Obsidian Entertainment accused of non-payment of wages by former employees

Obsidian Entertainment — the studio behind The Outer Worlds 2 and Avowed — is the target of a lawsuit in Calif. The plaintiff, Victoria Turner (a former QA lead), claims the studio engaged in what she calls "systematic violations" of labor laws.

Her allegations run through several points: failure to pay minimum wage and overtime; denial of required meal and rest breaks; a refusal to reimburse business expenses; and mistakes on pay stubs (i.e., payroll errors). In March, Obsidian filed a formal response, denying the accusations outright. The company submitted 38 arguments in its defense and asked the court to dismiss the suit, seeking dismissal with the right to final termination of the case.

As of now, the Orange County registry shows no scheduled hearings; the last recorded action is dated March 2026. The backdrop makes the situation messier — Obsidian answers to Microsoft (MS), which has been reorganizing its gaming arm — and whether that reshuffle will matter to the lawsuit remains an open question.