Ally NPC VS. Hostile NPC in-fighting not occurring

Windows 7

When encountering NPC’s that turn hostile after dialogue; i.e: failing to persuade them you mean no harm, Allies fail to attack them.
They also decide to attack naturally occurring hostile NPC’s last second.

did you check your settings on your followers too? They have the option to “only fight when your life is in danger” - means, they wouldn’t attack enemies unless they are being attacked for example.

Yes, infact i’d tried every setting, it seems they removed certain encounter options, i’m not sure if it correlates.