I've now made it through the annoying cut-scene where Mercer and Karliah engage in a little dialogue and then you get saved by Karliah. I suspected from the very first moment I set eyes on him that Mercer was going to turn out to be a "bad guy," so that part doesn't surprise me. I was actually so intent on watching my back all the way through Snow Veil, I kept hitting HIM a lot! and came to the realization he is flagged as Essential, so yeah . . . that pretty much gave it away.

I presently have the "Gallus' encoded journal" and I'm selling meats and pelts and junk off before I head on with the TG quest line.

Here is my question: In the "sub-Boss" room with the word wall in the back, I came pretty close to dying thanks to the mobs mobbing me, I fled, quaffed potions and left Mercer to their tender mercies. When I came back he was fighting one or two Draugr around the two crypts in the front half and I butted in. I killed one (and probably hit him two or three times) and then started working on the second (and probably again, hitting him a bit). As the second one was dying, he stands up and says something along the lines of "And now the lesson is over" which I interpreted as "Okay now is my cue to ambush you." so I walloped on him several times and drove him back down to kneeling. At this point I realized there was a skeever attacking me from behind and it had just given me Ataxia. Round about then Mercer gets up again and seemed to be attacking me, though it was perhaps the skeever he was targeting.

Once it was all over, he calmed down and didn't show any signt of aggro toward me.

I could tell there was a bit more to the dungeon and I wanted to go empty out gear from my inventory to my horse, so I ran back to the surface (where Faendal our horses and our campsite were waiting). Open the door to "We're here to teach you a lesson."

I've had some pretty bad experiences with these guys and I generally try to give myself some breathing room. But emerging in a little cramped 'well' with 5 NPC, two horses, two tents, a campfire and a curved stair made that pretty hard. I made a few swings, but I think Faendal and Mercer killed them for the most part.

Next thing, Mercer starts giving me some lecture about "I'm suspending your Guild privileges. You will not be allowed to fence goods and _something-something-else." Then he says nothing but "Speak to Vex. We have nothing to talk.

So SOMETHING triggered the start of "Reparations" a quest meant to force you to regain good graces in the Thieves Guild, but what it was I cannot say.

Anyway, I went back into Snow Veil after moving inventory to horses, and here is Mercer right along with me!

So this is my question in a nutshell: If I complete the opening episode of "Karliah" (I forget the name) and get to the scene with her telling me to take the code book to the Wizard's Guild, WHILE I was under the "
"Reparations" quest, what will happen? Will the Reparations quest be considered null and void once I complete the one (or two or however many) quest to clear Karliah's name and have Mercer unseated as Guild Chief?

Or will it somehow carry over?

My spitball answer is that I wouldn't expect Reparations to clear until you pay Vex the fine. I'd be more concerned about being unable to complete Karliah's quests while it's active. If Karliah doesn't assault you after she saves you, I'd guess you're good to go.

Did you save before entering the Sanctum, or do you have any auto- or quicksaves from before Mercer's scolding?