From the in-game description:
"[...]This bonus temporarily removed while there are more than 2 members in the current party."
Still have doubts about it?
How is "current party" defined?
- does is count every player in my game?
- does it count players without shared quest book? (have read about this in the shared quest exp thread)
- does it count characters that are not connected to my portrait? (and so can enter combat individually)
- if the last case is true: is the lone wolf bonus removed when such an unconnected character joins my combat?