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Does completing quests influence your other quests (apart from revealing the hidden ones)?
This question / problem has been solved by Suliborimage
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Ingsoc85: Does completing quests influence your other quests (apart from revealing the hidden ones)?
No. Each quest is separate, self-containing story with scripted starting conditions.
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Ingsoc85: Does completing quests influence your other quests (apart from revealing the hidden ones)?
Sulibor is right -- with the exception here that your Hall of Lords will be populated by any heroes you select from any previously-completed quests so, necessarily, some later quests will become easier if completed after acquiring sufficiently-leveled Heroes.

(Additionally, you can choose to power-level Heroes by replaying the same quest over-and-over again and using a Hall of Lords to get them sufficiently leveled up.)
This is about Majesty 1. There are no Hall Lords in the first Majesty ;)