It’s kind of ambiguous really. On one hand:

  • betrayed by former allies
  • false flag operations against them
  • Federation dispatches most modern ships
  • attacked with bio weapons
  • revered war heroes switch sides

However,

  • not the main organization in the franchise
  • deemed terrorists by respectable officers such as Admiral Nechayev and Gul Dukat
  • have betrayed their uniform
  • allow violent criminals in their ranks