I gave this one in my previous post. Explains why elves weren't totally good.
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But the Elves are not wholly good or in the right. Not so much because they had flirted with Sauron; as because with or without his assistance they were 'embalmers'. They wanted to have their cake and eat it: to live in the mortal historical Middle-earth because they had become fond of it (and perhaps because they there had the advantages of a superior caste), and so tried to stop its change and history, stop its growth, keep it as a pleasaunce, even largely a desert, where they could be 'artists' – and they were overburdened with sadness and nostalgic regret. In their way the Men of Gondor were similar: a withering people whose only 'hallows' were their tombs.
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Evil comes about from good intentions:
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The Enemy in successive forms is always 'naturally' concerned with sheer Domination, and so the Lord of magic and machines; but the problem: that this frightful evil can and does arise from an apparently good root, the desire to benefit the world and others - speedily and according to the benefactor's own plans - is a recurrent motive.
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This quote is about Melkor, but can be applied to any evil - it comes about because the benefactor(s) [elves in this question's case] thinks it would be best for his will to be done while ignoring Eru's supreme will. This will always fail because of Eru's design - the world will continue with his will and those who oppose will naturally fall.