Index: src/org/eclipse/jdt/core/tests/builder/DependencyTests.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core.tests.builder/src/org/eclipse/jdt/core/tests/builder/DependencyTests.java,v
retrieving revision 1.26
diff -u -r1.26 DependencyTests.java
--- src/org/eclipse/jdt/core/tests/builder/DependencyTests.java	9 Apr 2007 17:34:49 -0000	1.26
+++ src/org/eclipse/jdt/core/tests/builder/DependencyTests.java	11 May 2007 17:13:22 -0000
@@ -67,6 +67,53 @@
 		expectingOnlySpecificProblemFor(collaboratorPath, new Problem("Collaborator", "The type Collaborator must implement the inherited abstract method Indicted.foo()", collaboratorPath, 38, 50, CategorizedProblem.CAT_MEMBER, IMarker.SEVERITY_ERROR)); //$NON-NLS-1$ //$NON-NLS-2$
 	}
 
+	// https://bugs.eclipse.org/bugs/show_bug.cgi?id=168208
+	public void testCaseInvariantType() throws JavaModelException {
+		IPath projectPath = env.addProject("Project"); //$NON-NLS-1$
+		env.addExternalJars(projectPath, Util.getJavaClassLibs());
+
+		// remove old package fragment root so that names don't collide
+		env.removePackageFragmentRoot(projectPath,""); //$NON-NLS-1$
+
+		IPath root = env.addPackageFragmentRoot(projectPath, "src"); //$NON-NLS-1$
+		env.setOutputFolder(projectPath, "bin"); //$NON-NLS-1$
+
+		org.eclipse.jdt.core.IJavaProject p = env.getJavaProject("Project");
+		java.util.Map options = p.getOptions(true);
+		options.put(org.eclipse.jdt.core.JavaCore.CORE_JAVA_BUILD_CLEAN_OUTPUT_FOLDER, org.eclipse.jdt.core.JavaCore.DISABLED); //$NON-NLS-1$
+		p.setOptions(options);
+
+		env.addClass(root, "p1", "A", //$NON-NLS-1$ //$NON-NLS-2$
+			"package p1;\n"+ //$NON-NLS-1$
+			"public class A {\n" +
+			"	class Node {}\n" +
+			"}" //$NON-NLS-1$
+		);
+
+		env.addClass(root, "p1", "Bb", //$NON-NLS-1$ //$NON-NLS-2$
+			"package p1;\n"+ //$NON-NLS-1$
+			"class Bb {}" //$NON-NLS-1$
+		);
+
+		fullBuild(projectPath);
+		expectingNoProblems();
+
+		env.addClass(root, "p1", "A", //$NON-NLS-1$ //$NON-NLS-2$
+			"package p1;\n"+ //$NON-NLS-1$
+			"public class A {\n" +
+			"	class node {}\n" +
+			"}" //$NON-NLS-1$
+		);
+
+		env.addClass(root, "p1", "Bb", //$NON-NLS-1$ //$NON-NLS-2$
+			"package p1;\n"+ //$NON-NLS-1$
+			"class BB {}" //$NON-NLS-1$
+		);
+
+		incrementalBuild(projectPath);
+		expectingNoProblems();
+	}
+
 	public void testExactMethodDeleting() throws JavaModelException {
 		IPath projectPath = env.addProject("Project"); //$NON-NLS-1$
 		env.addExternalJars(projectPath, Util.getJavaClassLibs());
Index: model/org/eclipse/jdt/internal/core/builder/IncrementalImageBuilder.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core/model/org/eclipse/jdt/internal/core/builder/IncrementalImageBuilder.java,v
retrieving revision 1.94
diff -u -r1.94 IncrementalImageBuilder.java
--- model/org/eclipse/jdt/internal/core/builder/IncrementalImageBuilder.java	9 Apr 2007 17:34:50 -0000	1.94
+++ model/org/eclipse/jdt/internal/core/builder/IncrementalImageBuilder.java	11 May 2007 17:13:24 -0000
@@ -776,11 +776,11 @@
 	storeTasksFor(sourceFile, tasks);
 }
 
