If you have a physics item that has a respawn timer, it will respawn in the hand if you drop it and pick it up again.
Steps to Reproduce
Place physics item with timer down. Pick it up. When the timer ends the item will not respawn. If you drop and pick it up again, when the timer runs out it will respawn in the hand.
What I expected to happen
I would expect for it to not respawn, much like it does when you first pick it up.
What happened
It respawns in your hand.
Notes / Media
The in-hand respawn does in fact trigger the “OnRespawn” feature on physics items, and they don’t go back to the respawn point.