diff --git a/openjpa-kernel/src/main/java/org/apache/openjpa/conf/Compatibility.java b/openjpa-kernel/src/main/java/org/apache/openjpa/conf/Compatibility.java
index 7896fdd39..fbff958b8 100644
--- a/openjpa-kernel/src/main/java/org/apache/openjpa/conf/Compatibility.java
+++ b/openjpa-kernel/src/main/java/org/apache/openjpa/conf/Compatibility.java
@@ -66,6 +66,7 @@ public class Compatibility {
     private boolean _isNonDefaultMappingAllowed = false;
     private boolean _reorderMetaDataResolution = true;
     private boolean _reloadOnDetach = false;
+    private boolean _ignoreDetachedStateFieldForProxySerialization = false;
     
     /**
      * Whether to require exact identity value types when creating object
@@ -295,6 +296,39 @@ public class Compatibility {
         return _flushBeforeDetach;
     }
 
+    /**
+     * Whether OpenJPA should ignore the DetachedStateField value when
+     * determining if our Proxy classes should be removed during serialization.
+     * <P>Starting with version 2.0.0, when the DetachedStateFiled==true, the
+     * build time $proxy classes will not be removed.
+     * <P>Prior to version 2.0.0, the DetachedStateFiled was not used and
+     * the $proxy classes were not being removed during serialization after
+     * the Persistence context was cleared.
+     * 
+     * @param ignoreDSF if true the old Proxy serialization behavior will be used.
+     * 
+     * @since 2.0.0
+     */
+    public void setIgnoreDetachedStateFieldForProxySerialization(boolean ignoreDSF) {
+        _ignoreDetachedStateFieldForProxySerialization = ignoreDSF;
+    }
+    
+    /**
+     * Whether OpenJPA should ignore the DetachedStateField value when
+     * determining if our Proxy classes should be removed during serialization.
+     * <P>Starting with version 2.0.0, when the DetachedStateFiled==true, the
+     * build time $proxy classes will not be removed.
+     * <P>Prior to version 2.0.0, the DetachedStateFiled was not used and
+     * the $proxy classes were not being removed during serialization after
+     * the Persistence context was cleared.
+     * 
+     * @since 2.0.0
+     * @return true if the old Proxy serialization will be used, otherwise false.
+     */
+    public boolean getIgnoreDetachedStateFieldForProxySerialization() {
+        return _ignoreDetachedStateFieldForProxySerialization;
+    }
+
     /**
      * Whether OpenJPA should flush changes before detaching or serializing an
      * entity. In JPA this is usually false, but other persistence frameworks
diff --git a/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachManager.java b/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachManager.java
index b309ab908..33c6761e3 100644
--- a/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachManager.java
+++ b/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachManager.java
@@ -708,10 +708,8 @@ public class DetachManager
          * Set the owner of the field's proxy to the detached state manager.
          */
         private Object reproxy(Object obj, int field) {
-            if (obj != null && _detSM != null && obj instanceof Proxy) {
+            if (obj != null && _detSM != null && obj instanceof Proxy)
                 ((Proxy) obj).setOwner(_detSM, field);
-                return ((Proxy) obj).copy(obj); 
-            }
             return obj;
         }
 
diff --git a/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachedStateManager.java b/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachedStateManager.java
index b8f48a1ee..1c58524f3 100644
--- a/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachedStateManager.java
+++ b/openjpa-kernel/src/main/java/org/apache/openjpa/kernel/DetachedStateManager.java
@@ -25,6 +25,7 @@ import java.util.BitSet;
 import java.util.Collection;
 import java.util.Map;
 
+import org.apache.openjpa.conf.Compatibility;
 import org.apache.openjpa.enhance.PersistenceCapable;
 import org.apache.openjpa.enhance.StateManager;
 import org.apache.openjpa.lib.util.Localizer;
@@ -62,6 +63,7 @@ public class DetachedStateManager
     private final Object _oid;
     private final Object _version;
     private final ReentrantLock _lock;
+    private final boolean _useDSFForUnproxy;   // old releases will default to FALSE, which is the old behavior
 
     /**
      * Constructor.
@@ -89,6 +91,14 @@ public class DetachedStateManager
             _lock = new ReentrantLock();
         else
             _lock = null;
+        if (sm.getContext() != null && sm.getContext().getConfiguration() != null) {
+            Compatibility compat = sm.getContext().getConfiguration().getCompatibilityInstance();
+            if (compat != null && !compat.getIgnoreDetachedStateFieldForProxySerialization())
+                _useDSFForUnproxy = true;      // new 2.0 behavior
+            else
+                _useDSFForUnproxy = false;
+        } else
+            _useDSFForUnproxy = false;
     }
 
