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His dialogue depends on your faction and who currently controls the town. If you're part of the Aldmeri Dominion and Vlastarus is not under Dominon control:
- "Caution, friend. Not all in town wish the Dominion well."
If Vlastarus is under Dominion control:
If you're part of another alliance:
- "This one finds Vlastarus to his liking. A simple life, easy work, and the others keep danger at bay. Fezdal plans a long stay."