Yes. He's a part of the marshal DeGosh's storyline (the guy outside the tavern). If you talk to DeGosh, he'll ask you to free the Duke of Delaware in Verona. If you do so, the Duke will ask you to beat up Krause and find out why Demenion became the new King. If you beat up Krause in advance, he will go to the docks and wait for you there. Talk to him to finish this part of the story and then complete the quest.
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