A I just really bad or is the fight just outside the green gryphon inn as difficult to everyone else as it is to me! I die in like 20 seconds and I just cant stand up to them.

I am a pally bout lvl 7/8/9 and my friend is tommy undergallows.

Any strategies to help would be usefull!

You're just really bad. ;)
Nah, j/k. One thing I can recomend is quicksaving in combat after every succesfull hit you place on your enemy. This tactic has gotten me to the some of the hardest fights in the game, although it takes some time.

You mean the dwarf and his two cronies? Yeah, they took me of guard as well the first time around.

Just make sure you buff up before you enter the Green Griphon Inn area. Anything that raises your AB and your AC is welcomed. Do you have SoU installed? There's a good paladin spell there called Divine Favour that helps alot if you really want to dish out damage. In any case use potions of Bull's strength and potions of Barkskin as well as assorted other potions (Bless, Aid etc) and make sure to draw the attention to yourself so that Tomi can do some sneak attacks.

One of the Paly special abilities might be helpful here, Smite evil, it should let you lay the smack down pretty heavily on the dwarf, and move past them initially, it may get you hit once or twice, but they will follow your movement and expose themselves to sneak attacks by Tomi.