diff --git a/scripts/system/controllers/handControllerGrab.js b/scripts/system/controllers/handControllerGrab.js
index aaaa7c5962..ac903190c4 100644
--- a/scripts/system/controllers/handControllerGrab.js
+++ b/scripts/system/controllers/handControllerGrab.js
@@ -181,9 +181,9 @@ var COLLIDES_WITH_WHILE_MULTI_GRABBED = "dynamic";
 var HEART_BEAT_INTERVAL = 5 * MSECS_PER_SEC;
 var HEART_BEAT_TIMEOUT = 15 * MSECS_PER_SEC;
 
-var avCollideLater;
-var setCollidesLaterTimeout;
-var collideLaterID;
+var delayedDeactivateFunc;
+var delayedDeactivateTimeout;
+var delayedDeactivateEntityID;
 
 var CONTROLLER_STATE_MACHINE = {};
 
@@ -2064,15 +2064,15 @@ function MyController(hand) {
         }
         this.entityActivated = true;
 
-        if (setCollidesLaterTimeout && collideLaterID == entityID) {
+        if (delayedDeactivateTimeout && delayedDeactivateEntityID == entityID) {
             // we have a timeout waiting to set collisions with myAvatar back on (so that when something
             // is thrown it doesn't collide with the avatar's capsule the moment it's released).  We've
             // regrabbed the entity before the timeout fired, so cancel the timeout, run the function now
             // and adjust the grabbedProperties.  This will make the saved set of properties (the ones that
             // get re-instated after all the grabs have been released) be correct.
-            Script.clearTimeout(setCollidesLaterTimeout);
-            setCollidesLaterTimeout = null;
-            grabbedProperties["collidesWith"] = avCollideLater();
+            Script.clearTimeout(delayedDeactivateTimeout);
+            delayedDeactivateTimeout = null;
+            grabbedProperties["collidesWith"] = delayedDeactivateFunc();
         }
 
         var data = getEntityCustomData(GRAB_USER_DATA_KEY, entityID, {});
@@ -2142,7 +2142,27 @@ function MyController(hand) {
         });
     };
 
-    this.deactivateEntity = function (entityID, noVelocity) {
+    this.delayedDeactivateEntity = function (entityID, collidesWith) {
+        // If, before the grab started, the held entity collided with myAvatar, we do the deactivation in
+        // two parts.  Most of it is done in deactivateEntity(), but the final collidesWith and refcount
+        // are delayed a bit.  This keeps thrown things from colliding with the avatar's capsule so often.
+        // The refcount is handled in this delayed fashion so things don't get confused if someone else
+        // grabs the entity before the timeout fires.
+        Entities.editEntity(entityID, { collidesWith: collidesWith });
+        var data = getEntityCustomData(GRAB_USER_DATA_KEY, entityID, {});
+        if (data && data["refCount"]) {
+            data["refCount"] = data["refCount"] - 1;
+            if (data["refCount"] < 1) {
+                data = null;
+            }
+        } else {
+            data = null;
+        }
+
+        setEntityCustomData(GRAB_USER_DATA_KEY, entityID, data);
+    };
+
+    this.deactivateEntity = function (entityID, noVelocity, delayed) {
         var deactiveProps;
 
         if (!this.entityActivated) {
@@ -2151,12 +2171,13 @@ function MyController(hand) {
         this.entityActivated = false;
 
         var data = getEntityCustomData(GRAB_USER_DATA_KEY, entityID, {});
+        var doDelayedDeactivate = false;
         if (data && data["refCount"]) {
             data["refCount"] = data["refCount"] - 1;
             if (data["refCount"] < 1) {
                 deactiveProps = {
                     gravity: data["gravity"],
-                    // don't set collidesWith back right away, because thrown things tend to bounce off the
+                    // don't set collidesWith myAvatar back right away, because thrown things tend to bounce off the
                     // avatar's capsule.
                     collidesWith: removeMyAvatarFromCollidesWith(data["collidesWith"]),
                     collisionless: data["collisionless"],
@@ -2165,17 +2186,20 @@ function MyController(hand) {
                     parentJointIndex: data["parentJointIndex"]
                 };
 
-                if (data["collidesWith"].indexOf("myAvatar") >= 0) {
-                    var javaScriptScopingIsBrokenData = data;
-                    avCollideLater = function () {
+                doDelayedDeactivate = (data["collidesWith"].indexOf("myAvatar") >= 0);
+
+                if (doDelayedDeactivate) {
+                    var delayedCollidesWith = data["collidesWith"];
+                    var delayedEntityID = entityID;
+                    delayedDeactivateFunc = function () {
                         // set collidesWith back to original value a bit later than the rest
-                        _this.setCollidesLaterTimeout = null;
-                        Entities.editEntity(entityID, { collidesWith: javaScriptScopingIsBrokenData["collidesWith"] });
-                        return javaScriptScopingIsBrokenData["collidesWith"];
+                        delayedDeactivateTimeout = null;
+                        _this.delayedDeactivateEntity(delayedEntityID, delayedCollidesWith);
+                        return delayedCollidesWith;
                     }
-                    setCollidesLaterTimeout =
-                        Script.setTimeout(avCollideLater, COLLIDE_WITH_AV_AFTER_RELEASE_DELAY * MSECS_PER_SEC);
-                    collideLaterID = entityID;
+                    delayedDeactivateTimeout =
+                        Script.setTimeout(delayedDeactivateFunc, COLLIDE_WITH_AV_AFTER_RELEASE_DELAY * MSECS_PER_SEC);
+                    delayedDeactivateEntityID = entityID;
                 }
 
                 // things that are held by parenting and dropped with no velocity will end up as "static" in bullet.  If
@@ -2220,7 +2244,6 @@ function MyController(hand) {
                         // angularVelocity: this.currentAngularVelocity
                     });
                 }
-
                 data = null;
             } else if (this.shouldResetParentOnRelease) {
                 // we parent-grabbed this from another parent grab.  try to put it back where we found it.
@@ -2239,7 +2262,9 @@ function MyController(hand) {
         } else {
             data = null;
         }
-        setEntityCustomData(GRAB_USER_DATA_KEY, entityID, data);
+        if (!doDelayedDeactivate) {
+            setEntityCustomData(GRAB_USER_DATA_KEY, entityID, data);
+        }
     };
 
     this.getOtherHandController = function () {