Godey can be found in the kennels of the Szarr Palace where he tortures vampire spawns for Cazador. The kennels are on the lowest floor of the palace, just around the corner from the bottom of the stairs. The door is disguised as red and gold wallpaper in an arch on the wall. If failing the Perceptioncheck, the room can still be accessed by lighting the brazier immediately north of the room (to the left of the door) at X: -1293 Y: 989.
If entering the kennels, Godey confronts the party. If Astarion is in the party, Godey mocks him and reminisce on all the times he tortured him. When defeated, Godey drops a Szarr Family Ring, which can open various doors throughout the palace.
Godey can be persuaded to hand over the ring willingly by passing a DC 15 Deception or Intimidationcheck, followed by a DC 20 Persuasion, Deception, or Intimidationcheck. Passing both checks awards 95 XP. If killing him afterwards, still the full 210 XP can be gained.
Szarr Family Ring, which can open various doors throughout the palace.
DC 15 Deception or Intimidation check, followed by a 
Godey on the Forgotten Realms Wiki