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Originally Posted by FAQ
Q. King Tut and the Wight Brothers say "Characters of higher Levels [than 3] lose 2 levels, even if they escape." Does that mean you lose two levels even if you defeat those monsters?
A. No. But if you cannot defeat them, then you must try to run away, and you'll lose the 2 levels even if you do escape. If they catch you, of course, you do suffer the Bad Stuff from those Monsters. (But you don't lose the two levels twice!)
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So you lose the two levels only if you lose the battle, whether you successfully Run Away or not, also suffering the Bad Stuff if they do catch you (as it doesn't involve level loss, so isn't caught by the parenthesised clause).