on the ps3, I dropped th Sanguine rose on the ground of Rosethorn Hall, it disappeared in to thin air. The lore said it dissappears after sanguine deems you unworthy, he takes it away, he could have warned me... Maybe I shouldn't have used as a decoration...
LOL i had a simular thing happen to me tonight a couple of times i had to sneak into a npc's home (in order for me to do that i had my avatar strip off everything armor etc or i get caught) atfer each time i kept losing my swords i kept having to buy new ones