     /////////////////////////////////
@@ -731,6 +741,15 @@ public class DetachedStateManager
         return _dirty;
     }
 
+    /**
+     * Should DetachedStateField be used by Proxies to determine when to remove
+     * $proxy wrappers during serialization.
+     * @since 2.0.0
+     */
+    public boolean getUseDSFForUnproxy() {
+        return _useDSFForUnproxy;
+    }
+
     public BitSet getFlushed() {
         throw new UnsupportedOperationException();
     }
diff --git a/openjpa-kernel/src/main/java/org/apache/openjpa/util/Proxies.java b/openjpa-kernel/src/main/java/org/apache/openjpa/util/Proxies.java
index 70f020a9f..ca944ae78 100644
--- a/openjpa-kernel/src/main/java/org/apache/openjpa/util/Proxies.java
+++ b/openjpa-kernel/src/main/java/org/apache/openjpa/util/Proxies.java
@@ -20,6 +20,8 @@ package org.apache.openjpa.util;
 
 import java.security.AccessController;
 
+import org.apache.openjpa.conf.Compatibility;
+import org.apache.openjpa.kernel.DetachedStateManager;
 import org.apache.openjpa.kernel.OpenJPAStateManager;
 import org.apache.openjpa.lib.util.J2DoPrivHelper;
 import org.apache.openjpa.lib.util.Localizer;
@@ -85,10 +87,18 @@ public class Proxies {
          *   1) No Proxy, then return as-is
          *   2) Runtime created proxy (!detachable), then unproxy
          *   3) No StateManager (DetachedStateField==false), then return as-is
-         *   4) If detached, then unproxy
-         *   5) If ClassMetaData exists and DetachedStateField != TRUE
-         *      (default of DetachedStateField==transient), then unproxy
-         *   6) Else, return as-is
+         *   Get the new IgnoreDetachedStateFieldForProxySerialization
+         *      Compatibility flag from either the metadata/configuration if
+         *      this is a normal StateManager, otherwise use the new flag
+         *      added to the DetachedStateManager
+         *   4) If new 2.0 behavior
+         *      4a) If ClassMetaData exists and DetachedStateField == TRUE
+         *          then do not remove the proxy and return as-is
+         *      4b) Else, using DetachedStateField of transient(default) or
+         *          false, so unproxy 
+         *   5) If 1.0 app or requested old 1.0 behavior
+         *      5a) If detached, then do not unproxy and return as-is
+         *      5b) Else, unproxy
          * 
          * Original code -
          *   1) Runtime created proxy (!detachable), then unproxy
@@ -111,19 +121,47 @@ public class Proxies {
         } else if (proxy.getOwner() == null) {
             // no StateManager (DetachedStateField==false), so no $proxy to remove
             return proxy;
-        } else if (proxy.getOwner().isDetached()) {
-            // already detached, so remove any $proxy
-            return proxy.copy(proxy);
         } else {
             // using a StateManager, so determine what DetachedState is being used
-            OpenJPAStateManager sm = proxy.getOwner();  // !null checked for above
-            ClassMetaData meta = sm.getMetaData();      // if null, no proxies?
-            if ((meta != null) && (!Boolean.TRUE.equals(meta.usesDetachedState()))) {
-                // configured to use transient (null) or no (FALSE) StateManger, so remove any $proxy
-                return proxy.copy(proxy);
+            OpenJPAStateManager sm = proxy.getOwner();  // null checked for above
+            ClassMetaData meta = null;          // if null, no proxies?
+            boolean useDSFForUnproxy = false;   // default to false for old 1.0 behavior
+
+            // DetachedStateMnager has no context or metadata, so we can't get configuration settings
+            if (!proxy.getOwner().isDetached()) {
+                Compatibility compat = null;
+                meta = sm.getMetaData();
+                if (meta != null) {
+                    compat = meta.getRepository().getConfiguration().getCompatibilityInstance();
+                } else if (sm.getContext() != null && sm.getContext().getConfiguration() != null) {
+                    compat = sm.getContext().getConfiguration().getCompatibilityInstance();
+                } else {
+                    // no-op - using a StateManager, but no Compatibility settings available
+                }
+                if (compat != null) {
+                    // new 2.0 behavior of using DetachedStateField to determine unproxy during serialization
+                    useDSFForUnproxy = !compat.getIgnoreDetachedStateFieldForProxySerialization();
+                }
             } else {
-                // DetachedStateField==true, which means to keep the SM and $proxy in the serialized objects
-                return proxy;
+                // Using a DetachedStateManager, so use the new flag since there is no context or metadata
+                useDSFForUnproxy = ((DetachedStateManager)sm).getUseDSFForUnproxy();
+            }
+            
+            if (useDSFForUnproxy) {
+                // use new 2.0 behavior
+                if ((meta != null) && (Boolean.TRUE.equals(meta.usesDetachedState()))) {
+                    // configured to always use and serialize a StateManger, so keep any $proxy
+                    return proxy;
+                } else {
+                    // already detached or using DetachedStateField==false or transient, so remove any $proxy
+                    return proxy.copy(proxy);
+                }
+            } else {
+                // use old 1.0 behavior
+                if (proxy.getOwner().isDetached())
+                    return proxy;
+                else
+                    return proxy.copy(proxy);
             }
         }
     }
diff --git a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestContainerSpecCompatibilityOptions.java b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestContainerSpecCompatibilityOptions.java
index 4bc3624be..73109aa4b 100644
--- a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestContainerSpecCompatibilityOptions.java
+++ b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestContainerSpecCompatibilityOptions.java
@@ -71,6 +71,7 @@ public class TestContainerSpecCompatibilityOptions
         Compatibility compat = emf1.getConfiguration().getCompatibilityInstance();
         assertTrue(compat.getFlushBeforeDetach());
         assertTrue(compat.getCopyOnDetach());
+        assertTrue(compat.getIgnoreDetachedStateFieldForProxySerialization());
         assertTrue(compat.getPrivatePersistentProperties());
         assertFalse(compat.isAbstractMappingUniDirectional());
         assertFalse(compat.isNonDefaultMappingAllowed());
@@ -92,6 +93,7 @@ public class TestContainerSpecCompatibilityOptions
         Compatibility compat = emf.getConfiguration().getCompatibilityInstance();
         assertFalse(compat.getFlushBeforeDetach());
         assertFalse(compat.getCopyOnDetach());
+        assertFalse(compat.getIgnoreDetachedStateFieldForProxySerialization());
         assertFalse(compat.getPrivatePersistentProperties());
         assertTrue(compat.isAbstractMappingUniDirectional());
         assertTrue(compat.isNonDefaultMappingAllowed());
diff --git a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestSpecCompatibilityOptions.java b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestSpecCompatibilityOptions.java
index 9436dc78e..a2a0089ba 100644
--- a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestSpecCompatibilityOptions.java
+++ b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/compat/TestSpecCompatibilityOptions.java
@@ -57,6 +57,7 @@ extends AbstractCachedEMFTestCase {
         Compatibility compat = emf.getConfiguration().getCompatibilityInstance();
         assertTrue(compat.getFlushBeforeDetach());
         assertTrue(compat.getCopyOnDetach());
+        assertTrue(compat.getIgnoreDetachedStateFieldForProxySerialization());
         assertTrue(compat.getPrivatePersistentProperties());
         String vMode = emf.getConfiguration().getValidationMode();
         assertEquals("NONE", vMode);
@@ -65,7 +66,6 @@ extends AbstractCachedEMFTestCase {
         assertEquals(spec.getVersion(), 1);
         
