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From what i remember also about the Titan Quest it had some icons crossed swords at the server browser they could've enabled that to filter which servers had pvp and which not ,ALSO they could've done stuff to allow custom maps download from players who made maps for PvP
Also last problem with pvp would've been to make items SERVER-sided not client-sided in multiplayer so players couldn't edit the items anymore because it made Titan quest ( and Torchlight games ) very bad because of it.
THQ's fate has nothing to do with Titan Quest (declared Chapter 11 bankruptcy in December 2012) and the developer Iron Lore Entertainment closed due to failing to secure funding for their next project in February 27, 2008. There was controversy at launch due to poorly cracked version (available even before launch) kept crashing and having other problems for pirates and they went viral with it resulting in groundless poor rep for the game and hurting sales. Despite this TQ and IT did sell quite well with over million retail copies having been sold (plus undisclosed number of digital copies) by 2008.
There is a button in the main menu called "Own game" or something like that. It's like the normal game but allows you to play custom maps only and also host PvP servers. You can either create a new character or import one from the normal game (but not the opposite way).