So Oblivion and Skyrim both had sleep, waiting, fast travel, and jail: aspects of the game that used up in-game time. For TES Online i dont see fast-traveling or waiting being in-game, but sleep andd jail will probably be. The problem with these are still that they require in-game time but since this game will be online, that may translate into real-time. How ddo you guys think they may implement being sent to prison and sleeping?

Great question! One i unfortunately do not have an answer for. I highly doubt they will have real time jail as that will just be unfun for players. More likely something where you loose your progress in leveling up a skill I would say, but that doesn't sound like the best Idea for an MMO either.

I like the idea of real life prison for in game infractions.

insta-jail.. means you are brought to the jail and take a hit to EXP and finesse

Sleeping and waiting might work for the insides of instances, but it wouldn't work in open world.

Jail would be hilarious (just not when it happened to you) - get caught pickpocketing and get dumped in a jail - using the old break out with your lockpick and sneak. Probably get the choice to do that or lose some gold for a fine maybe? Don't like the idea of losing xp whether that be for skill progress or total level progress.

Well, as we cant have a real jail system like IV & V, I would like to see a type of justice system.

Jail would require a few things:

Pickpocketing - In several mmos, allows you to steal from npcs, possible PVP for small loot / coin bonus
Lockpicking - (possibly in testing stated by http://elderscrollsotr.mymiddleearth.com, open chest / doors
NPC - Killing non hostiles / Assassinations (Dark Brotherhood recruitment possibily i hope!!!)

Sleep could offer:

Spawn Point - This would allow you to bind at an allowed bed location
Healing - Could heal some penalties for death or other debuff you have suffered
Rested - Log out in a bed, and when log in game % bonus on timer.

Have to wait and see

@Kalron78 - I like your idea about logging out in a bed giving xp boosts. That's quite cute, and rp-ish, and also would be great incentive for player housing.