HERP DERP DERP DERP.
I can't believe I'm letting myself get sucked into this discussion by the boys from brazil but as another 13 year old who illogically knows everything there is to know about producing 3d graphics, game engines, and game development I thought I'd throw my three cents in.
First, torque does suck. Not that much, though. It does render pretty well if it's got decent art assets.
Reality is, most self proclaimed graphics whores don't even know what the fuck anything should look like. They just get impressed by awful specular maps, textures generated by a renderer because the fuckwit can't draw, and really horrible realtime ambient occlusion of some kind which is put ON TOP OF the horrid generated ambient occlusion from the previous bitch.
The sadder reality is even if someone who knows a bit of color theory and that form trumps detail, and how proper fucking lighting works, even if they do run the show an indie budget doesn't have the time and money to do those things well enough to be worthwhile, or the base that's there won't be good enough to support more detail. If you take some hideous blob character models like in the one screen shot nothing you apply to them makes them realer, it makes them wronger. That's how the socalled creepy plateau actually works.
Even if you did all that, when used properly, most of the extra options have a small effect. An effect not directly noticable just by looking at it. If you are noticing a global illumination effect easily, it's poorly done, end of story.
But then we come back to what's really there. Bitching about art direction is pretty hard to do, because it necessitates knowing what the fuck they are going for. Maybe they are going for a brightly lit hell in the office shot I saw. I could see those harsh shadows making sense there. If not I'd say lighting is way hard and stupid for a realistic scene, people never seem to understand ambient light is like 80% of all lighting in real life. You don't render shadows, you render lights.
The characters in the other scene look better, but the posters in there are just awful. I hate it when everything is super gritty but the kids' posters need some kind of fine detail grittyness to look like an actual object and not a godray shot into your brain.
For AoD, 2d art looks good, textures and everything else 3d are pretty blah. I guess you could say there is art direction problem in that it doesn't seem to have its own real style just picks crap from real life, but in both cases it's more bad/not great art than bad direction or even bad engine.