Consisting of only a single small settlement on the planet, Losing Hand was largely a fishing colony located on the border of the Outer Colonies. The principal language spoken between the colonists was NuNordic. Prior to 2552, the colony relied on a wind farm for power; however, in 2552 the UNSC Dark Was the Night crashed on the colony, destroying the wind farm. Losing Hand's colonists had a tense relationship with the UNSC and they often treated the ship's surviving crew with hostility. Despite the colonists outnumbering the crew, they were normally kept at bay due to the ship's point-defense guns and the Spartan-III, Kevin-A282. These were a misdirection as the point-defense guns could no longer fire and Kevin-A282 had disappeared a month after the crash. Darren Leone, the ship's acting captain, offered to provide power from the ship, which often caused problems for the ship's reactor.
One year after the crash, in 2553, a DAV-class light corvette, The Lookout, appeared at the edge of the system. Unaware of the end of the Human-Covenant War or the alliance with the Sangheili, many of the crew and colonists believed they were under attack. Soon a group of colonists, led by Ryan Larsson, attempted to take the ship. However, with the return of Kevin-A282, the colonists were delayed long enough for the corvette to arrive. To their surprise, the corvette was actually crewed by allied humans and former Covenant. Major Kyle Stallock, who was stationed aboard the ship, spoke with the colonists and crew and updated them on the war and the alliance between the humans and Sangheili. Major Stallock offered both sides a way off the planet, with some accepting and some deciding to stay. The Dark Was the Night was converted into a power station for those who remained upon the corvette's departure two weeks later.