         emf.close();
-
     }
 
     /*
@@ -82,6 +82,7 @@ extends AbstractCachedEMFTestCase {
         Compatibility compat = emf.getConfiguration().getCompatibilityInstance();
         assertFalse(compat.getFlushBeforeDetach());
         assertFalse(compat.getCopyOnDetach());
+        assertFalse(compat.getIgnoreDetachedStateFieldForProxySerialization());
         assertFalse(compat.getPrivatePersistentProperties());
         String vMode = emf.getConfiguration().getValidationMode();
         assertEquals("AUTO", vMode);
diff --git a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/detach/TestDetachNoProxy.java b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/detach/TestDetachNoProxy.java
index b2faf88d8..5f0e07155 100644
--- a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/detach/TestDetachNoProxy.java
+++ b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/detach/TestDetachNoProxy.java
@@ -28,34 +28,19 @@ import java.util.ArrayList;
 import org.apache.openjpa.conf.Compatibility;
 import org.apache.openjpa.lib.log.Log;
 import org.apache.openjpa.persistence.OpenJPAEntityManager;
+import org.apache.openjpa.persistence.OpenJPAEntityManagerFactorySPI;
+import org.apache.openjpa.persistence.OpenJPAPersistence;
 import org.apache.openjpa.persistence.test.SingleEMFTestCase;
 
 public class TestDetachNoProxy extends SingleEMFTestCase {
     
     private static final int numEntities = 3;
     private static final String PROXY = new String("$proxy");
-    private Log log;
+    private Log _log;
     
