A topic from AEG's L5R CCG Rules forum, copied for Oracle of the Void from a copy of the forum saved in October 2015, so pages it didn't save are missing. Players' names are left out; the rules officials are named. Rulings are as they stood on these dates; later rulings, the rulebooks and the Rules Archive may differ.
A player, 17 December 2008
Hida Daizu (Experienced) has used his reaction last turn and is now on 2 Chi. If I attach Gift Armor (or another item which negates chi penalties) and next action share the armor to another personality, is Daizu's chi back to his base chi or does he still have the -2 chi penalty?
[Mod edit: Abbreviations removed. -ZF]
Brook Cunningham (rules official), 17 December 2008
Hida Daizu (Experienced) has used his reaction last turn and is now on 2 Chi. If I attach Gift Armor (or another item which negates chi penalties) and next action share the armor to another personality, is Daizu's chi back to his base chi or does he still have the -2 chi penalty?
[Mod edit: Abbreviations removed. -ZF]
After removing the Gift Armor, Daizu's Chi penalty from before attaching it would still be gone.
His permanent penalty is ongoing. Gift Armor's negation is continuous.
http://rules.l5r.com/Effects#Duration_of_negation_effects: "Continuous negation effects (such as the non-triggered trait “This card can not gain Force bonuses” on a card in play) negate all relevant instantaneous, ongoing and continuous effects while the negation effect applies. If such an effect ceases to apply, ongoing effects do not reassert themselves, but continuous effects do."