Teardrops affect only line vs. padstack connections:
Press ':' to get the command line, type teardrops and press enter. Teardrops is always global and adds arcs to all line-padstack connections, considering line thickness and padstack shape/dimensions:
The teardrops plugin is a small, quick and dirty hack. It does add the arcs as if the user drawn them:
This means moving traces or padstacks will not treat teardrops specially; teardrop arcs may initially cause shorts on tight boards and the user needs to fix them manually.
(Test board used for the above experiments)