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It's been a long time since I've played BGEE, so apologies if I'm missing something.
I'm in Chapter Two and I still have the Chapter One quest "Zhurlong's Missing Boots".
I've killed every hobgoblin I can find in area AR3800 including the ones near 1900, 2670 and none dropped Zhurlong's Boots. I did get a bunch of gems, arrows, swords, etc. I waltzed through this area earlier but never came near this location (I kept to the path). I will try a reload from earlier saves to see if they show up.
Game version is 184.108.40.206 - were the boots moved to another location perhaps? Thanks! -Fred