you can use encounters as objects, but all that will do is appearance. If you actually want them to change to other weapon, your best option would be OS (because first, you want the distance to them. Next of all, the weapon changing)
(script startup blah
(sleep_until (and (< (objects_distance_to_object (players) (unit (list_get (ai_actors YourEncounter) 0))) 3) (objects_can_see_object (ai_actors YourEncounter (unit (list_get (players) 0)) 90)) 10)
(unit_data_set_integer (unit (list_get (ai_actors YourEncounter) 0)) current_weapon_index 1)
(ai_berserk YourEncounter 1)
)
Without OS, you would need AI that act as a volume trigger to see when your in range, and you would actually have to replace the AI to get one with a sword.