QUOTE(Spiffy13 @ Jul 3 2008, 03:16 PM)

Nope, the patches didn't work either. And I am doing it while he's praying at the grave, he just punches me though. He doesn't pick up the Cursed Mace that I drop near him.
Did you talk to him BEFORE you punched him? You're game is buggy. I would suggest loading in a save before you got the quest, and start over. You can go ahead and finish it, but you won't get the Daedric Artifact.
per wiki:
In this quest, Petilius is not actually supposed to kill you. The game just waits for your Health to drop below 20 and then teleports you back to the shrine. As long as Petilius is doing "normal" amounts of damage, your health should never fall below 0. But if Petilius deals more than 20 damage in a single hit, it is possible for you to die and be resurrected. Petilius will only do more than 11 points of damage per hit when he does a power attack or if the game's difficulty is higher than the default value.
Which of these entries (give numbers) do you have in your Journal?
10 Molag Bal's follower has told me that, in order to summon the Daedra, I must present an offering of a lion pelt to the statue. [You must be level 17 to begin this quest.]
20 Molag Bal has spoken to me, and wishes me to help him corrupt Melus Petilius, by forcing him to kill me with the Cursed Mace. I should travel to Brindle Home and see what I can find.
30 I have spoken to a resident of Brindle Home, who tells me that Petilius has lived in a small house outside of town since the death of his wife.
40 I have learned that Petilius visits the grave of his wife every day.