I think faction caps are a myth, probably brought about by other confusing elements such as faction floors (most merchants will never con below dubious even if your true faction is scowling), and huge faction offsets. For example, I turned in probably 500ish stacks of bone chips to get to apprehensive with Cabilis Residents. For the first 450 or so, they all scowled at me (except for the merchants). Also, some of the Crusaders don't con the same as others... so apparently these offsets can be on a per-mob or per-zone basis.
I'm fairly confident that I could turn in a couple hundred more stacks to get to warmly with Cabilis Residents, but to shave a few coppers off my Earthworm Munch bill, it's just not worth the effort.
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