Well, I knew it had to happen. I got a K-Line Reading Tank Engine in because it runs snail-slow in conventional. As I and others have observed, it runs fine in command. I actually spoke at some length with the customer, and from his description, it sounds like something is actually failing on the board, it doesn't appear to be a settings issue at all. The customer only runs conventional, the engine has never been on a command layout before it hit my bench.
What he described is initially the engine ran great for quite a while, and then got flaky at times. However, he could part it and allow everything to cool down for half an hour or more, and it would run normally again... until it happened again. It gradually got worse, and now there's no way to get it to run at normal speed in conventional mode.
It's a mystery what is happening, but this sure sounds like an actual component failure from this scenario.
I'll likely be installing a CC-M in it to resolve the issue, as so far I haven't found a solution to this oddball bug with the K-Line cruise module.