     public void setUp() {
         setUp(DROP_TABLES, Entity20.class);
-        log = emf.getConfiguration().getLog("test");
-        
-        // check and set Compatibility values to new 2.0 values
-        Compatibility compat = emf.getConfiguration().getCompatibilityInstance();
-        assertNotNull(compat);
-        if (log.isTraceEnabled()) {
-            log.trace("Before set, FlushBeforeDetach=" + compat.getFlushBeforeDetach());
-            log.trace("Before set, CopyOnDetach=" + compat.getCopyOnDetach());
-            log.trace("Before set, CascadeWithDetach=" + compat.getCascadeWithDetach());
-        }
-        compat.setFlushBeforeDetach(false);
-        compat.setCopyOnDetach(false);
-        compat.setCascadeWithDetach(false);
-        if (log.isTraceEnabled()) {
-            log.trace("After set, FlushBeforeDetach=" + compat.getFlushBeforeDetach());
-            log.trace("After set, CopyOnDetach=" + compat.getCopyOnDetach());
-            log.trace("After set, CascadeWithDetach=" + compat.getCascadeWithDetach());
-        }
+        _log = emf.getConfiguration().getLog("test");
         createEntities(numEntities);
     }
     
@@ -74,16 +59,33 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
     /* 
      * Verify that an in-place detached entity does not use the proxy classes.
      */
-    public void testDetach() {
-        if (log.isTraceEnabled())
-            log.trace("***** testDetach() *****");
+    public void testDetach20() {
         Integer id = new Integer(0);
-        OpenJPAEntityManager em = emf.createEntityManager();
+        OpenJPAEntityManagerFactorySPI emf2 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy2New", "org/apache/openjpa/persistence/detach/persistence2.xml");
+        assertNotNull(emf2);
+
+        Log log = emf2.getConfiguration().getLog("test");
+        if (log.isTraceEnabled())
+            log.trace("***** testDetach20() *****");
         
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf2.createEntityManager();
         em.clear();
+        
         Entity20 e20 = em.find(Entity20.class, id);
         if (log.isTraceEnabled())
-            log.trace("** after find");
+            log.trace("** testDetach20() - after find");
         assertTrue(em.contains(e20));
         assertFalse(em.isDetached(e20));
         verifySerializable(e20, true, false);
@@ -91,28 +93,46 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         // new openjpa-2.0.0 behavior, where detach() doesn't return updated entity, but does it in-place
         em.detach(e20);
         if (log.isTraceEnabled())
-            log.trace("** after detach");
+            log.trace("** testDetach20() - after detach");
         // in-place updated entity should not have any proxy classes and should be detached
         assertFalse(em.contains(e20));
         assertTrue(em.isDetached(e20));
-        verifySerializable(e20, false, false);
+        verifySerializable(e20, true, false);
                
         em.close();
+        emf2.close();
     }
 
     /* 
      * Verify that a detachCopy() returned entity does not contain any proxy classes.
      */
-    public void testDetachCopy() {
-        if (log.isTraceEnabled())
-            log.trace("***** testDetachCopy() *****");
+    public void testDetachCopy20() {
         Integer id = new Integer(0);
-        OpenJPAEntityManager em = emf.createEntityManager();
+        OpenJPAEntityManagerFactorySPI emf2 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy2New", "org/apache/openjpa/persistence/detach/persistence2.xml");
+        assertNotNull(emf2);
+
+        Log log = emf2.getConfiguration().getLog("test");
+        if (log.isTraceEnabled())
+            log.trace("***** testDetachCopy20() *****");
+        
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf2.createEntityManager();
         em.clear();
 
         Entity20 e20 = em.find(Entity20.class, id);
         if (log.isTraceEnabled())
-            log.trace("** after find");
+            log.trace("** testDetachCopy20() - after find");
         assertTrue(em.contains(e20));
         assertFalse(em.isDetached(e20));
         verifySerializable(e20, true, false);
@@ -120,7 +140,7 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         // Test new detachCopy() method added in 2.0.0
         Entity20 e20copy = em.detachCopy(e20);
         if (log.isTraceEnabled())
-            log.trace("** after detachCopy");
+            log.trace("** TestDetachCopy20() - after detachCopy");
         // verify e20 is same as above
         assertTrue(em.contains(e20));
         assertFalse(em.isDetached(e20));
@@ -131,15 +151,33 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         verifySerializable(e20copy, false, false);
         
         em.close();
+        emf2.close();
     }
 
     /*
      * Verify that in-place detachAll entities do not use the proxy classes.
      */
-    public void testDetachAll() {
+    public void testDetachAll20() {
+        OpenJPAEntityManagerFactorySPI emf2 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy2New", "org/apache/openjpa/persistence/detach/persistence2.xml");
+        assertNotNull(emf2);
+
+        Log log = emf2.getConfiguration().getLog("test");
         if (log.isTraceEnabled())
-            log.trace("***** testDetachAll() *****");
-        OpenJPAEntityManager em = emf.createEntityManager();
+            log.trace("***** testDetachAll20() *****");
+        
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf2.createEntityManager();
         em.clear();
 
