1: if an opponent starts a rescue attempt with a hero, and then uses charms to capt 2 from my territory. I then block with Babylonian Soldiers. Can they negate and discard charms?
No. You cannot negate Charms because it is already out of play at that point.
Even if you gave special initiative (by capturing those in battle), they could not use an ITB (because the card was not
in battle). I believe in that case you could only use a targeted "negate and discard an artifact" (must be
that order, otherwise the negate can't be used in special initiative).
But I'm sure someone will come along to disagree with me and this will blow up. Like this thread always does.