I was leaning towards the idea that they are tyrants. They could have been former slaves, or the children of the slaves to the werewolves and their intentions started out good enough but then once they tasted power it was just total chaos from there.

Alright~

A medieval setting sounds fine to me :) Perhaps with the setting we could brain storm the cities, towns, forests, and everything or did you want it to be based on something that already exists?