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Yep. The players specifically took the place outside of town so they could conceal the little buggers for a while during the "rehabilitation."

I gave them a month of downtime following Thistletop, and the mage spent pretty much all of that dealing with the little guys. They don't try to bite him as much now, and he's discovered that mage hand can function nicely to pick the little guys up and toss them into the cages if they're getting too scary. The cleric of Saranrae's been helping out with feeding duties, and said half-orc has been teaching them some fighting skills.. though that's mostly been pulling the inevitable furball apart once their blood gets up.

They've displayed a serious and slightly frightening interest in fire, and the cleric's ability to spontaneously chuck firebolts out of her hands has them awestruck. (We're playing with the PFRPGa3 rules, and she's got the fire domain.)

Next they're going to be learning to talk.. and sing. That should be interesting.

So far no outright fights in the party, though the ranger's been rumbling about turning the lot of them over to Hemlock and the goblin-hating crowd in Sandpoint. So far he hasn't made good on the threats. He and the mage don't get along all that well, so we'll see what happens.

Also, they let Gogmurt and one of the (female) goblin bards get away from Thistletop, so they're likely to turn back up at an inopportune time (possibly during the chapter 4 melee as well, I think; that's going to be a giant hairy furball of doom if I have anything to say about it).

I'm running Rise of the Runelords currently; we've just finished Burnt Offerings and are stepping into Skinsaw.

As a throwaway, I included four Goblin children in the nursery, to see how my players would handle it and to stimulate some intra-party roleplaying (one of the characters is a ranger with Goblinoid favored enemy). They ended up taking the four cages back and putting them up in a rented house outside of Sandpoint (where the mage has established himself).

I've got Classic Monsters Revisited, and I've read the goblin entry in that fairly closely. It appears that goblins are nasty due to upbringing rather than inclination (nurture vs. nature). Right now, the little bastards are mostly comic relief and a money sink for the party, but I have a feeling they're going to be asking some questions about how their reformation efforts are going.

I'm inclined to let them succeed to a degree, though the goblins (should they live) will no doubt be irritating and capricious even if turned to "good."

(Honestly, a good chunk of my willingness to let the players "win" is the idea of 4 ~2' goblins fighting with the 6'10" half-orc fighter to defend Sandpoint in chapter 4 tickles me, as well as associated melodrama should one or more of the little buggers survive.)

Anyone else include this element in their playthroughs? How did your players handle it?