It's unfair for you to demand that I answer your specific questions when you ignore like all of mine and other people's, but okay.
Why should a FIGHTING game be played for more than 60% of a match by grabbing the ledges?
I don't know; blame the developers and the metagame. However, this question is untrue regardless, as this only happens for a small number of match-ups compared to the total amount in this game. What would your suggestion be for changing this? A ruleset change to target this would bring in more problems for the entire cast, as well as potentially more problems in general.
I If you guys do not consider this a fighting game, then why do you guys use rules that are primarily used for fighting games.
Irrelevant because we assume this is a fighting game.
Why do you guys use %s to determine the winner after a time out when the real game actually calls for a sudden death(meaning %s were never intended to be used to determine a winner)
1) This game wasn't designed competitively, so at least in my opinion to take its every word isn't the best idea if we're trying to make it competitive (part of why I don't understand why people think Ganon winning ganoncides is so absurd if we already do this).
However, a ruleset without percents winning by time out creates its own set of problems. Namely, this means the "loser" can time the opponent out instead of the "winner." Your opponent is at 120% last stock, you're at 130% 2nd stock and you die with a minute left, and now your opponent just runs away. The only difference between this and our current ruleset is that following the ideals of most all other fighting games, the person winning is at the disadvantage and the person losing can tie back up the game.
not to mention the fact that certain characters are built differently and will not always rack up the same amount of damage as other characters at any given amount of time?
this happens in every fighting game.
ever.
show me a fighting game where every single character is exactly the same. you won't (or at least people won't play it competitively). Every character in any fighting game has different damage outputs, so bringing that up was pointless.
Can you tell me why a Falco should ever have to approach an MK even though it is clear that these characters were built for two entirely different styles of play?
The developers weren't building characters around competitive 1v1 play, and even if they were, it doesn't matter because what actually happens in the metagame can change. Example: from what I gather, the developers of Starcraft II thought Protoss's Hallucination spell would be a lot more viable, but it's barely used in real games due to its money cost, energy cost, and time.
You can't randomly say, "well Falco wasn't designed to approach characters it's unfair for him to do so." Any charcater can approach or run away, just some options are more viable than others with certain characters.
edit: Sonic's HA stall is exactly that: stalling. It not only avoids conflict, it eliminates it. It is clear cut stalling, you can not hit him without suiciding.
MK running away is not clear cut stalling. It's not stalling by any regards, it's just him running away. Yes he has the advantage against a lot of characters, but it's not much different from him approaching and having the advantage against a lot of characters.
tl;dr: You can do something about MK or anyone running away. It's not stalling. It's not as easy as you say it is otherwise everyone would be winning locals, regionals, and nationals with it. You can't do anything about Sonic's HA stall, therefore, it's actually stalling.