Dropped packets are a reality in the Internet. TCP/IP is designed to compensate for a lost packet, etc. How would i know? I've been writing routers, packet drivers and OSI client/server software for 15+ years.
The remote closing the connection because of a dropped packet is simply rude.
A lot of TCP implementations do this, and it's still rude. :) Any TCP/IP implementation worth anything will happily continue to work with packet loss, albeit a little more slowly. TCP/IP uses sequence numbers, checksum and a sliding window to allow for the possibility of dropped, corrupt and otherwise unsatisfactory packets to be resent.
Closing my connection, 99.5% of the way through a 2 gigabyte file, because of a dropped packet is also rude. :)
The timeout is set to -1 (Infinite).
Note that on a faster connection, there appears (and I say appears) to be no problem with transmitting large files.
On my ping test, I pinged several thousand times with 0% packet loss (0 packets lost).
Just some data points.
JP