Curse of Fiend was printed a long time ago when confusing card text roamed free so making rulings from its card text is not recommended.
Again, activation and timing requirements can't be part of the effect since it absolutely makes no sense of something that applies to before the effect resolves in the effect. It's like a card with an effect "you can't activate this card". To get the effect "you can't activate this card", you must first activate the card. I hope you can see the problem with this.
Thus Curse of Fiend's last sentence is a timing requirement and Diamond Dude not being able to bypass timing requirements follows from that ruling.
Level 1 YGO Judge
Level 1 Player Management
Level 1 Tournament Organizer
http://entertainment.upperdeck.com/community/forums/post/1321840.aspx
skey:I'm in agreement with Tsui