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The impaler can drag a unit into base contact. When that happens it normally counts as having charged it.
Ghost storm says that the unit cannot charge.

So what happens? Do the two cancel each other out and the target unit and blood slaughterer are locked in combat without either getting getting a charge bonus?
Or would you have to stop 1 inch short of the slaughterer since it cannot charge.

I would argue the former since being in base contact is the condition to count as having charged. So to even be eligible for having charged it would already have to be in base contact, ie. locked in combat.

The slaughter didn't charge, its just an effect that counts as charging so Ghost Storm doesn't stop it

So Ghost storm would only stop you from declaring any charges in that case. Hmm, makes sense. In that case I might want to finish up my remaining blood slaughterer.