As I read it...
1. Draw a line and push along the line as you say. No control. The control comes from moving around the victim before you push.
2. Beasts both get to activate normally and also go wild.
3. He dies, recovers, and then dies again immediately. That specific rule is the reason (I assume) that lethal hazards are phrased as you being continually defeated as long as you are in contact with a lethal hazard, not as a one-time thing.
4. The second of your three suggestions. Declaration of the attack and reaction come before you actually start resolving the attack. When you start resolving the attack, you declare Favor points.
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