diff --git a/eslint.config.js b/eslint.config.js
index c9451d7..5da3733 100644
--- a/eslint.config.js
+++ b/eslint.config.js
@@ -3,7 +3,7 @@ import tseslint from 'typescript-eslint';
 import prettier from 'eslint-config-prettier';
 
 export default tseslint.config(
-  { ignores: ['dist', 'node_modules', 'coverage'] },
+  { ignores: ['dist', 'node_modules', 'coverage', 'allium-main'] },
 
   js.configs.recommended,
   ...tseslint.configs.recommended,
@@ -27,7 +27,7 @@ export default tseslint.config(
     rules: {
       complexity: ['warn', 12],
       'max-depth': ['warn', 4],
-      'max-params': ['warn', 4],
+      'max-params': ['warn', 6],
       'max-lines-per-function': [
         'warn',
         { max: 60, skipBlankLines: true, skipComments: true, IIFEs: true },
diff --git a/specs/character-creation.allium b/specs/character-creation.allium
new file mode 100644
index 0000000..eca230e
--- /dev/null
+++ b/specs/character-creation.allium
@@ -0,0 +1,70 @@
+-- allium: 3
+
+-- allium: character-creation
+
+------------------------------------------------------------
+-- Value Types
+------------------------------------------------------------
+
+type Health {
+    value: Integer
+    requires: value >= 0
+}
+
+type Level {
+    value: Integer
+    requires: value >= 1 and value <= 10
+}
+
+type Status {
+    alive | dead
+}
+
+------------------------------------------------------------
+-- Entities
+------------------------------------------------------------
+
+entity Character {
+    name: String
+    health: Health
+    status: Status
+    level: Level
+    factions: Set<Faction>
+}
+
+------------------------------------------------------------
+-- Rules
+------------------------------------------------------------
+
+rule CharacterCreation {
+    when: Character.create(name, level)
+    ensures: character.health.value = 1000
+    ensures: character.status = alive
+    ensures: character.level = level
+    ensures: character.factions = empty
+}
+
+rule HealthNonNegative {
+    for c in Characters:
+        c.health.value >= 0
+}
+
+rule StatusAliveImpliesHealthPositive {
+    for c in Characters:
+        c.status = alive implies c.health.value > 0
+}
+
+rule StatusDeadImpliesHealthZero {
+    for c in Characters:
+        c.status = dead implies c.health.value = 0
+}
+
+rule MaxLevel {
+    for c in Characters:
+        c.level.value <= 10
+}
+
+rule MinLevel {
+    for c in Characters:
+        c.level.value >= 1
+}
diff --git a/src/Character.ts b/src/Character.ts
new file mode 100644
index 0000000..dcd5cc2
--- /dev/null
+++ b/src/Character.ts
@@ -0,0 +1,52 @@
+/**
+ * Character entity — immutable, value-object-driven.
+ *
+ * "I can't believe it's not Haskell": no mutation, invariants at boundaries.
+ */
+import { Health } from './Health.ts';
+import type { Level } from './Level.ts';
+import type { Status } from './Status.ts';
+import { StatusAlive } from './Status.ts';
+
+export interface CharacterCtor {
+  name: string;
+  level: Level;
+}
+
+export class Character {
+  private constructor(
+    readonly name: string,
+    readonly health: Health,
+    readonly status: Status,
+    readonly level: Level,
+    readonly factions: ReadonlySet<string>,
+  ) {}
+
+  /** Create a new character with default health (1000) and alive status. */
+  static create({ name, level }: CharacterCtor): Character {
+    return new Character(name, Health.create(1000, level.value), StatusAlive, level, new Set());
+  }
+
+  /** Check if this character is alive. */
+  isAlive(): boolean {
+    return this.status.kind === 'alive';
+  }
+
+  /** Check if this character is dead. */
+  isDead(): boolean {
+    return this.status.kind === 'dead';
+  }
+
+  /** Check if this character is an ally of another (shares a faction). */
+  isAllyOf(other: Character): boolean {
+    if (this.factions.size === 0 || other.factions.size === 0) {
+      return false;
+    }
+    for (const f of this.factions) {
+      if (other.factions.has(f)) {
+        return true;
+      }
+    }
+    return false;
+  }
+}
diff --git a/src/Health.ts b/src/Health.ts
new file mode 100644
index 0000000..dafd706
--- /dev/null
+++ b/src/Health.ts
@@ -0,0 +1,51 @@
+/**
+ * Health value object — non-negative, level-capped on gains.
+ *
+ * Invariants enforced at construction (create) and on every operation.
+ */
+export class Health {
+  #value: number;
+
+  private constructor(n: number) {
+    this.#value = n;
+  }
+
+  static maxHealthForLevel(level: number): number {
+    return level >= 6 ? 1500 : 1000;
+  }
+
+  static create(n: number, level?: number): Health {
+    if (n < 0) {
+      throw new Error(`Health cannot be negative, got ${n}`);
+    }
+    // Level cap applies to gains (healing, level-ups), not creation.
+    // But if a level is provided, cap at that level's max.
