Raze:
try deleting all of the files in the '..\Divine Divinity\Run\Dynamic' folder.
This folder is used as a cache for the game. Files are created / copied there from the save game folder when you load, and written / copied from that folder when you save a game. The files will be re-created as required the next time you start Divinity. If there was a corrupt file in that folder, deleting the files should fix the problem.
Maybe this helps if your save is messed up. And again, look at the ropes very closely, are they exactly the ones as on this pic?
http://kiya1.via.t-online.de/images/Div_Telcheck1.jpgxxxxxxxxxxxxxxxxxx
About the Dragon armour: Did you give the king axe and letter on your first try? Or just the axe because you forgot the letter? Try again, as soon as you're past the guards, what's in your inventory? Axe and letter? I'm asking, because the guards strip you of everything if you've been in his room without having both first. If so, throw the letter past the guards before asking them to enter.
Kiya