-protected void writeClassFileBytes(byte[] bytes, IFile file, String qualifiedFileName, boolean isTopLevelType, boolean updateClassFile) throws CoreException {
+protected void writeClassFileBytes(byte[] bytes, IFile file, String qualifiedFileName, boolean isTopLevelType, SourceFile compilationUnit) throws CoreException {
 	// Before writing out the class file, compare it to the previous file
-	// If structural changes occured then add dependent source files
+	// If structural changes occurred then add dependent source files
 	if (file.exists()) {
-		if (writeClassFileCheck(file, qualifiedFileName, bytes) || updateClassFile) { // see 46093
+		if (writeClassFileCheck(file, qualifiedFileName, bytes) || compilationUnit.updateClassFile) { // see 46093
 			if (JavaBuilder.DEBUG)
 				System.out.println("Writing changed class file " + file.getName());//$NON-NLS-1$
 			if (!file.isDerived())
@@ -797,9 +797,40 @@
 		try {
 			file.create(new ByteArrayInputStream(bytes), IResource.FORCE | IResource.DERIVED, null);
 		} catch (CoreException e) {
-			if (e.getStatus().getCode() == IResourceStatus.CASE_VARIANT_EXISTS)
-				// catch the case that a nested type has been renamed and collides on disk with an as-yet-to-be-deleted type
+			if (e.getStatus().getCode() == IResourceStatus.CASE_VARIANT_EXISTS) {
+				IStatus status = e.getStatus();
+				if (status instanceof IResourceStatus) {
+					IPath oldFilePath = ((IResourceStatus) status).getPath();
+					char[] oldTypeName = oldFilePath.removeFileExtension().lastSegment().toCharArray();
+					char[][] previousTypeNames = newState.getDefinedTypeNamesFor(compilationUnit.typeLocator());
+					boolean fromSameFile = false;
+					if (previousTypeNames == null) {
+						fromSameFile = CharOperation.equals(compilationUnit.getMainTypeName(), oldTypeName);
+					} else {
+						for (int i = 0, l = previousTypeNames.length; i < l; i++) {
+							if (CharOperation.equals(previousTypeNames[i], oldTypeName)) {
+								fromSameFile = true;
+								break;
+							}
+						}
+					}
+					if (fromSameFile) {
+						// file is defined by the same compilationUnit, but won't be deleted until later so do it now
+						IFile collision = file.getParent().getFile(new Path(oldFilePath.lastSegment()));
+						collision.delete(true, false, null);
+						boolean success = false;
+						try {
+							file.create(new ByteArrayInputStream(bytes), IResource.FORCE | IResource.DERIVED, null);
+							success = true;
+						} catch (CoreException ignored) {
+							// ignore the second exception
+						}
+						if (success) return;
+					}
+				}
+				// catch the case that a type has been renamed and collides on disk with an as-yet-to-be-deleted type
 				throw new AbortCompilation(true, new AbortIncrementalBuildException(qualifiedFileName));
+			}
 			throw e; // rethrow
 		}
 	}
Index: model/org/eclipse/jdt/internal/core/builder/AbstractImageBuilder.java
===================================================================
RCS file: /cvsroot/eclipse/org.eclipse.jdt.core/model/org/eclipse/jdt/internal/core/builder/AbstractImageBuilder.java,v
retrieving revision 1.111
diff -u -r1.111 AbstractImageBuilder.java
--- model/org/eclipse/jdt/internal/core/builder/AbstractImageBuilder.java	7 May 2007 19:28:13 -0000	1.111
+++ model/org/eclipse/jdt/internal/core/builder/AbstractImageBuilder.java	11 May 2007 17:13:24 -0000
@@ -788,7 +788,7 @@
 	}
 
 	IFile file = container.getFile(filePath.addFileExtension(SuffixConstants.EXTENSION_class));
-	writeClassFileBytes(classFile.getBytes(), file, fileName, isTopLevelType, compilationUnit.updateClassFile);
+	writeClassFileBytes(classFile.getBytes(), file, fileName, isTopLevelType, compilationUnit);
 	if (classFile.isShared) {
 		this.compiler.lookupEnvironment.classFilePool.release(classFile);
 	}
@@ -796,7 +796,7 @@
 	return filePath.lastSegment().toCharArray();
 }
 
-protected void writeClassFileBytes(byte[] bytes, IFile file, String qualifiedFileName, boolean isTopLevelType, boolean updateClassFile) throws CoreException {
+protected void writeClassFileBytes(byte[] bytes, IFile file, String qualifiedFileName, boolean isTopLevelType, SourceFile compilationUnit) throws CoreException {
 	if (file.exists()) {
 		// Deal with shared output folders... last one wins... no collision cases detected
 		if (JavaBuilder.DEBUG)