Actually i lied, this is JoJo's Venture.
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So basically if Player 1 [as DIO] changes character via debug character change [Heavy + Start during ingame] during grab, time will stop forever and Player 2 will be frozen forever, even if he changes character. I changed Player 2 from Jotaro to N Doul and suddenly DIO could walk out of bounds and for some reason pressing stand pulls DIO in back to bounds.