There are two limitations of this method. First, it is triangles that are exerting forces in the particle system (like a multi-vertex interaction). Second, the mesh resolution is changing as the geometry is changing by forces.
Can you explain your second sentence?
I'm assuming it's something like this method: http://www.interactive-graphics.de/index.php/research/77-adaptive-cloth-simulation-using-corotational-finite-elements