All I did was initiate combat with Medreth's group. I believe I cast two fireballs, Knock Down and a Priest buff, and that was it. Half way through combat their selection circles changed to friendly - possibly related to pausing.

Edited October 25, 201411 yr by Sensuki

Yeah happened to me twice as well.  After i did some damage to them they became red again.

From what i've gathered, this has something to do with buffing/healing spells.

 

I've noticed that when the enemy dwarf priest cast a buff spell, or a heal spell, it can hit your party as well.

No benefit effects will be given to you only the spell visuals will appear like they affect you as well.

This can cause the enemy circles to become green.....sometimes.

+1

Happens all the time with Medreth´s group.