is that Judd approved of it and that maybe that hired hand was Judd himself. The way his eyes shift around and the way Curly reacts to the story makes you think that Judd did it. Judd is NOT a character that deserves much sympathy.
Curly's no treat either, though. He spends a scene trying to encourage someone who is obviously upset to commit suicide. And he definitely takes a delight in insulting Judd while he does it.
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