Sir Klaus Vasper:
I can see that you are in desperate need of the Sword of Binding even without an explanation. But unfortunately, I can't lend you the Sword of Binding without the permission of the Einhasad shrine. It is just to make sure that the sword doesn't get in the hands of the betrayers from Shilen. According to the legend, this sword has the power to seal the Black magic creatures, but it can also be the key to freeing them.
Go and meet Priest Vadin in Town of Oren. If you have his permission that you can use the Sword of Binding, I shall gladly lend it to you.