Tested build:
java version "1.5.0-internal"
Java(TM) 2 Runtime Environment, Standard Edition (build 1.5.0-internal-b99)
Java HotSpot(TM) Client VM (build 1.5.0-beta-b19, mixed mode)

Build Location:
/net/sqesvr-nfs.sfbay/global/nfs/deployment3/tiger/PIT_builds/JD-PIT-04/build02/

Description:
When you have the safe VM Args specified in your JNLP Application, then the arguments passed along with the -open / -print won't get passed to application's main method.

This is for only when you have any safe (-Xms60m -Xmx70m) VM args not for the unsafe Vm args (i.e. -D)

How to reproduce this bug?

Launch the application using the following command in ur command prompt
${JAVA_HOME}/bin/javaws -open {any file name } http://cheran.india.sun.com:8080/jawstests/association/test-xml-vmargs.jnlp

The above specified JNLP file has the safe VM args specified in java-vm-args attribute. When you are launching the above application you will get frame which will shows up a message saying that you need to pass a input file.

Now launch the same appilcation using a jnlp file which has the unsafe vm args:

javaws -open {any file nase} http://cheran.india.sun.com:8080/jawstests/association/test-vmargs-unsafe.jnlp

Now you can see the input got opened in the application.

So when associated JNLP application has any safe vm args specified in the java-vm-args, the association are mime type really won't work. JaWS just ignoring the argument passed along with the -open opting when it checks for whether the passed VM args are safe.
 
This bugs is breaking the JNLP Assoication feature, a main feature in JaWS Tiger.

This bug can be reproduced in all platforms.