         ArrayList<Entity20> e20List = new ArrayList<Entity20>(numEntities);
@@ -147,7 +185,7 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
             Entity20 e20 = em.find(Entity20.class, new Integer(i));
             e20List.add(e20);
             if (log.isTraceEnabled())
-                log.trace("** after find Entity20(" + i + ")");
+                log.trace("** testDetachAll20() - after find Entity20(" + i + ")");
             assertTrue(em.contains(e20));
             assertFalse(em.isDetached(e20));
             verifySerializable(e20, true, false);            
@@ -159,24 +197,42 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         em.detachAll(e20List.get(0), e20List.get(1), e20List.get(2));
         for (int i=0; i<numEntities; i++) {
             if (log.isTraceEnabled())
-                log.trace("** after EM.detachAll() verify e20List(" + i + ")");
+                log.trace("** testDetachAll20() - after EM.detachAll() verify e20List(" + i + ")");
             Entity20 e20 = e20List.get(i);
             // entity should not have any proxy classes (in-place updated) and is detached
             assertFalse(em.contains(e20));
             assertTrue(em.isDetached(e20));
-            verifySerializable(e20, false, false);
+            verifySerializable(e20, true, false);
         }
 
         em.close();
+        emf2.close();
     }
 
     /*
-     * Verify that after EM.clear() entities still contain proxy classes.
+     * Verify that after EM.clear() entities still contain proxy classes for 1.0 apps.
      */
-    public void testClear() {
+    public void testClear10Compat() {
+        OpenJPAEntityManagerFactorySPI emf1 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy1Compat", "org/apache/openjpa/persistence/detach/persistence1.xml");
+        assertNotNull(emf1);
+
+        Log log = emf1.getConfiguration().getLog("test");
         if (log.isTraceEnabled())
-            log.trace("***** testClear() *****");
-        OpenJPAEntityManager em = emf.createEntityManager();
+            log.trace("***** testClear10Compat() *****");
+        
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf1.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf1.createEntityManager();
         em.clear();
 
         ArrayList<Entity20> e20List = new ArrayList<Entity20>(numEntities);
@@ -184,7 +240,7 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
             Entity20 e20 = em.find(Entity20.class, new Integer(i));
             e20List.add(e20);
             if (log.isTraceEnabled())
-                log.trace("** after find Entity20(" + i + ")");
+                log.trace("** testClear10Compat() - after find Entity20(" + i + ")");
             assertTrue(em.contains(e20));
             assertFalse(em.isDetached(e20));
             verifySerializable(e20, true, false);            
@@ -194,19 +250,124 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
 
