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The Elder Scrolls III: Morrowind Hints
Kill Gentleman Jim Stacey.
1 of 5: Wouldn't you know it? Hard-Heart's last quest is also a major strike against the Thieves Guild, namely killing the current Master Thief.
2 of 5: Stacey is in the back room in Simine Fralinie's store in the Foreign Quarter Canalworks in Vivec if you really want to do this.
3 of 5: Of course, if you kill him, you'll never get to finish his quests and become a Master Thief.
4 of 5: If you do kill Stacey, Hard-Heart will attack you when you return to him to report success. He lied about retiring and letting you take over. He just wanted you to do his dirty work before he killed you off.
