Just to wrap this up: It seems, even with the patch there is a glitch during this quest.
If I open the jars and level up before I kill everything I am okay...the queen comes, says her piece and gives me the key and I can enter the house.
If, on the other hand, I kill everything, then go back to do the jars I do not get the cutscene, and my character just freezes there. The game isn't frozen per se, but all my menus leave like I am about to hit a cutscene, I just don't, and can't move him.

So heads up.