Collisions need to be enabled to detect begin/end overlap.
The servers copy of the actor is what you should be using to drive the interaction state. Basically when the client overlaps locally nothing happens. Only when the auth proxy overlaps on the server should interaction be executed.
So with that you’d only need to set a bool to determine the NPC/AI is currently engaged with another player. Use the bool to control flow. No need to replicate the bool.
When a player begins overlap check if bool is false. If so set a reference to the player and set the bool to true.
When end overlap is triggered compare reference to “other actor”. If ==, then clear the reference and set bool to false.