         for (int i=0; i<numEntities; i++) {
             if (log.isTraceEnabled())
-                log.trace("** after EM.clear() verify Entity20(" + i + ")");
+                log.trace("** testClear10Compat() - after EM.clear() verify Entity20(" + i + ")");
             Entity20 e20 = e20List.get(i);
             assertFalse(em.contains(e20));
             assertTrue(em.isDetached(e20));
-            // entity should still have proxy classes and is detached,
-            // Old 1.2.x Behavior -
+            // Old 1.0/1.2 Behavior -
             //   the $proxy classes are not removed during serialization
-            // verifySerializable(e20, true, true);
+            verifySerializable(e20, true, true);
+        }
+
+        em.close();
+        emf1.close();
+    }
+
+    /*
+     * Verify that after EM.clear() entities still contain proxy classes for 1.0 apps.
+     */
+    public void testClear20Compat() {
+        OpenJPAEntityManagerFactorySPI emf2 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy2Compat", "org/apache/openjpa/persistence/detach/persistence2.xml");
+        assertNotNull(emf2);
+
+        Log log = emf2.getConfiguration().getLog("test");
+        if (log.isTraceEnabled())
+            log.trace("***** testClear20Compat() *****");
+        
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf2.createEntityManager();
+        em.clear();
+
+        ArrayList<Entity20> e20List = new ArrayList<Entity20>(numEntities);
+        for (int i=0; i<numEntities; i++) {
+            Entity20 e20 = em.find(Entity20.class, new Integer(i));
+            e20List.add(e20);
+            if (log.isTraceEnabled())
+                log.trace("** testClear20Compat() - after find Entity20(" + i + ")");
+            assertTrue(em.contains(e20));
+            assertFalse(em.isDetached(e20));
+            verifySerializable(e20, true, false);            
+        }
+
+        em.clear();
+
+        for (int i=0; i<numEntities; i++) {
+            if (log.isTraceEnabled())
+                log.trace("** testClear20Compat() - after EM.clear() verify Entity20(" + i + ")");
+            Entity20 e20 = e20List.get(i);
+            assertFalse(em.contains(e20));
+            assertTrue(em.isDetached(e20));
+            // Old 1.0/1.2 Behavior -
+            //   the $proxy classes are not removed during serialization
+            verifySerializable(e20, true, true);
+        }
+
+        em.close();
+        emf2.close();
+    }
+
+    /*
+     * Verify that after EM.clear() entities do not contain proxy classes for 2.0 apps.
+     */
+    public void testClear20New() {
+        OpenJPAEntityManagerFactorySPI emf2 = 
+            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
+            "NoProxy2New", "org/apache/openjpa/persistence/detach/persistence2.xml");
+        assertNotNull(emf2);
+
+        Log log = emf2.getConfiguration().getLog("test");
+        if (log.isTraceEnabled())
+            log.trace("***** testClear20New() *****");
+        
+        if (log.isTraceEnabled()) {
+            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
+            assertNotNull(compat);
+            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
+            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
+            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
+        }
+
+        OpenJPAEntityManager em = emf2.createEntityManager();
+        em.clear();
+
+        ArrayList<Entity20> e20List = new ArrayList<Entity20>(numEntities);
+        for (int i=0; i<numEntities; i++) {
+            Entity20 e20 = em.find(Entity20.class, new Integer(i));
+            e20List.add(e20);
+            if (log.isTraceEnabled())
+                log.trace("** testClear20New() - after find Entity20(" + i + ")");
+            assertTrue(em.contains(e20));
+            assertFalse(em.isDetached(e20));
+            verifySerializable(e20, true, false);            
+        }
+
+        em.clear();
+
+        for (int i=0; i<numEntities; i++) {
+            if (log.isTraceEnabled())
+                log.trace("** testClear20New() - after EM.clear() verify Entity20(" + i + ")");
+            Entity20 e20 = e20List.get(i);
+            assertFalse(em.contains(e20));
+            assertTrue(em.isDetached(e20));
             // OPENJPA-1097 New behavior - $proxy classes are removed
             verifySerializable(e20, true, false);
         }
 
         em.close();
+        emf2.close();
     }
 
     /**
@@ -225,8 +386,8 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         ObjectOutputStream oos = null;
         byte[] e20bytes = null;
         
-        if (log.isTraceEnabled())
-            log.trace("verifySerializable() - before serialize");
+        if (_log.isTraceEnabled())
+            _log.trace("verifySerializable() - before serialize");
         verifyEntities(e20, usesProxyBefore);
 
         // first serialize
@@ -251,8 +412,8 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
         try {
             ois = new ObjectInputStream(bais);
             e20new = (Entity20) ois.readObject();
-            if (log.isTraceEnabled())
-                log.trace("verifySerializable() - after deserialize");
+            if (_log.isTraceEnabled())
+                _log.trace("verifySerializable() - after deserialize");
             verifyEntities(e20new, usesProxyAfter);
         } catch (IOException e) {
             fail(e.toString());
@@ -269,8 +430,8 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
     }
 
     private void verifyEntities(Entity20 e20, boolean usesProxy) {
-        if (log.isTraceEnabled()) {
-            log.trace("verifyEntities() - asserting expected proxy usage is " + usesProxy);
+        if (_log.isTraceEnabled()) {
+            _log.trace("verifyEntities() - asserting expected proxy usage is " + usesProxy);
             printClassNames(e20);
         }
         assertTrue("Expected sqlDate endsWith($proxy) to return " + usesProxy,
@@ -283,10 +444,10 @@ public class TestDetachNoProxy extends SingleEMFTestCase {
     }
     
