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Yeah nothing is perfect.
I'm amazed that anyone can stalk people with these things; they can barely keep track of my cats and they are in the house and in bluetooth range 99% of the time.
There was a period of time, just before Christmas or between Christmas and new year - when the system seemed to go a bit nuts. My phone would continually report that I had unknown tag with me (probably belonged to my other half) and the two we had on the cats would beep occasionally, which they seemed to really enjoy. Felt like some sensitivity tuning Apple were doing went completely wrong.
That is only available in some regions and doesn't run in the background so you have to spend the rest of your life checking. Yay.