I'm not sure this is a bug, but don't know where to post it otherwise so I will post it here: So I'm on the first level of Lair of the Yellow Dragon and there were only one Ogre and my Human Knight left. My knight had drawn Mad Dog and it was equipped on him. I got the ogre down to 8hp before he killed the knight, activating Mad Dog. This had never happend to me before, a trait card that deals damage and then only one character left and he kills the last enemy with it, so I didn't know what would happen. The ogre apparently died before my knight did, giving me the last two stars I needed to win, so I had 6/6 stars and Gary had 4/6 but I still lost. Is this a bug or is this supposed to happen?
The explanation of how it works is here. The upshot is that a player must have at least one character alive in order to win. If neither has a living character, both lose. It's been brought up since the beta (with Festering Guts), so I suspect it's working as intended. In any case, welcome to the forums and Good Hunting!