How this happened: A dragon was attacking the town and I was trying to help the townfolk defeat the dragon, and in the midst of shooting a bow at the dragon I hit one of the people in the chest, killing him. His wife immediately attacked me. I turned to run and kicked a chicken, which apparently is a big no no in Skyrim and about 3 to 4 more people started chasing me. At the time I was only like a level 8 or 9 and I was not completely familiar with the town lay-out. I was cornered and either faced death (due to lack of good armor and not a lot of hit points), or fighting the villagers. I was not smart with my last save and it was long enough ago to make it very inconvenient to restart so I fought the villagers. The more I fought though, more people joined in because of me beating their spouses. This happened until no one was attacking me anymore. When I walked around seeing who was left there was not a single person walking the streets. The friendly Nords that I met at the start of the game had been killed as all the shop owners and their families. The only ones left are the people at the inn and the children. Oh and there's a courier wearing nothing but a loincloth too. Dont know where he came from.