Dwellings of Eldervale
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What happens to the losers of a battle?
The Steps of Battle section of the rulebook states this directly.
- Dwellings of Eldervale rulebook · Rulebook · Steps of Battle
Every losing player sends all their Units in the battle to the Underworld, gaining a Sword for each; a defeated Monster is removed. Dwellings are never removed. They return when their owner Regroups.