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Items are not proxies. Proxies are proxies, Items are Items. The Item is supposed to call a method in the proxy, it is not the proxy itself.

And all of those examples are terrible. Because all three of those things are main mod class tasks. Check out this and this instead. Or even better, this. Yes. That's how proxies work.

It will cause the server to crash, as such class does not exist on the server side.

That code from the original mod is not going to work regardless of the side it is on, as spawning ItemEntity in the world must be done on the server side. However, the Minecraft class (used in your if statement) is client side only. In your case, you might want to look at how proxies work.

Checking if the world is remote before doing client side things does not stop the server from crashing because the JVM does not know what that check cannot return true. In fact, it will crash before ever getting to this line. It crashes when the class is first loaded because it has to check to make sure it knows where all of the classes it loads the JVM knows where to find them. And it goes "Minecraft, Minecraft, OH GOD HELP ME JESUS, I CAN'T FIND THIS CLASS!" and dies.