It doesn't matter which object has a TSMaterial. In my example scene, a box falls on to a floor. If either the box or the floor have a TSMaterial, the box will never settle.
No TSMaterial (Good)
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With TSMaterial (Bad!)
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I know the physics engine is called Jitter, but I don't think this is intended. Harhar.
Without TSMaterials, I need to set the linear drag on the rigidbody to a high value. But this means that it falls really slowly, since it has so much linear drag! I need TSMaterials.
No TSMaterial (Good)

With TSMaterial (Bad!)

I know the physics engine is called Jitter, but I don't think this is intended. Harhar.

Without TSMaterials, I need to set the linear drag on the rigidbody to a high value. But this means that it falls really slowly, since it has so much linear drag! I need TSMaterials.