Looted cards move where?

[Pickleloaf]

So when someone dies and their body is looted... Do the looted cards go into each respective looters hands or can they be played immediately?

I ask this because we ran into a situation where 2 players were trying to run from 4 dogpiled monsters.

The first player failed to run from the first creature, but used a card to transfer the bad stuff to the second player

The second player automatically died as a result.

Can the first player loot the second player's corpse and immediately use an item (a new steed with a bonus to run away) to help him escape from the other three creatures?