The AI and AIS 35/2 have the same or very similar optical design as the original Nikkor-O 35/2, except they are multicoated. The better coatings do help when shooting into strong light, but it still may not be the best in that situation. Actually, it's a long time since I used the 35/2 and I don't ever remember having trouble with flare - the images were very sharp and contrasty - but I don't recall shooting into the light with it so I don't think I ever tested this aspect.
For shooting into light the AF 35/2 might be a better option (??) It has a smaller front elements so should be less susceptible to flare, but I have never tried it. This lens does not have the best reputation, but by f/4 and f/5.6 it should be as sharp as anything else. Plus it focuses very close which might be useful.
I don't use 35mm very often, it feels like an awkward focal length in my kit, although I quite like shooting with this focal length. With a 35mm lens the next lens up is 50mm which is too close, and 85mm feels too far - I miss the middle ground. Going wider, 28 and 24 also feel a little too close, I could choose 20mm but then the whole kit feels weighed too much to the wide end. So I generally choose a 24 - 50 - 105 kit instead which feels more balanced.
