In Wolf’s Clothing
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In Wolf’s Clothing is a large side quest that takes place in an abandoned garden near Freya’s temple. This quest can be initiated by reading the notice board at Larvik or by going through the main quests Missing Persons and Nameless.
First off you’ll need to get more information about what you’re dealing with so go and speak to Josta near the Temple of Freya. He tells you that the beast has been killed many times before but it keeps coming back to life. It appears the beast is under a powerful curse. Josta tells you that an Archpriestess cursed Morkvarg on her dying breath. To learn more about the curse you’ll need to talk to Einar who survived the events of that day.
Make your way to Larvik’s harbor to find Einar and talk to him. He’ll tell you that Ulve, the Archpriestess, cast a curse on Morkvarg that turned him into a Werewolf. He attacked and tried to devour his men but they turned to ash in his mouth.
Make your way to the garden and investigate as much as you can. You’ll eventually come across a mechanism that gives you access to the werewolf’s lair. Go inside to find Morkvarg talking to himself about a key. You an choose to attack him now or head back out and search for the key.
Leave the cave and go through the rightmost gate. Dive into the water and find the underwater entrance to a flooded cave. Among the bones you’ll find a Padlock Key. Make your way to the house, unlock the doors and go inside to find Morkvarg’s Journal.
Upon reading the journal you’ll find out that Einar survived because he was one of Morkvarg’s men but forfeited his share of the loot after feeling bad about the preistesses.
Lifting the Curse
Go back to confront Einar. You can fight with him or try to reason with him. If you talk to him you’ll find out that he was the one who cursed Morkvarg after he killed the priestesses. To lift the curse you only need to give him the Cursed Fang Pendant.
Einar will refuse to give him the pendant unless you agree to kill Morkvarg after you lift the curse. You can also choose to fight Einar and take the Cursed Fang Pendant once he’s been killed.
Either way, head back to the garden and find Morkvarg again. You’ll need to fight Morkvarg first to calm him down. Once he’s stopped attacking you give him the Cursed Fang Pendant and the curse will be lifted.
If you’ve killed him before and have the Werewolf Meat you can also feed that to him to lift the curse. Feeding him his own flesh will kill him immediately.
Assuming you’ve given him the pendant he’ll be free from the curse and claim that he’s going back to raiding the seas. You can choose to fight him now or ask about the reward. If you ask about the reward he tells you to go and see the Loan Shark in Novigrad. The Loan Shark will give you Deithwen and the Werewolf Decoction. You can also go back to Josta at Freya’s temple for her reward of 85 Crowns.