Problem-Solving Combat: Example in Cunning Knave

Spoilers for my players!

I've run three sessions of my first draft of Cunning Knave, and they've gone quite well. Only in the third session did we end up in an unambiguous combat situation, so I had an opportunity to see how the Problem-Solving Combat rules felt in play. I want to provide a summary here to give some concrete examples of what I'm talking about in Problem-Solving Combat: Breaking the Cage of "Roll Initiative", which includes part of the rules used here.

Imperfect memory has altered some things and some rough edges are smoothed over - don't take this as an exact log of events, but a combination dramatized play report and idealized example of Problem Solving Combat using Cunning Knave, with some commentary about how I adjudicated things on the fly.

I wrap up with a continuation of my thoughts on this style of combat from my initial post, which I think doesn't quite stand on itself enough to get my point across. I may follow this up with a third post on the topic, focusing on advice and procedures for generating and evolving interesting combat situations, for players to sink their problem-solving teeth into. And I intend to eventually release Cunning Knave into the wild as well.