When you export a Material from Max, the Source VMT file can include a $translucent 1 or $alphatest 1 parameter even when you don't intend that. This can be solved in a couple of ways.

The rules by which Wall Worm adds the $translucent 1 or $alphatest 1 are explained below. The rule for this is determined by whether or not the global Wall Worm setting for Translucent Only if Diffuse in Opacity is turned on or off.

When On: Translucency is added to the VMT if the diffuse texture is a bitmap texture and is re-used in the Opacity slot of the material.

When Off: Translucency is added if the bitmap node's Alpha Source is not set to None (look at the bitmap settings in the material editor).

Translucency or Alphatest

If the transparency is used, then WW will either add $translucent 1 or $alphatest 1. If the material is set to 2 Sided and is a VertexLitGeneric shader OR the self-illumination map is set, the rules are this: If the WW Shader is applied to the material, the $alphatest is used if the alpha test setting is on in the material; otherwise, $translucent is used. If the material does not have a WW shader parameter assigned, $alphatest is used.

Otherwise, if the material does not have 2 sided and isn't a VertexLitGeneric shader and the illumination is not set, $translucent is used.