Acharya Prashant explains that the common instruction to not judge others does not mean abandoning discretion or the ability to see things as they are. Instead, it means not judging based on past notions, images, or prejudices. True judgment is instantaneous and rooted in the present moment; if someone misbehaved yesterday but is attentive today, they should be seen as wonderful now. He emphasizes that one should live in the moment rather than carrying over mental baggage from the past.