4.9.0-6-amd64 #1 SMP Debian 4.9.88-1 as WG endpoint node
WG 0.0.20180420-1
DHCP no
Firewall off (both server and client)
wg-quick not utilized

Which DNS resolver is utilized by the clients inside a WG tunnel, the 
client's resolver or the server's? And can this be tweaked in WG?

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Clients are connecting to the endpoint node and subnets each end are 
reachable through the tunnel. The traffic to the inet from the WG 
however is not escaping via the server's default route. Added the IPS's 
gateway node (81.x.x.x) to the WG iface but that did not provide inet 
connection for the connected clients.

Kernel IP routing table
Destination     Gateway         Genmask         Flags Metric Ref    Use 
Iface
0.0.0.0         81.x.x.x    0.0.0.0         UG    0      0 0 eth0
81.x.x.x    0.0.0.0         255.255.255.255 UH    0      0 0 wg0
192.168.120.0   0.0.0.0         255.255.255.0   U     0 0        0 wg0