The party continued to trek through the Forest of Woe as caravan guards for the merchant Casinal. A chance encounter with the wandering spectre of the Princess Yelena has led them to unravel one of the many mysteries surrounding the Forest of Woe. The heroes questioned the spirit, who recounted how her guards abandoned her in a cold winter to freeze to death. She was able to describe a distinctive tree that she had hidden in the roots of, until something grabbed her from beneath the tree.
Travelling to the nearby town of Sunvale, the heroes decided to follow up on Yelena’s story. They found out that the tree was known to locals as the Grasping Oak, and had once been a monster lair. It was cleansed and sealed years ago by a member of Batal’s order, the Sons of the Dragon. Wrathy asked about the traps they found in the forest; he was told about Gregor, a local trapper whose son had died at the claws of a werewolf pack. Gregor was desperately trying to capture the pack members, and his traps were a danger to everyone. Meanwhile, the party has gained an ally in the Elven wanderer Kelsis, who hopes to retake his homeland from the evil that has befallen it.
The heroes entered the Grasping Oak to find Yelena’s body, lost decades before. There they fought hideous spider creatures that had spawned since the lair was cleansed. The creatures were defeated and the Princess’ skeleton recovered.