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On Big Sur, session restoration will eventually kill the shell in iTerm and Terminal.app

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Detailed steps to reproduce the problem:

  1. With session restoration enabled, open multiple terminal sessions in iTerm
  2. Close them without explicitly typing exit

What happened:

After a fairly short period of time the iTerm won't present a shell, only a cursor. Terminal.app will respond the same at this point and the Mac won't cleanly shutdown.

What should have happened:

Sessions should continue to work.

Workaround:

Disabling Enable session restoration under Preferences > Advanced > Session resolves prevents the hang ups, albeit with the obvious loss of functionality.