diff --git a/sbt/src/main/scala/sbt/DefaultProject.scala b/sbt/src/main/scala/sbt/DefaultProject.scala
index b379496e2..e92548a80 100644
--- a/sbt/src/main/scala/sbt/DefaultProject.scala
+++ b/sbt/src/main/scala/sbt/DefaultProject.scala
@@ -299,7 +299,7 @@ abstract class BasicScalaProject extends ScalaProject with BasicDependencyProjec
 	protected def packageProjectAction = zipTask(packageProjectPaths, packageProjectZip) describedAs ProjectPackageDescription
 
 	protected def docAllAction = (doc && docTest) describedAs DocAllDescription
-	protected def packageAllAction = task { None } dependsOn(`package`, packageTest, packageSrc, packageTestSrc, packageDocs) describedAs PackageAllDescription
+	protected def packageAllAction = Empty dependsOn(`package`, packageTest, packageSrc, packageTestSrc, packageDocs) describedAs PackageAllDescription
 	protected def graphSourcesAction = graphSourcesTask(graphSourcesPath, mainSourceRoots, mainCompileConditional.analysis).dependsOn(compile)
 	protected def graphPackagesAction = graphPackagesTask(graphPackagesPath, mainSourceRoots, mainCompileConditional.analysis).dependsOn(compile)
 	protected def incrementVersionAction = task { incrementVersionNumber(); None } describedAs IncrementVersionDescription
diff --git a/sbt/src/main/scala/sbt/ScalaProject.scala b/sbt/src/main/scala/sbt/ScalaProject.scala
index c2d5a2b06..8f7238b4b 100644
--- a/sbt/src/main/scala/sbt/ScalaProject.scala
+++ b/sbt/src/main/scala/sbt/ScalaProject.scala
@@ -167,16 +167,20 @@ trait ScalaProject extends SimpleScalaProject with FileTasks with MultiTaskProje
 		testTask(frameworks, classpath, analysis, options)
 	def testTask(frameworks: Seq[TestFramework], classpath: PathFinder, analysis: CompileAnalysis, options: => Seq[TestOption]): Task =
 	{
-		def work =
+		def rawWork =
 		{
 			val (begin, work, end) = testTasks(frameworks, classpath, analysis, options)
 			val beginTasks = begin.map(toTask).toSeq // test setup tasks
 			val workTasks = work.map(w => toTask(w) dependsOn(beginTasks : _*)) // the actual tests
 			val endTasks = end.map(toTask).toSeq // tasks that perform test cleanup and are run regardless of success of tests
-			val endTask = task { None } named("test-cleanup") dependsOn(endTasks : _*)
-			val rootTask = task { None } named("test-complete") dependsOn(workTasks.toSeq : _*) // the task that depends on all test subtasks
+			val endTask = Empty named("test-cleanup") dependsOn(endTasks : _*)
+			val rootTask = Empty named("test-complete") dependsOn(workTasks.toSeq : _*) // the task that depends on all test subtasks
 			SubWork[Project#Task](rootTask, endTask)
 		}
+		def errorTask(e: TestSetupException) = task { Some(e.getMessage) } named("test-setup")
+		def work =
+			try { rawWork }
+			catch { case e: TestSetupException => SubWork[Project#Task](errorTask(e)) }
 		new CompoundTask(work)
 	}
 	private def toTask(testTask: NamedTestTask) = task(testTask.run()) named(testTask.name)
@@ -381,6 +385,7 @@ object ScalaProject
 	def optionsAsString(options: Seq[ScalaProject#CompileOption]) = options.map(_.asString).filter(!_.isEmpty)
 	def javaOptionsAsString(options: Seq[ScalaProject#JavaCompileOption]) = options.map(_.asString)
 }
+final class TestSetupException(msg: String) extends RuntimeException(msg)
 trait MultiTaskProject extends Project
 {
 	def multiTask(allTests: => List[String])(run: (Seq[String], String => Boolean) => Task): MethodTask = {
@@ -392,17 +397,24 @@ trait MultiTaskProject extends Project
 
 			def filterInclude =
 			{
-				val (exactFilters, testFilters) = testNames.toList.map(GlobFilter.apply).partition(_.isInstanceOf[ExactFilter])
-				val includeTests = exactFilters.map(_.asInstanceOf[ExactFilter].matchName)
-				val toCheck = scala.collection.mutable.HashSet(includeTests: _*)
-				toCheck --= allTests
-
-				if(!toCheck.isEmpty && log.atLevel(Level.Warn))
+				lazy val (exactFilters, testFilters) = testNames.toList.map(GlobFilter.apply).partition(_.isInstanceOf[ExactFilter])
+				lazy val includeTests = exactFilters.map(_.asInstanceOf[ExactFilter].matchName)
+				def checkExistence() =
 				{
-					log.warn("Test(s) not found:")
-					toCheck.foreach(test => log.warn("\t" + test))
+					val toCheck = Set() ++ includeTests -- allTests
+
+					if(!toCheck.isEmpty)
+					{
+						log.error("Test(s) not found:")
+						toCheck.foreach(test => log.error("\t" + test))
+						throw new TestSetupException("Invalid test name(s): " + toCheck.mkString(", "))
+					}
+				}
+				lazy val includeTestsSet =
+				{
+					checkExistence()
+					Set(includeTests: _*)
 				}
-				val includeTestsSet = Set(includeTests: _*)
 				(test: String) => includeTestsSet.contains(test) || testFilters.exists(_.accept(test))
 			}
 			
