((this might be considered a whole bunch of Bugs, and thus multiple rewards are expected. Of course. ........<pause for laughter>.... *giggle*))
Area where it happened: 2P
Assumed Priority (from player's perspective): High
NPC involved: "sinister-looking Waterhavian" (i.e. those muther-fesking Thugs who attack you), and the "City Guards" patrolling.
- Thug smacked Ramirez down to 2hps, lazy-to-react familiar took over heading off Thug, almost died, Ramirez Unsummoned familiar on the run so he would not die, Thug chased Ramirez, but Thug decided on his own to re-Target to a City Guardsman walking near by (thank Gad), or maybe it was the closest enemy to him after the familiar was Unsummoned (probably this). Thug started whacking away at the Guard, and the guard just stood there. Ramirez bolted away but came back to check out the situation, witnessing the Guard getting killed he started shooting the Thug again, then Ramirez shot and killed the Thug.
- Not sure if Guards would fight back against a PC, I'd be happy to test that anytime.

((Maybe the Thug is a certain faction in the engine that is "never" set to hostile for Guards for some reason to help that situation play out correctly for PCs? Not sure.))
- Dead Guard had a bunch of nice gear, which registers as "Stolen Goods" to vendors... makes sense vendors IC would not buy Guard gear!
((of course I only know this for BUG TESTING purposes ONLY, of course!! Ramirez would NEVER!!! *ahem*))
Removed thief from area as faction editing too time consuming to test