So here is what happened: i made a random gas giant and a random rocky planet. the giant was pretty small and had less mass but higher radius than the rocky one. as they orbited, the giant got into the roche Limit of the rocky and dissolved.
now i dont know if that woulld happen in real life... is it even possible to have a gas giant with less mass than a rocky planet?
In reality both bodies will get heated. Earth gets heated by the moon pulling in its crust and the oceans sloshing about, though obviously not by a lot, and in your case there should also be heating.
The reason it did not perform, as you expected, is that currently this heating effect is tied into the orbital parent calculation, and in the example you give only one is considered in orbit around the other. We are currently rewriting the heating calculation and tying it into orbital locking to get better energy/momentum conservation and when that is done, it should be better.