My understanding was that at 0 SP (or below) you _were_ out. Though not necessarily wounded... Unless you have a Berserk type ability that lets you ignore this, as I think a demo game NPC did.
To wound someone in the midst of a combat, short of winning it, it seems that what you do is to win 7 SP (or more) off them, and then decline it, so they keep their SPs, but take the "hurt" penalty. A typical rationale would be, I suppose, that you force your way through their guard, but rather than press for the killer blow, you settle for nicking them and backing off.
Slainte,
Alex.
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