Sanctuary vs. Stronghold

I was playing as Orcs against Sanctuary in a duel (against a strong AI). I noticed that the Priestesses' Medusa Gaze removes positive spells from my units, even though the description of this ability doesn't indicate that. Is it just me, or is this a bug?!

And another thing I don't understand. Why do Sanctuary Warriors sometimes move before my Orcs, even though they have lower initiative?!