EDIT: I just realized that I was completely crazy and thought for some reason walls would block line of sight independently of light sources. I now realize that the "line of sight" is caused by blocking the light source emanating from the players themselves, and that if you have other light sources in the room this will not happen. Thanks especially to Eugene N. for trying to help me out, and sorry for anyone's time I've wasted. I would remove this post if I knew how.
Obstacles drawn in the dynamic lighting layer are properly blocking light, but not the line of site of the player. (Note: None of the players have permissions for any of the light sources)
OS: Windows 7
Browsers: Chrome 23.0.1271.97 and Firefox 16.0
I'm not sure if this is a bug or there is something key I'm missing about concealing areas out of the line of site, so I apologize if this is posted in the wrong section.