The Rat Quest
If your hero gets killed doing the rat quest he vanishes and it says you killed the rats. My hero had 1hp left when I tried it and it took me a while to realise that he was dieing. I can see the headlines "Hero killed by NORMAL rats!"
Movement
When I load the game or move a different unit my king's,who has the organize ability, movement will drop to that of the lowest unit in his army. Other units with equipment that gives the a movement of 4 or higher will have it drop to the units base move. I didn't notice this when I played book I, but its painfully apparent in the game mode.
Town expansion?
I had a quest location show up and block at towns only expansion direction, even after it was cleared.
Combat Morale
In a battle with Carrodus who has the intimation ability and my king who has the natural leader ability. My side starts with close to 0 morale and panics nonstop after the first round. While they obliterated Carrodus minimal loses. Combat Mode problem If you kill some of the units before switching to auto mode you don't get loot from them, I don't know about xp. This was really noticeable in the battle with Carrodus. If i killed him out right with auto-combat I got around 500g but if I killed off his canon fodder then switched I only got around 100g. This can be a pain if you get into a battle where both sides keep missing as it looks like switching could cost me most of the loot.
AI????
After I accentily concerned Carrodus' capital a the being of a game while it was undefended he just ran away from my much weaker unit. Then to keep him from making a town too close to mine I chased him into a corner where hesat for the rest of the game, rather the go by my new town and exit the U shaped mount rang. Furthermore when killed him later(In the battle under Combat Mode) he had what looked like summoned troops. If he lost his only town at the being of the game and doesn't have the arcan research talent how did he get them? I hope the AI is cheating one did in one of the civilization games.
("Honstly! I didn't meen to invade and kill your wife I was just taking this noble girl home... wow, she took me from level 1 to level 3! When are you getting married again?)