Cast Modulated Shadows Grayed Out

Development Rendering
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8

These simple repro steps work for me in 4.16:

  1. Add a directional light
  2. Set ‘Dynamic Shadow Distance Stationary Light’ to a non-zero value
  3. Check ‘Inset Shadows For Movable Objects’
  4. Reset ‘Dynamic Shadow Distance Stationary Light’ to the default (0)
  5. Now ‘Cast Modulated Shadows’ is grayed out.

Simple workaround: temporarily set ‘Dynamic Shadow Distance Stationary Light’ to a non-zero value, reset offending customizations, then reset shadow distance back.