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diff --git a/das-java/tags/1.0-incubating-beta1/rdb/src/test/java/org/apache/tuscany/das/rdb/test/TransactionTests.java b/das-java/tags/1.0-incubating-beta1/rdb/src/test/java/org/apache/tuscany/das/rdb/test/TransactionTests.java
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+++ b/das-java/tags/1.0-incubating-beta1/rdb/src/test/java/org/apache/tuscany/das/rdb/test/TransactionTests.java
@@ -0,0 +1,87 @@
+/*
+ * Licensed to the Apache Software Foundation (ASF) under one
+ * or more contributor license agreements.  See the NOTICE file
+ * distributed with this work for additional information
+ * regarding copyright ownership.  The ASF licenses this file
+ * to you under the Apache License, Version 2.0 (the
+ * "License"); you may not use this file except in compliance
+ * with the License.  You may obtain a copy of the License at
+ * 
+ *   http://www.apache.org/licenses/LICENSE-2.0
+ * 
+ * Unless required by applicable law or agreed to in writing,
+ * software distributed under the License is distributed on an
+ * "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY
+ * KIND, either express or implied.  See the License for the
+ * specific language governing permissions and limitations
+ * under the License.    
+ */
+package org.apache.tuscany.das.rdb.test;
+
+/*
+ * Test capability to participate in an extenrlly managed transaction. 
+ * The client is managing the transaction boundary so the DAS will not issue
+ * commit/rollback
+ * 
+ */
+
+import org.apache.tuscany.das.rdb.Command;
+import org.apache.tuscany.das.rdb.DAS;
+import org.apache.tuscany.das.rdb.test.data.CustomerData;
+import org.apache.tuscany.das.rdb.test.framework.DasTest;
+
+import commonj.sdo.DataObject;
+
+public class TransactionTests extends DasTest {
+
+    protected void setUp() throws Exception {
+        super.setUp();
+        new CustomerData(getAutoConnection()).refresh();
+    }
+
+    protected void tearDown() throws Exception {
+        super.tearDown();
+    }
+
+    /**
+     * Read and modify a customer. Uses a "passive" connection
+     */
+    public void testReadModifyApply() throws Exception {
+
+        // Create and initialize a DAS connection and initialize for externally
+        // managed transaction boundaries
+        java.sql.Connection c = getConnection();
+
+        DAS das = DAS.FACTORY.createDAS(c);
+        // Read customer 1
+        Command select = das.createCommand("select * from CUSTOMER");
+        DataObject root = select.executeQuery();
+        
+        int numCustomers = root.getList("CUSTOMER").size();
+
+        //Create two identical customers.  Will force insert error on dup key
+        
+        DataObject custA = root.createDataObject("CUSTOMER");
+        custA.set("ID", Integer.valueOf(100));
+        custA.set("ADDRESS", "5528 Wells Fargo Drive");
+        custA.set("LASTNAME", "Gerkin");
+       
+        DataObject custB = root.createDataObject("CUSTOMER");
+        custB.set("ID", Integer.valueOf(100));
+        custB.set("ADDRESS", "5528 Wells Fargo Drive");
+        custB.set("LASTNAME", "Gerkin");
+        try {
+            das.applyChanges(root);
+            fail("An exception was expected");
+        } catch (Exception e) {
+            //do nothing
+        }
+
+        // Verify that the changes did not go through
+        // Roll back should discard al changes
+        root = select.executeQuery();
+        assertEquals(numCustomers, root.getList("CUSTOMER").size());
+
+    }
+
+}