When you deliver the Preserved Froglok Legs to the Gobbler in Neriak, he gives you nothing, at all, in return; he simply takes the item.
He should give you a random amount of gold, and possibly an item, as listed here:
http://everquest.allakhazam.com/db/quest.html?quest=291
I am not certain about the faction changes, you would have to make that call.