Does Hunted Mode not work if both players are in a party or guild?

I did a little hunted tournament recently and ran into a problem. We were all in a party, but we could not PVP.
Disbanding the party worked for most of the players, but one of the players was in my guild and even after disbanding the party PVP did not work. We were all out of safe zones and none of us had logged in recently.
Is this a bug or is this intended? If it's intended it's a bit annoying cause it makes hunted tournaments a lot harder to do.

 

intended I think

 

Why though, its not like it can be abused or anything. The only way I can think of it being abused is a hunter joining a prof party and using the player outlines to kill proffers but hunters can just abuse friend lists for that already

 

it’s not a bug, players who are in the same party or guild as you cannot damage each other through hunted mode

 

intended, parties/mutual friends/guild mates cannot damage each other in hunted and you should know that it's dumb if otherwise..