In discussion with this NPC, in my own temple of thunder (Karana is my diety, kindly faction with NPC Runethar Hamest). After following some NPC dialogue and saying " i wish to assist lord bayle" and then "retrieve the bayle list" he hits me with this "You have proven yourself not only an enemy of the knights of thunder, but an enemy of Karana himself, now leave sewer rat !"
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I can tell you right away that i think this triggered because i did not complete the CLR/PAL Bonethunder staff quest.. but its something interesting to take a look at anyways.