I’ve tested it on modded realm as a host, by taking overhead strikes from Stormvermin on Legend as a Foot Knight. Base damage is 100. With Rock of the Reikland, I took 90 damage, which means only the 10% damage reduction from Foot Knight’s passive was applied. With That’s Bloody Teamwork talent (but no teammates nearby), I took 76 damage, which is the expected amount with 10% and 15% damage reduction, stacking multiplicatively.
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Either the talent description is wrong or the functionality is wrong. Either way it’s a bug.
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