Killed him 5 times yesterday, and got 1 hammer and 4 hoods. Slaughter everything near the paladin camp and he'll spawn. You'll know you killed the PH because he spawns INSTANTLY after you kill the PH. Fire beetles, skeletons, bears, they can all be a PH.
You don't have to kill the actual paladins or Glaron the Wicked. He spawns on the hillside halfway between Glaron and the paladin camp. I don't think the orcs have anything to do with him either, but I'm not positive.
If he's carrying the hammer, he'll drop it (and it's lore). If he's not carrying the hammer, he drops the hood.
Easy camp for a caster. On my druid I root him, dot him, and sit till he's dead. The only thing he can cast is root, so he doesn't even interrupt your sitting.
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