FULL PRODUCT VERSION :
java version "1.7.0_05-icedtea"
OpenJDK Runtime Environment (fedora-2.2.1.fc17.9-x86_64)
OpenJDK 64-Bit Server VM (build 23.0-b21, mixed mode)
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A DESCRIPTION OF THE PROBLEM :
The property java.rmi.server.useLocalHostname is not used by the jdk. The class sun.rmi.transport.tcp.TCPEndpoint uses the property java.rmi.server.useLocalHostName instead. If I set this property instead of the documented property everything works as expected. You can find this discrepancy on line 125 here, http://hg.openjdk.java.net/icedtea/jdk7/jdk/file/df945ef30444/src/share/classes/sun/rmi/transport/tcp/TCPEndpoint.java . Documentation can be seen here http://docs.oracle.com/javase/7/docs/technotes/guides/rmi/javarmiproperties.html


REPRODUCIBILITY :
This bug can be reproduced always.

CUSTOMER SUBMITTED WORKAROUND :
Use java.rmi.server.useLocalHostName instead of java.rmi.server.useLocalHostname