Whenever I enter the cantina in the Huline Village and talk to Baccata does my game crash when he finish his initial dialoge. Did experience the same issue and found a fix?

There's quite a few topics in this forum on how to bypass this bug already.

To save you time though...

Edit dosboxLOL2_single.conf in your Lands of Lore 2 Install directory using notepad or something similar.
Replace the following line with After bypassing the bug save your game. Revert the dosboxLOL2_single.conf back to it's original line and make sure to up the graphics quality again in the in game options.

(You can also spam the attack button [default 'f'] upon entering the Cantina if you're playing as an Evil Luther to also bypass the bug, but then you'll have to fight Baccata)

Enjoy the game! Especially the upcoming optional Dark Halls area :)

Thank you :)