Bug 376977 - Removing the secondary error that is keeping the quick fix
from appearing.
diff --git a/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/AnnotationTest.java b/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/AnnotationTest.java
index 4b8529a..47ba6f7 100644
--- a/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/AnnotationTest.java
+++ b/org.eclipse.jdt.core.tests.compiler/src/org/eclipse/jdt/core/tests/compiler/regression/AnnotationTest.java
@@ -11072,4 +11072,38 @@
 		fail("Error reading classfile");
 	}
 }
+//https://bugs.eclipse.org/bugs/show_bug.cgi?id=376977
+public void test376977() throws Exception {
+	if (this.complianceLevel < ClassFileConstants.JDK1_5) {
+		return;
+	}
+	this.runNegativeTest(
+		new String[] {
+			"X.java",
+			"import p.Outer;\n" +
+			"@Outer(nest= {@Nested()})\n" +
+			"public class X {}",
+			"p/Outer.java",
+			"package p;\n" + 
+			"public @interface Outer {\n" + 
+			"   Nested[] nest();" + 
+			"}",
+			"p/Nested.java",
+			"package p;\n" + 
+			"public @interface Nested {\n" + 
+			"}"
+		},
+		"----------\n" + 
+		"1. ERROR in X.java (at line 2)\n" + 
+		"	@Outer(nest= {@Nested()})\n" + 
+		"	               ^^^^^^\n" + 
+		"Nested cannot be resolved to a type\n" + 
+		"----------\n",
+		null,
+		true,
+		null,
+		false,
+		false,
+		false);
+}
 }
diff --git a/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/problem/ProblemReporter.java b/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/problem/ProblemReporter.java
index e37739f..1953db5 100644
--- a/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/problem/ProblemReporter.java
+++ b/org.eclipse.jdt.core/compiler/org/eclipse/jdt/internal/compiler/problem/ProblemReporter.java
@@ -7809,6 +7809,10 @@
 			expectedType = expectedType.erasure();
 	}
 	if (actualType != null && (actualType.tagBits & TagBits.HasMissingType) != 0) { // improve secondary error
+		if (location instanceof Annotation) {
+			// https://bugs.eclipse.org/bugs/show_bug.cgi?id=376977
+			return; // Already reported, don't report a secondary error
+		}
 		this.handle(
 				IProblem.UndefinedType,
 				new String[] {new String(actualType.leafComponentType().readableName())},