We address the problem of how to handle exceptions in distributed object sy
stems. In a distributed computing environment, exceptions may be raised sim
ultaneously in different processing nodes and thus need to be treated in a
coordinated manner. Mishandling concurrent exceptions can lead to catastrop
hic consequences. We take two kinds of concurrency into account: 1) Several
objects are designed collectively and invoked concurrently to achieve a gl
obal goal and 2) multiple objects (or object groups) that are designed inde
pendently compete for the same system resources. We propose a new distribut
ed algorithm for resolving concurrent exceptions and show that the algorith
m works correctly even in complex nested situations, and is an improvement
over previous proposals in that it requires only O(n(max)N(2)) messages, th
ereby permitting quicker response to exceptions.