Outlaws are great ambush units, particularly on some of the weaker troops such as Spearmen. Outlaws are the only unit in Stronghold 2 that can throw a Javelin and fight with a sword in hand-to-hand combat.
Outlaws will first throw their Javelin at any enemy units in range, and then move into combat using a sword to attack their opponents with. Once the Javelin has been thrown, a short "recharge" time is required before a new Javelin becomes available to them again.
Outlaws lack armour which makes them vulnerable to missiles and crossbow bolts, but they are quite versatile units who are skillful at manouvering around the battlefield.
Outlaws are also very useful on top of walls or Gatehouses. They're useful at pushing down enemy ladders, and throwing their Javelins at enemy units from the Gatehouses. Additionally, Outlaws gain a huge benefit by having such a height advantage.
You can recruit Outlaws from the rank of Knight or higher. All you need is 60 gold in order to purchase this Mercenary, along with 1 peasant from the campfire.