Is there any reason to avoid using text-align: justify;?
Does it reduce readability or cause problems?
There's no technical reason not to - it's purely a design decision. Many people find that justified text is harder to read, but I guess it depends on your situation. Though it works fine for print, generally web browsers do not give enough control over the eventual output of text to guarantee that what you're serving won't look like crap on some people's screens.
Your best option is to avoid justification.