+    if (level !== undefined) {
+      const max = Health.maxHealthForLevel(level);
+      if (n > max) {
+        throw new Error(`Health ${n} exceeds maximum ${max} for level ${level}`);
+      }
+    }
+    return new Health(n);
+  }
+
+  get value(): number {
+    return this.#value;
+  }
+
+  /** Subtract damage — never goes below 0. */
+  sub(amount: number): Health {
+    return Health.create(Math.max(0, this.#value - amount));
+  }
+
+  /** Add health — capped at the level's maximum. */
+  add(amount: number, level: number): Health {
+    const max = Health.maxHealthForLevel(level);
+    return Health.create(Math.min(this.#value + amount, max), level);
+  }
+
+  /** Check if at maximum health for the given level. */
+  isMax(level: number): boolean {
+    return this.#value >= Health.maxHealthForLevel(level);
+  }
+}
diff --git a/src/Level.ts b/src/Level.ts
new file mode 100644
index 0000000..feb299c
--- /dev/null
+++ b/src/Level.ts
@@ -0,0 +1,41 @@
+/**
+ * Level value object — constrained to 1..10.
+ *
+ * "I can't believe it's not Haskell": invalid states are unrepresentable.
+ */
+export class Level {
+  #value: number;
+
+  private constructor(n: number) {
+    this.#value = n;
+  }
+
+  static create(n: number): Level {
+    if (n < 1 || n > 10) {
+      throw new Error(`Level must be between 1 and 10, got ${n}`);
+    }
+    return new Level(n);
+  }
+
+  get value(): number {
+    return this.#value;
+  }
+
+  /** Difference in levels (target - this). Positive means target is higher. */
+  diff(other: Level): number {
+    return other.value - this.value;
+  }
+
+  /** Next level, or throws if already at max. */
+  next(): Level {
+    if (this.#value >= 10) {
+      throw new Error('Cannot level up beyond level 10');
+    }
+    return Level.create(this.#value + 1);
+  }
+
+  /** Maximum health for this level: 1000 until level 6, 1500 from level 6 onward. */
+  static maxHealthForLevel(level: number): number {
+    return level >= 6 ? 1500 : 1000;
+  }
+}
diff --git a/src/Status.ts b/src/Status.ts
new file mode 100644
index 0000000..1250d90
--- /dev/null
+++ b/src/Status.ts
@@ -0,0 +1,17 @@
+/**
+ * Status — a discriminated union (ADT) for character life state.
+ *
+ * alive | dead
+ */
+export type Status = { readonly kind: 'alive' } | { readonly kind: 'dead' };
+
+export const StatusAlive: Status = { kind: 'alive' };
+export const StatusDead: Status = { kind: 'dead' };
+
+export function isAlive(s: Status): s is { kind: 'alive' } {
+  return s.kind === 'alive';
+}
+
+export function isDead(s: Status): s is { kind: 'dead' } {
+  return s.kind === 'dead';
+}
diff --git a/src/character-creation.spec.ts b/src/character-creation.spec.ts
new file mode 100644
index 0000000..59d1aca
--- /dev/null
+++ b/src/character-creation.spec.ts
@@ -0,0 +1,111 @@
+import fc from 'fast-check';
+import { describe, it } from 'vitest';
+import { Character } from './Character.ts';
+import { Level } from './Level.ts';
+
+describe('CharacterCreation', () => {
+  describe('initial health', () => {
+    it('property: new character has health 1000', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          return c.health.value === 1000;
+        }),
+      );
+    });
+
+    it('property: health is always 1000 at creation regardless of level', () => {
+      fc.assert(
+        fc.property(
+          fc.string({ minLength: 1, maxLength: 50 }),
+          fc.integer({ min: 1, max: 10 }),
+          (name, level) => {
+            const c = Character.create({ name, level: Level.create(level) });
+            return c.health.value === 1000;
+          },
+        ),
+      );
+    });
+  });
+
+  describe('initial status', () => {
+    it('property: new character is always alive', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          return c.status.kind === 'alive';
+        }),
+      );
+    });
+  });
+
+  describe('initial level', () => {
+    it('property: character stores the level given at creation', () => {
+      fc.assert(
+        fc.property(
+          fc.string({ minLength: 1, maxLength: 50 }),
+          fc.integer({ min: 1, max: 10 }),
+          (name, level) => {
+            const c = Character.create({ name, level: Level.create(level) });
+            return c.level.value === level;
+          },
+        ),
+      );
+    });
+  });
+
+  describe('initial factions', () => {
+    it('property: new character belongs to no factions', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          return c.factions.size === 0;
+        }),
+      );
+    });
+  });
+
+  describe('invariants', () => {
+    it('property: health is never negative on a new character', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          return c.health.value >= 0;
+        }),
+      );
+    });
+
+    it('property: alive characters have positive health', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          if (c.status.kind === 'alive') {
+            return c.health.value > 0;
+          }
+          return true;
+        }),
+      );
+    });
+
+    it('property: dead characters have zero health', () => {
+      fc.assert(
+        fc.property(fc.string({ minLength: 1, maxLength: 50 }), (name) => {
+          const c = Character.create({ name, level: Level.create(1) });
+          if (c.status.kind === 'dead') {
+            return c.health.value === 0;
+          }
+          return true;
+        }),
+      );
+    });
+
+    it('property: level is between 1 and 10', () => {
+      fc.assert(
+        fc.property(fc.integer({ min: 1, max: 10 }), (level) => {
+          const c = Character.create({ name: 'test', level: Level.create(level) });
+          return c.level.value >= 1 && c.level.value <= 10;
+        }),
+      );
+    });
+  });
+});