Regression introduced in 7-client, same symptom as CR6999425

Steps to reproduce:
1) try to run following applet using FF3.6
http://sqeweb.sfbay.sun.com/deployment2/jitu/plugInTestsNoHarness/Liveconnect/html/direct/DirectTest.html
If direct java call fails then bug is reproduced (if there is no status is getting displayed against each testcase then it means call has been failed)