It is difficult to implement a stable and realistic haptic simulation for cutting rigid objects that is based on a damping model because of an inevitable conflict between stability and high output force. This paper presents passivity techniques to show that an excessive damping coefficient causes the output stiffness to exceed the maximum output stiffness of the haptic device, leading to instability. By analysing the damping model of a haptic dental-training simulator, we construct a relationship among the damping coefficient, position resolution, sampling frequency, human operation, and the maximum achievable device stiffness that will still maintain device stability. A method is also provided to restrict the output stiffness of the haptic device to ensure stability while enabling the realistic haptic simulation of cutting rigid objects (teeth) that is based in a damping model. Our analysis and conclusions are verified by a damping model that is constructed for a dental-training hapti...