Just beat some massive ghost in the bottom of a ship senseless. He kind of destroyed me the first time, reducing my skills to the point that I was over-encumbered and couldn't even move (not that I had a chance, he whupped me quickly.)
Second time I was ready, spawned a scamp behind him, he fought the scamp with his back to me, very easy win.
Thus far I've had no combat issues. I'm an orc with lots of strength, blunt, and conjuration. But I haven't done the "main" mission at all yet.
Doomriders: the first new band worth a signature - http://www.deathwishinc.com/