Obsidian Entertainment, the studio known for titles such as The Outer Worlds 2 and Avowed, is facing a lawsuit in California alleging a pattern of wage and hour violations. The suit, filed by plaintiff Victoria Turner in the Superior Court of Orange County, claims that the developer failed to adhere to state labor laws, including the payment of minimum and overtime wages, and the provision of legally mandated lunch and rest breaks.
The case was reportedly discovered by a Reddit user who accessed public court records. According to these records, Turner initially filed her complaint on September 10th, 2025, with an amended complaint submitted on January 12th of the following year. Obsidian Entertainment responded in March, denying all allegations and seeking the dismissal of the case. Recent court activity includes a payment of $1,435 for an "answer or other 1st paper" and a "complex case fee," though it remains unclear which party made this payment.
Turner's amended complaint outlines several specific accusations against Obsidian, stating that the company engaged in a "systematic pattern of wage and hour violations under the California Labor Code and Industrial Welfare Commission (“IWC”) Wage Orders," which allegedly contributed to "deliberate unfair competition." The accusations include failing to pay all wages, including minimum and overtime, neglecting to provide lawful meal or rest breaks or compensation in lieu thereof, failing to reimburse necessary business expenses, not providing accurate wage statements, and not paying wages promptly upon employment or at separation.
In their March response, Obsidian Entertainment generally and specifically denied each allegation, listing 38 defenses and requesting the complaint be dismissed in its entirety with prejudice. A Victoria Turner is listed in the credits for The Outer Worlds 2 as a QA lead.
As of the most recent court record entries, the proceedings' exact status is not fully clear, with no upcoming hearing dates or indications of dismissal. This legal challenge comes at a time when Obsidian's parent company, Microsoft, has announced plans to restructure its gaming business, which may involve studio closures.