Quote
Uh....time just freezes for one character and not the other? No wonder day and night were not planned for this game - time has no meaning in Original Sin!

???
The local battlezone does not affect gameworld, the day/nightcycle still can be happening, it just all the characters who is in local battle will be acting under turn-based rules. I'm sure the time will pass as long as you stand and it may happen you can stand for day and night. I see no issues.