I think how we are going to approach it this time is that if you steal stuff from NPC's that is obviously their property, they will try to kick your ass.
What I didn't like about Aralon's system was that once you did something bad, you were basically forever condemned to be an outlaw, and it was extremely hard to change without going to the sewers. This way is more localized. Obviously Ravensword 1 didn't have any of this, but its certainly a cool enough thing that would be worth putting into #2.
I'd try and emulate Skyrim's morality system as that has seemed the best so far. Each province (so you could do quarter of the map?) tracks its own bounty, so while you may be free in one area, going into one where you are notorious means you will be spoken to and punished.
You then get a progressive bounty on you, and the higher this is, the bigger punishment you get. For example, at lower bounty you may just get talked to, and then can either talk your way out of it, pay off your bounty or try and battle the guards/go to prison while at higher bounties you will be attacked on site. Once you have spent your time in prisomn/escaped/payed off your bounty and earned the people's respect you're forgiven. And if you#'re not seen doing a crime, you aren't punished for it or given an increased bounty.
That's a bit confusing, and of course the difference between the AI of SKyrim and Ravensword will probably be quite big but a system like theirs is the only one which has felt satisfying for me thus far in any game.
As a reminder: Skryrim took about 5 years to make with a staff of hundreds and a budget of more than $100 million. Emulating Skyrim is not an option; the only way for CM to deliver a good game is to provide a much more focused experience.