diff --git a/sbt/src/main/scala/sbt/TaskManager.scala b/sbt/src/main/scala/sbt/TaskManager.scala
index 8977c728f..040b46c01 100644
--- a/sbt/src/main/scala/sbt/TaskManager.scala
+++ b/sbt/src/main/scala/sbt/TaskManager.scala
@@ -98,6 +98,7 @@ trait TaskManager{
 		val interactiveDependencyIndex = dependencyList.findIndexOf(_.interactive)
 		require(interactiveDependencyIndex < 0, "Dependency (at index " + interactiveDependencyIndex + ") is interactive.  Interactive tasks cannot be dependencies.")
 	}
+	lazy val Empty = task { None}
 }
 object TaskManager
 {
diff --git a/sbt/src/main/scala/sbt/TestFramework.scala b/sbt/src/main/scala/sbt/TestFramework.scala
index fee9882d7..28b40b6fd 100644
--- a/sbt/src/main/scala/sbt/TestFramework.scala
+++ b/sbt/src/main/scala/sbt/TestFramework.scala
@@ -100,7 +100,7 @@ object TestFramework
 			case _ => error("Could not call 'tests' on framework " + framework)
 		}
 
-	private val ScalaCompilerJarPackages = "scala.tools.nsc." :: "jline." :: "ch.epfl.lamp." :: Nil
+	private val ScalaCompilerJarPackages = "scala.tools." :: "jline." :: "ch.epfl.lamp." :: Nil
 
 	private val TestStartName = "test-start"
 	private val TestFinishName = "test-finish"
diff --git a/sbt/src/sbt-test/compiler-project/run-test/project/build/P.scala b/sbt/src/sbt-test/compiler-project/run-test/project/build/P.scala
new file mode 100644
index 000000000..baa8bad30
--- /dev/null
+++ b/sbt/src/sbt-test/compiler-project/run-test/project/build/P.scala
@@ -0,0 +1,8 @@
+import sbt._
+
+class P(info: ProjectInfo) extends DefaultProject(info)
+{
+	val bryanjswift = "Bryan J Swift Repository" at "http://repos.bryanjswift.com/maven2/"
+	val junitInterface = "com.novocode" % "junit-interface" % "0.4.0" % "test"
+	val junit = "junit" % "junit" % "4.7" % "test"
+}
\ No newline at end of file
diff --git a/sbt/src/sbt-test/compiler-project/run-test/src/main/scala/Foo.scala b/sbt/src/sbt-test/compiler-project/run-test/src/main/scala/Foo.scala
index 875399679..217ef6304 100644
--- a/sbt/src/sbt-test/compiler-project/run-test/src/main/scala/Foo.scala
+++ b/sbt/src/sbt-test/compiler-project/run-test/src/main/scala/Foo.scala
@@ -1,18 +1,21 @@
 package foo.bar
 
 import java.io.File
+import File.{pathSeparator => / }
 import java.net.{URISyntaxException, URL}
 
 class Holder { var value: Any = _ }
 
-import scala.tools.nsc.{Interpreter, Settings}
+import scala.tools.nsc.{GenericRunnerSettings, Interpreter, Settings}
 
 class Foo {
+	val g = new GenericRunnerSettings(System.err.println)
 	val settings = new Settings()
 	settings.classpath.value = location(classOf[Holder])
-	settings.bootclasspath.value = settings.bootclasspath.value + File.pathSeparator + location(classOf[ScalaObject])
-	val inter = new Interpreter(settings)
-
+	settings.bootclasspath.value = settings.bootclasspath.value + / + location(classOf[ScalaObject]) + / + location(classOf[Settings])
+	val inter = new Interpreter(settings) {
+		override protected def parentClassLoader = Foo.this.getClass.getClassLoader
+	}
 	def eval(code: String): Any = {
 		val h = new Holder
 		inter.bind("$r_", h.getClass.getName, h)
@@ -32,4 +35,4 @@ object Test
 		val foo = new Foo
 		args.foreach { arg =>  foo.eval(arg) == arg.toInt }
 	}
-}
+}
\ No newline at end of file
diff --git a/sbt/src/sbt-test/compiler-project/run-test/src/test/scala/Basic.scala b/sbt/src/sbt-test/compiler-project/run-test/src/test/scala/Basic.scala
new file mode 100644
index 000000000..8f26f73a4
--- /dev/null
+++ b/sbt/src/sbt-test/compiler-project/run-test/src/test/scala/Basic.scala
@@ -0,0 +1,15 @@
+package foo.bar
+
+import org.junit._
+import org.junit.Assert._
+
+class Basic
+{
+	val foo = new Foo
+	@Test
+	def checkBind(): Unit =
+	{
+		try { assertTrue( foo.eval("3") == 3) }
+		catch { case e => e.printStackTrace; throw e}
+	}
+}
diff --git a/sbt/src/sbt-test/compiler-project/run-test/test b/sbt/src/sbt-test/compiler-project/run-test/test
index 15139f18e..8d3b08058 100644
--- a/sbt/src/sbt-test/compiler-project/run-test/test
+++ b/sbt/src/sbt-test/compiler-project/run-test/test
@@ -1,8 +1,13 @@
+> set build.scala.versions 2.7.7 2.8.0.RC1
+> reload
+> +update
 > +run 1
+> +test
 > +clean
 
 > +run 2
+> +test
 > +clean
 
 > +run -1
-> +clean
\ No newline at end of file
+> +test
\ No newline at end of file