it's mentioned there is only one underlord in the desolate wilds, and only a handful in the blackflame empire, so who is the underlord in the wilds? Assuming someone from the cloud hammers or the 5th unmentioned sect, or another unmentioned sect?
The Cloud Hammers are a relatively small sect, but they produced an Underlord and have a pretty good chance at a second one, so their influence is growing in the Blackflame Empire. And the Arelius family is far bigger and more important than the Jai clan branch from the Desolate Wilds. I should have explained that better in the book, using clearer terminology, and I apologize for that. The Jai in the Wilds are the unimportant. The cast-offs. The only reason the main branch of the clan got involved with them at all was because of Eithan's actions, as well as Cassias' and Jai Long's. Otherwise, the main branch would have let them die alone and never noticed or cared. EDIT: And the Cloud Hammer Underlord stayed out of the events of Soulsmith because he considered squabbling for prizes with Golds beneath him. If Eithan had stayed longer (cough cough if the books were longer cough cough), then the CH Underlord would have made an appearance.