I was playing my dead is dead Redguard who was slain at level six or seven, but thats not the funny part. I saw a group of four people traveling and thought nothing of it since I had my hud off. However, when I got closer they turned out to be bandits and attacked me. The three meleers were all wearing steel and using orc weapons and I don't know about the archer. I fought as long as I could, but it was on master and I was low on potions so I died.

Enemies basically have level ranges which will match your level but not go below/above a certain point.

I just thought it was funny that they all steel armor and orc weapons, and I still had iron.

I've come across those, they were all bandit leaders. I managed to run away as I was my lightly armoured thief character. Seems to be a random encounter

The level scaling has to do with your overall so that's probably why your thief couldnt fight him. And level scaling has to do with when you first go to the place

Also when you encounter those alleged imperial soldiers who are actually bandits, they're pretty powerfull, too. The good thing is that they don't attack you on sight. I was level 39, had a good follower, and died.

They try to make you pay them though.

True, but they're not going to see it.

There's also static enemy placement such as: