The network_moved check in DoHandshakeLoop should only apply to

net/socket/ssl_client_socket_nss.cc

Index: net/socket/ssl_client_socket_nss.cc
===================================================================
--- net/socket/ssl_client_socket_nss.cc	(revision 116742)
+++ net/socket/ssl_client_socket_nss.cc	(working copy)
@@ -1258,7 +1258,6 @@
 
 int SSLClientSocketNSS::DoHandshakeLoop(int last_io_result) {
   EnterFunction(last_io_result);
-  bool network_moved;
   int rv = last_io_result;
   do {
     // Default to STATE_NONE for next state.
@@ -1269,10 +1268,8 @@
     State state = next_handshake_state_;
     GotoState(STATE_NONE);
     switch (state) {
-      case STATE_NONE:
-        // we're just pumping data between the buffer and the network
-        break;
       case STATE_LOAD_SSL_HOST_INFO:
+        DCHECK(rv == OK || rv == ERR_IO_PENDING);
         rv = DoLoadSSLHostInfo();
         break;
       case STATE_HANDSHAKE:
@@ -1291,6 +1288,7 @@
       case STATE_VERIFY_CERT_COMPLETE:
         rv = DoVerifyCertComplete(rv);
         break;
+      case STATE_NONE:
       default:
         rv = ERR_UNEXPECTED;
         LOG(DFATAL) << "unexpected state " << state;
@@ -1298,9 +1296,14 @@
     }
 
     // Do the actual network I/O
-    network_moved = DoTransportIO();
-  } while ((rv != ERR_IO_PENDING || network_moved) &&
-           next_handshake_state_ != STATE_NONE);
+    bool network_moved = DoTransportIO();
+    if (network_moved && next_handshake_state_ == STATE_HANDSHAKE) {
+      // In general we exit the loop if rv is ERR_IO_PENDING.  In this
+      // special case we continue even if rv is ERR_IO_PENDING because
+      // the transport IO may allow DoHandshake to make progress.
+      continue;

[wtc, 2012/01/11 04:19:55]

After a lot of debugging, I finally figured out what was wrong.

In a do-while loop, the 'continue' statement continues to
the bottom of the loop (to evaluate the loop condition)
rather than the top of the loop (to start the next iteration).

+    }
+  } while (rv != ERR_IO_PENDING && next_handshake_state_ != STATE_NONE);
   LeaveFunction("");
   return rv;
 }