It is definitely by design and works really well. As soon as you push in the clutch or pull it out of gear the engine RPMs drop just as you would expect. I didn't notice any sort of RPM spike at all, not even for a split second. As soon as you put it in gear it resumes. It will disengage if you leave it in neutral for 5-6 seconds.I don't have adaptive cruise. That might cause your Jeep to behave differently by design. Still, I doubt it. Not cutting throttle when you push in the clutch pedal sounds like a dangerous malfunction to me. I'd get it checked out.