I've just had this happen and was unable to grab the clip or screenshot, however I noticed certain characters who can be found walking around Commercial District Area B (ie Dreamglow Garden, Logistics Center) when interacting with them in Area A (ie Sequence Square), their model will vanish after hitting the interaction button, while still going through all dialogue options. I noticed this bug with Vera and Lucia in particular. When all dialogue is completed however, they will reappear in their intended position.
#Babylonia Character Interaction Bug
tame talon