     private void printClassNames(Entity20 e20) {
-        if (log.isTraceEnabled()) {
-            log.trace("sqlDate = " + e20.getDate().getClass().getCanonicalName());
-            log.trace("sqlTime = " + e20.getTime().getClass().getCanonicalName());
-            log.trace("sqlTimestamp = " + e20.getTimestamp().getClass().getCanonicalName());
+        if (_log.isTraceEnabled()) {
+            _log.trace("sqlDate = " + e20.getDate().getClass().getCanonicalName());
+            _log.trace("sqlTime = " + e20.getTime().getClass().getCanonicalName());
+            _log.trace("sqlTimestamp = " + e20.getTimestamp().getClass().getCanonicalName());
         }
     }
 }
diff --git a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/proxy/TestDetachMerge.java b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/proxy/TestDetachMerge.java
index 8956e8b8d..a14f4dda0 100644
--- a/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/proxy/TestDetachMerge.java
+++ b/openjpa-persistence-jdbc/src/test/java/org/apache/openjpa/persistence/proxy/TestDetachMerge.java
@@ -21,7 +21,9 @@ package org.apache.openjpa.persistence.proxy;
 import java.math.BigDecimal;
 import java.util.Calendar;
 import java.util.Date;
+import java.util.HashMap;
 import java.util.List;
+import java.util.Map;
 import java.util.UUID;
 
 import javax.persistence.EntityManager;
@@ -75,7 +77,6 @@ public class TestDetachMerge extends SingleEMFTestCase {
     /* 
      * Test default 1.0 compatibility behavior, which should pass AS-IS
      */
-    @AllowFailure(message="Will fail until OPENJPA-1597 is fixed")
     public void testAnnuity1Compat() throws Exception {
         OpenJPAEntityManagerFactorySPI emf1 = 
             (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
@@ -91,6 +92,8 @@ public class TestDetachMerge extends SingleEMFTestCase {
             log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
             log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
             log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
         }
 
         try {
@@ -103,9 +106,8 @@ public class TestDetachMerge extends SingleEMFTestCase {
     }
     
     /* 
-     * Test 2.0 behavior with Compatibility flag and DetachedStateField=true, which should PASS
+     * Test default 2.0 compatibility behavior, which should PASS
      */
-    @AllowFailure(message="Will fail until OPENJPA-1597 is fixed")
     public void testAnnuity2Compat() throws Exception {
         OpenJPAEntityManagerFactorySPI emf2 = 
             (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
@@ -121,6 +123,8 @@ public class TestDetachMerge extends SingleEMFTestCase {
             log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
             log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
             log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
+            log.trace("IgnoreDetachedStateFieldForProxySerialization=" +
+                compat.getIgnoreDetachedStateFieldForProxySerialization());
         }
 
         try {
@@ -132,69 +136,6 @@ public class TestDetachMerge extends SingleEMFTestCase {
         }
     }
     
