### Eclipse Workspace Patch 1.0
#P org.eclipse.jdt.core
Index: compiler/org/eclipse/jdt/internal/compiler/ast/QualifiedAllocationExpression.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/ast/QualifiedAllocationExpression.java,v
retrieving revision 1.103
diff -u -r1.103 QualifiedAllocationExpression.java
--- compiler/org/eclipse/jdt/internal/compiler/ast/QualifiedAllocationExpression.java	28 Jul 2011 17:07:04 -0000	1.103
+++ compiler/org/eclipse/jdt/internal/compiler/ast/QualifiedAllocationExpression.java	22 Sep 2011 18:38:50 -0000
@@ -59,6 +59,11 @@
 		// analyse the enclosing instance
 		if (this.enclosingInstance != null) {
 			flowInfo = this.enclosingInstance.analyseCode(currentScope, flowContext, flowInfo);
+		} else {
+			if (this.binding.declaringClass.superclass().isMemberType() && !this.binding.declaringClass.superclass().isStatic()) {
+				// creating an anonymous type of a non-static member type without an enclosing instance of parent type
+				currentScope.resetEnclosingMethodStaticFlag();
+			}
 		}
 
 		// check captured variables are initialized in current context (26134)
#P org.eclipse.jdt.core.tests.compiler
Index: src/org/eclipse/jdt/core/tests/compiler/regression/ProblemTypeAndMethodTest.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/ProblemTypeAndMethodTest.java,v
retrieving revision 1.44
diff -u -r1.44 ProblemTypeAndMethodTest.java
--- src/org/eclipse/jdt/core/tests/compiler/regression/ProblemTypeAndMethodTest.java	28 Jul 2011 17:06:26 -0000	1.44
+++ src/org/eclipse/jdt/core/tests/compiler/regression/ProblemTypeAndMethodTest.java	22 Sep 2011 18:38:57 -0000
@@ -7076,4 +7076,39 @@
 		compilerOptions /* custom options */
 	);
 }
+
+// https://bugs.eclipse.org/bugs/show_bug.cgi?id=354502
+// Anonymous class instantiation of a non-static member type, method can't be static
+public void test354502() {
+	if (this.complianceLevel < ClassFileConstants.JDK1_5)
+		return;
+	Map compilerOptions = getCompilerOptions();
+	compilerOptions.put(CompilerOptions.OPTION_ReportMethodCanBeStatic, CompilerOptions.ERROR);
+	compilerOptions.put(CompilerOptions.OPTION_ReportMethodCanBePotentiallyStatic, CompilerOptions.ERROR);
+	compilerOptions.put(CompilerOptions.OPTION_ReportUnusedPrivateMember, CompilerOptions.IGNORE);
+	this.runNegativeTest(
+		new String[] {
+				"X.java", 
+				"public class X {\n" +
+				"   public abstract class Abstract{}\n" +
+				"   public static abstract class Abstract2{}\n" +
+				"	private void method1() {\n" + 	// don't warn
+				"		new Abstract() {};\n" +
+				"	}\n" +
+				"	private void method2() {\n" + 	// warn
+				"		new Abstract2() {};\n" +
+				"	}\n" +
+				"}"
+		},
+		"----------\n" + 
+		"1. ERROR in X.java (at line 7)\n" + 
+		"	private void method2() {\n" + 
+		"	             ^^^^^^^^^\n" + 
+		"The method method2() from the type X can be declared as static\n" + 
+		"----------\n",
+		null /* no extra class libraries */,
+		true /* flush output directory */,
+		compilerOptions /* custom options */
+	);
+}
 }