I'm reporting this as a bug because I thought this was supposed to be changed after the Fallen class evolution was added. Betraying the trapped merchant is supposed to be one of the "heinous acts" you can commit to qualify for the prodigy.
For reference, I saw this while playing a Higher Sun Paladin, so I started in the Sunwall. Might not be an issue for races that don't start in the East. When I entered the Assassin Lord room, the bandits were automatically hostile although I don't think I did anything to aggro them.
[1.7.4] Assassin Lord is hostile to Sun Paladin
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Re: [1.7.4] Assassin Lord is hostile to Sun Paladin
Not a bug. Sunwall faction is inherently hostile towards Asslord, so anyone who starts in the east can't join him.
Friendly Neighbourhood Moderator, moan at me for a teleport if ya get stuck.
Re: [1.7.4] Assassin Lord is hostile to Sun Paladin
But should it work that way? That seems like a thing that's just been carried over from before Fallen prodigy was a thing. If I can become an evil paladin, I don't see why I should be forced to side with the merchant. It's not like some thugs living underground in the West are going to know what the Sunwall is anyway and use that as a motivation to attack me on sight.