Floppy drives can be recalibrated with known good floppies and a scope. IMD is helpful but will never be enough on its own - yes, floppies will read OK but writes will miss the track a bit, and that affects also the existing data due to the way writing data works. "Good floppies" are for example software distros from the '90 - but it's best to test at least 2-3 of those with a scope, never assume any single disk is perfect.
Greaseweazle or kryoflux is required to properly dump or duplicate floppies with weird copy protection, but even those tools are not enough to re-create alignment disks. For that you also need a perfectly aligned drive (so chicken/egg problem) and also possibly microstepping to create data between usual tracks. That being said raw flux reads are the best thing we can do with common floppy drive hardware, and the resulting files are not so big (esp. when compressed) that we couldn't store the images in this format for future use.
The whole "disk modified" thing that kryoflux does is a bit bullsh*t quite frankly. Yes, detecting MFM stream breaks is a good sign sectors were written to after formatting but some software was duplicated that way - using diskcopy-like method rather then low-level flux write on proffesional duplicating machines. This will show as modified where in fact the floppy is not - so in the end you need to know and understand what the tool does and reports, not just consider it black magick and trust it to know better.
And speaking of, I can replicate a floppy, even one originally showing as modified, with Greaseweazle in such a way it'll show as untouched now. Yet another reason not to blindly trust such reports from dumping software.
As for the TEAC drives and their issues, make sure the 0 track sensor is not dirty and that the head moves smoothly. If the sliding rails bind (because of dirt) the seeks will end up in wrong places. Do not lubricate those - that's a quick fix (and hardly even that) not a proper repair of the problem. Such drives need to properly disassembled, cleaned and then recalibrated (if the sensor or stepper motor was moved, or the head carrier was completly detached from the motor).