Object displacement over LOD I am creating a scene for the game engine and setting up the ground now. I have different levels of details and thus want to keep my pieces as different objects. I duplicated it several times and added a Displace modifier set to Object Coordinates. The coordinates point to a plane object. I got the seamless result (as expected), but when the ground reaches where LOD switches level, I get this problem: 



I guess this comes from the mesh being used by LOD, which is just invoked from its initial position. It also doesn't get the coordinates from the object using it. Do you have a way around ?
The simple answer is that modifiers aren't fully supported by the Game Engine.

While modifiers will typically be rendered by the Game Engine, they won't be updated by the engine. So what's happening is the displace modifier is being altered by the Game Engine at the point where it needs to change LOD, but because modifiers don't update correctly, it's just reverting to the flat version without displacement.

This answer has some additional information: Make modifiers update in the game engine

You're not out of luck, though. There are other ways to implement LOD in the BGE.