Maybe there has been changes in latex adhesion properties in respect to covering oil based paint, I don't know. But the one thing I learned early on was never use latex over oil, it will eventually crack and peel regardless of temperature changes, even interior walls 'breathe' (expand and contract). Though like I said, there maybe changes to latex paints I'm unaware of.Do not, do not, do not!!!! Paint your interior walls with oil based paint!!! Once that has been done and you or someone else (if you sell) wants to paint with latex the walls will have to be stripped or torn out and redone.
Hopefully the walls are not already painted with oil base. If so you will have to use an oil base paint to repaint.
The newer matte and eggshell finishes on quality paint cleans just as well as semi-gloss which I also would strongly discourage you from using on walls for reasons similar to the one stated above.
Kilz followed by a very good quality latex paint, I personally use Sherwin Williams and avoid Behr and Duron at all costs.
Ringel, the Sherwin-Williams guy says you can repaint latex over oil (and vise versa) as long as the surface is protected from extreme changes in temperature. He says basically you can do any interior surface and some exterior ones (depends on the ambient temperature).
I'm pretty used to depending on Sherwin-Williams, but your comment has made me nervous.