I've just ran into this bug as well, and can give further details.
Steps to reproduce:
Play until you reach Driftwood.
Enter the tavern with Beast in your party.
Go to the basement, and talk to Papa Thrash.
Expected: Beast's dialogue to trigger, then to be able to trade with Papa Thrash as normal.
Actual: Papa Thrash's dialogue triggers with Beast, but trading becomes permanently disabled.
Additional Details: In my save, if you approach Papa Thrash with Beast in your party, he immediately talks to Beast, and lets you downstairs. However, each time you talk to him, he says his line "You need an engraved invitation?" but the trade button in the upper left hand corner of the dialogue window is gone.
If you unchain Beast and park him outside, you're able to talk and trade with him as normal, until Beast talks to him. Once Beast triggers his special dialogue with him, he will no longer trade.
If you get him to let you downstairs with Beast parked elsewhere, then have Beast talk to him, Beast's special dialogue with him does not trigger. He goes back to the "engraved invitation" line, however in this case, you can trade with him.
I have saves with all of these various states, if y'all want even more additional details.
Edit: Added a more traditional bug report.
Last edited by firestorm713; 13/10/17 03:56 PM.