A friend issue.

[Frisky Dingo]

My friend and I were trying to run around together while Skyping. We could see other players, read the other player's messages, etc., but couldn't see one another, hear one another in local, general, or whisper, and were only notified when the other left the area (not when they entered it).

We tried in multiple areas with different characters to no avail.

[wolvenland]

I would check to see if you have each other blocked.
In order to do so, pull up your friends list and click the "Blocked" section. Both of you should check to make sure one of you don't have the other blocked.
Hoped this helped.

[Shally]

Indeed this sounds like one of you has blocked the other - probably by mistake.

As Ferrin suggested go into your Friendlist (in game), click on the Blocked Users section and make sure your friend's name isn't on there - if it is just remove it from the block list c;

If that doesn't work be sure to check in here again, and we'll see if we can help you further.

Good luck~ // Shallow

[Feareh]

Sometimes the server gets buggy. Like one time I was talking to a friend for a while and then the Whisper was broken for me and my friend. But i guess its a different matter.

But like said above, it does sound like you two blocked each other by mistake. Just unblock each other and everything should go back to normal