Not exactly a major problem, but it does suggest that a script somewhere has its wires crossed: Every time I initiate conversation with Norma Walders, I get a "Quest System: Maximum level size is 3".

I thought so too, but she seems to have an errand for low-level characters.

This isn't a bug. In addition to a merchant, she offers an errand to low level PCs. The message just lets you know that if you're looking for the quest you're too high. Feel free to ignore otherwise.