Characters carry state that evolves through the story: injuries, blood, dirt, wardrobe transitions, aging, emotional state, inventory.
Events are recorded on the graph — Scene 13 — EVENT: facial injury (bruised eye, cut lip) — and every later scene inherits the current state automatically unless you override it.
This kills the classic AI-film failures: vanishing injuries, teleporting outfits, resetting hair.
An event can also be cleared (a heal, a change of clothes), at which point it stops propagating from that scene onward.
This is also what makes sequels work. When you adapt a new script from an existing Universe, characters arrive carrying their state as of the end of the source film — so the scar someone picked up in Act 3 is there on page 1 of the sequel, without you having to remember it.