Im a BIG fan of Silverlight and also i really like the Model View ViewModel pattern. Nice part is that those two fit perfectly. The downside is that everyone is doing MVVM the way they like it or the way they think they like it. There is no strict guidance, there are no ‘Bible’ kind of books written on the subject, there is only a enormous pile of information (of varying quality) on the web contributed by developers all over the world trying to (ab)use this pattern in their everyday practice.
(probably you can take this post as just another small contribution to that information pile on the MVVM).