There are a few Arcade Action RPGs on XBL but most of them have that generic top-down camera angle and are stuck in restrictive dungeons. Crimson Alliance, Daggerdale and Torchlight come to mind (tried the demos, all very boring). I don't like that style of game myself but I know there are plenty of people who do. I'm just fed up with the lack of imagination from these developers, a bit of variety would be nice.

Welcome to the games industry!

Torchlight is a bit more special than a mere clone, as its sequel promises to be quite awesome. I'd recommend looking into that.

There also exists some pretty decent games made with the Diablo template, like Dungeon Siege 1 and 2 (Just ignore 3) and Titan Quest. You're always going to find copycats in the industry, but what really matters is if those "clones" actually take something from the source material and build on it, not just blatantly rip it off (Dante's Inferno comes to mind). If you want every single game to be original in design, you're setting yourself up for mass disappointment.