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Alright, so here's how it went:
I was caught with a bounty, so I was given the option of either paying gold or going to jail or resisting. I decided to pay. So I was taken to the castle, etc. and when I got out, there were an assortment of NPCs from previous quests I had done. There were the three Fighter's guild members from the Weapons delivery quest, a member of the Dark Brotherhood (Telendriel or something) and the Bleak Mine Guards from the Malacath Daedra quest.
As soon as the everyone noticed everyone else, it became a huge melee between the FG members, the DB member, the Mine Guards, and the City Watch. I was too busy watching the fray that I didn't realize I was dieing from sun damage! So I died, and I have no idea why this happened (the random spawning when I got out). Anyone else with this happening? It sure confused me!

I have two of the FG members (one died when I wasnt looking) hanging out where ever I go. I dont have Taelendril outside of any castleSPOILER:

Spoiler

Due to the fact that I killed her and every one else in the Cheydinhal Sanctuary, however while she was alive I only saw her once outside of the city, Ocheeva sends her out on a quest right before you receive the Purification Quest, I stalked her to Leyawiin, other than her hanging around the castle there , I have never seen her any where else. [/SPOILERS]. As for the Cave Gaurds, no clue havent gotten to Malacath yet.

Any time i pay a fine and get moved to the nearest castle there are 2 bleak mine guards standing there. They dont attack, the guards dont touch them and when i talk to them they say things like "Stop theif" but nothing happens