I'm really looking forward to this being fixed. It'd be even better if NPCs actually reacted to your casting attack spells and/or breaking doors/containers (even those that aren't considered "owned") nearby.
But at the other extreme, being murdered by a guard for stealing a piece of parchment is wayyyyy overkill. Taking (especially low-value) items shouldn't ever trigger a kill response as the first resort. This happened to me in the harbor warehouse. I know the guards in that area are on high alert or something, but still... that's cray-cray.
