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Legal Limbo: Obsidian’s Wage Woes in The Outer Worlds 2

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The Outer Worlds 2 studio Obsidian accused of "violating state wage and hour laws" for profit in California lawsuit

Obsidian Entertainment Faces Lawsuit Over Alleged Wage Violations

Obsidian Entertainment, the renowned developers behind The Outer Worlds 2 and Avowed, are currently embroiled in a legal battle in California. The company has been sued for purportedly committing a series of wage and hour violations. The lawsuit was initiated by plaintiff Victoria Turner in the Superior Court of Orange County in late 2025. Turner’s accusations against Obsidian include failure to pay minimum and overtime wages, as well as neglecting to provide required lunch and rest breaks. In response, Obsidian refuted all allegations made by Turner and requested the dismissal of the case.

According to a report by GamesRadar, the lawsuit came to light when a Reddit user named Macken_zee uncovered the case while browsing through the records of the Superior Court of Orange County. While accessing detailed case documents requires a fee, a summary of the proceedings is available for public viewing.

The initial complaint was filed by Turner on September 10th, 2025, followed by an amended complaint on January 12th of the following year. Obsidian issued their response in March, with the latest activity involving a payment of $1,435 for court fees. It remains unclear which party made the payment. Interestingly, a QA lead named Victoria Turner is credited in The Outer Worlds 2.

Reddit users have shared Turner’s amended complaint and Obsidian’s response on the Internet Archive. Turner’s complaint alleges that Obsidian violated California labor laws and wage orders by:

  • Failing to pay all wages, including minimum and overtime wages
  • Neglecting to provide lawful meal periods or compensation in lieu thereof
  • Not authorizing lawful rest breaks or offering compensation for the same
  • Failing to reimburse necessary business-related expenses
  • Providing inaccurate itemized wage statements
  • Delaying wage payments during employment
  • Withholding wages due upon termination of employment

In their response, Obsidian vehemently denied all allegations and presented 38 defenses, seeking the complete dismissal of the complaint. The current status of the legal proceedings remains uncertain, as no hearing dates or dismissal notices are evident in the court records. Meanwhile, Obsidian’s parent company, Microsoft, has announced plans to restructure its gaming division, potentially leading to studio closures.

Efforts to obtain a comment from Obsidian regarding the ongoing lawsuit are underway.

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