Put Dathric's Spirit to Rest
You will need:
The sword is of exceptional quality, finely crafted and perfectly balanced for a battle-mage. The seal of the Kirin Tor and the name "Dathric" are engraved into the weapon's pommel.
Turning the weapon over in your hands, you notice a sense of wrongness radiating from the metal, as if the item is torn between two worlds. Could this be the item anchoring Battle-Mage Dathric's spirit to this world?
Perhaps returning it to its proper place can break the bond, freeing Dathric's spirit to rest at last.
Dathric is located in the Town Hall and his house's location is 57,87. It's the only non-destroyed house so you can't see the weapon rack from the air (the house has a roof).
You've done well, <name>. I can no longer sense any restlessness in Dathric's spirit. I would give much for the opportunity to speak to him one more time, but it is enough that he is finally at rest.