Andrewmoreton said:
2) In the final battle it mentions the palace rising into Orbit as a suprise combat maneuver and that doing so is fatal for the palace
While I agree that the palace normally sits inside what little atmosphere Drinax has, I don't think that it would necessarily be a problem for it to go into orbit (beyond the obvious problems for its occupants what with it not being airtight) under its normal flight protocols.
However, it's presumably designed to float about in a stately fashion, not pull a combat-thrust maneuver; it's expressly described as going way beyond redline to join the fray during that event. So, it's less a matter of "whoops, orbital altitude is inherently fatal" and more one of a subsequent, uncontrolled descent-to-surface due to structural damage and fried drive systems.