After sampling the delights of Fable 2 (more on that soon) we had a little chat with Peter Molyneux about death. Specifically, we talked about how death would be treated in Fable 2. Typically, death in video games means loading the previous checkpoint or restarting a given level. According to Molyneux, such will not be the case in Fable 2. Instead, when overpowered and bested by an enemy, players will be left with a permanent reminder of their defeat: a scar.
Granted, the scars are cosmetic, but they do affect how NPCs perceive the main character. The idea apparently came to Molyneux after watching Casino Royale, in which James Bond undergoes particularly brutal torture during one scene and finds himself in the arms of a woman during the next. According to Molyneux, "in Hollywood, heroes always win the day." That's all well and good, but what if you don't like the idea of being disfigured?
Players will have two choices it seems: don't lose, or pay a hefty fee to keep your attackers from scarring you. Molyneux revealed that testers are willing to lay down hefty sums of gold -- 1000, which is enough to buy a hut -- in order to avoid scarring. So there you have it, you won't die in Fable 2 -- even bosses can't kill you, they just leave deeper scars -- but you'll pay a price (one way or another) for failing in combat.