When you enter the keep there are 2 doors. It's that cutscene where the mischievous slime girl assaults either Riliane or Celeste. I suspect that Riliane's absence somehow causes that bug to trigger.
Yes! And I choose to walk because it's helpful to have Gaia on your side to fight off your alter ego. The embodiment of guilt or something. This fight can be a pain 1 on 1 on harder difficulties.