Originally Posted by howardcano

If you set the droop so that the spring has not completely relaxed before hitting the droop setting, then the effective spring rate at the tire contact patch instantly jumps to a huge value, decreasing traction. That can make for some dodgy handling, especially on a rough track. It can also be used to advantage, especially on a smooth track with high traction.

Be careful when using restricted droop on the rear end, as this will tend to make it break loose unpredictably.