Ill Met By Moonlight - The Elder Scrolls V: Skyrim Wiki Guide

Ill Met By Moonlight can be started in Falkreath and is one of two quest paths towards becoming a Werewolf. It is part of the Daedric Quests.
To start the quest speak to Mathies in the Falkreath graveyard. The graveyard is to the North, between the wall surrounding the city and the first building, as you walk into Falkreath after traveling.
If you killed Mathies, or if a dragon managed to, simply go into the Falkreath Dungeon below the Guard barracks and speak to Sinding to start the quest.

Objectives

• Speak to Sinding
• Kill the great beast
• Begin the hunt
• Hunt or Spare Sinding
• Skin Sinding
• Speak to Hircine
• Kill the Hunters
• Talk to Sinding

Walkthrough

For maximum benefit become a werewolf before starting this quest. This way you can have unlimited werewolf transformations.

In Falkreath, a man named Mathies has just lost his darling little girl to a serial killer. You can start the quest by prying a little into his personal life and asking about who died. This will lead you to the murder in jail
Sinding is the man in prison for murdering a girl. Talk to him and he'll tell you his story. After the story, he'll give you an unequipable cursed ring. He will then transform into a wolf and escape jail. Your next objective is to return the ring.
After tracking down and killing Hircine's Beast (don't freak out, it's just a stag) Hircine will speak to you through the stag's spirit. He will tell you to hunt down Sinding. Accept the hunt and track him down to Bloated Man's Grotto.
Enter the Grotto and talk with Sinding. This is where the quest splits up and gives you different rewards for the outcome. Either follow those rules, or try a third option (Seems like a glitch) and receive both.

First Choice

Don't kill Sinding. Instead, help him kill the hunters. Hircine will tell you to kill Sinding. Now exit and Hircine will appear again in his stag glory to ask you if you killed Sinding. It doesn't matter if you pick "I failed" or "I disobeyed your orders" he will still commemorate you about turning the hunt around (hunters become the hunted). He will then take the Cursed Ring of Hircine and uncurse it, providing you with the Ring of Hircine. The ring only works if you're already a Werewolf!

Second Choice

Kill Sinding. Skin his body, and Hircine will appear on sight to turn Sinding's skin into Savior's Hide, a magnificent Light Armor that is one of the best in the game. For max effect, smithing it improves the quality drastically.

Third Choice

Do not kill Sinding. Help him kill the Hunters, exit the cave, Hircine will greet you, quickly exit the conversation if Sinding has exited the grotto with you, kill and skin Sinding and another spirit of Hircine will greet you rewarding you with the Savior's Hide. After this talk to the other spirit of Hircine and he will reward you with the Ring of Hircine. If Sinding doesn't exit the grotto, recieve your reward for killing the hunters, go back into the grotto kill and skin Sinding, leave the grotto and you will be rewarded.