-    /* 
-     * Test 2.0 behavior with DetachedStateField=true, which should FAIL
-     */
-    public void testAnnuity2Fail() throws Exception {
-        OpenJPAEntityManagerFactorySPI emf2 = 
-            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
-            "Annuity2Fail", "org/apache/openjpa/persistence/proxy/persistence2.xml");
-        assertNotNull(emf2);
-
-        Log log = emf2.getConfiguration().getLog("test");
-
-        if (log.isTraceEnabled()) {
-            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
-            assertNotNull(compat);
-            log.trace("started testAnnuity2Fail()");
-            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
-            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
-            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
-        }
-
-        try {
-            execute(emf2);
-            fail("testAnuity2Fail() should have caused an execption!");
-        } catch (RuntimeException e) {
-            if (e.getMessage().startsWith("Annuity:")) {
-                // no-op caught our expected exception
-            } else {
-                fail("testAnuity2Fail() caught an unexpected execption!" + e);
-            }
-        } finally {
-            emf2.close();
-        }
-    }
-    
-    /* 
-     * Test default 2.0 behavior with DetachedStateField=transient, which should PASS
-     */
-    public void testAnnuity2New() throws Exception {
-        OpenJPAEntityManagerFactorySPI emf2 = 
-            (OpenJPAEntityManagerFactorySPI) OpenJPAPersistence.createEntityManagerFactory(
-            "Annuity2New", "org/apache/openjpa/persistence/proxy/persistence2.xml");
-        assertNotNull(emf2);
-
-        Log log = emf2.getConfiguration().getLog("test");
-
-        if (log.isTraceEnabled()) {
-            Compatibility compat = emf2.getConfiguration().getCompatibilityInstance();
-            assertNotNull(compat);
-            log.trace("started testAnnuity2New()");
-            log.trace("FlushBeforeDetach=" + compat.getFlushBeforeDetach());
-            log.trace("CopyOnDetach=" + compat.getCopyOnDetach());
-            log.trace("CascadeWithDetach=" + compat.getCascadeWithDetach());
-        }
-
-        try {
-            execute(emf2);
-        } catch (RuntimeException e) {
-            fail("testAnuity2New() should not have caused an execption!" + e);
-        } finally {
-            emf2.close();
-        }
-    }
-    
     private void execute(OpenJPAEntityManagerFactorySPI myEMF) throws Exception {
         Log log = myEMF.getConfiguration().getLog("test");
         //EntityManager em = myEMF.createEntityManager();
@@ -613,7 +554,8 @@ public class TestDetachMerge extends SingleEMFTestCase {
         if (payors == null)
             throw new RuntimeException("Annuity: IPayor list not the same (payors was null)!");
         if (payors.size() != payors2.size())
-            throw new RuntimeException("Annuity: IPayor list not the same (payors size not the same)!");
+            throw new RuntimeException("Annuity: IPayor list not the same (payors size not the same)! payors=" +
+                payors.toArray().toString() + ", payors2=" + payors2.toString());
         for (int i = 0; i < payors.size(); i++) {
             IPayor payor = payors.get(i);
             boolean found = false;
diff --git a/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence1.xml b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence1.xml
new file mode 100644
index 000000000..5dbc1ae67
--- /dev/null
+++ b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence1.xml
@@ -0,0 +1,34 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<!--
+ 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.
+-->
+<persistence xmlns="http://java.sun.com/xml/ns/persistence"
+    xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"
+    version="1.0"
+    xsi:schemaLocation="http://java.sun.com/xml/ns/persistence
+    http://java.sun.com/xml/ns/persistence/persistence_1_0.xsd">
+
+    <persistence-unit name="NoProxy1Compat">
+        <class>org.apache.openjpa.persistence.detach.Entity20</class>
+        <exclude-unlisted-classes>true</exclude-unlisted-classes>
+        <properties>			
+            <property name="openjpa.jdbc.SynchronizeMappings"
+                value="buildSchema(ForeignKeys=true)"/>
+        </properties>
+    </persistence-unit>
+</persistence>
diff --git a/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence2.xml b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence2.xml
new file mode 100644
index 000000000..b768a65e4
--- /dev/null
+++ b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/detach/persistence2.xml
@@ -0,0 +1,55 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<!--
+ 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.
+-->
+<persistence xmlns="http://java.sun.com/xml/ns/persistence"
+    xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"
+    version="2.0"
+    xsi:schemaLocation="http://java.sun.com/xml/ns/persistence
+    http://java.sun.com/xml/ns/persistence/persistence_2_0.xsd">
+
+    <!-- 
+         This is the new PU for 2.0, which takes the default 2.0 
+         behavior of removing $proxy for default DetachedStateField=transient
+    -->
+    <persistence-unit name="NoProxy2New">
+        <class>org.apache.openjpa.persistence.detach.Entity20</class>
+        <exclude-unlisted-classes>true</exclude-unlisted-classes>
+        <properties>			
+            <property name="openjpa.jdbc.SynchronizeMappings"
+                value="buildSchema(ForeignKeys=true)" />
+        </properties>
+    </persistence-unit>
+
+    <!-- 
+         This is the original PU from 1.0, but running as a 2.0 app
+         with the new Compatibility flag set to use the old 1.0 behavior,
+         which is to not remove $proxy after calling EM.clear()
+    -->
+    <persistence-unit name="NoProxy2Compat">
+        <class>org.apache.openjpa.persistence.detach.Entity20</class>
+        <exclude-unlisted-classes>true</exclude-unlisted-classes>
+        <properties>			
+            <property name="openjpa.jdbc.SynchronizeMappings"
+                value="buildSchema(ForeignKeys=true)" />
+            <property name="openjpa.Compatibility"
+                value="IgnoreDetachedStateFieldForProxySerialization=true" />
+        </properties>
+    </persistence-unit>
+
+</persistence>
diff --git a/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/proxy/persistence2.xml b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/proxy/persistence2.xml
index f564e6d66..3e8ddd4b9 100644
--- a/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/proxy/persistence2.xml
+++ b/openjpa-persistence-jdbc/src/test/resources/org/apache/openjpa/persistence/proxy/persistence2.xml
@@ -26,58 +26,6 @@
     <!-- 
          This is the original PU from 1.0, but running as a 2.0 app
     -->
-    <persistence-unit name="Annuity2Fail">
-        <class>org.apache.openjpa.persistence.proxy.entities.Address</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Annuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.AnnuityHolder</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.AnnuityPersistebleObject</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Contact</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.EquityAnnuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.FixedAnnuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Payor</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Payout</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Person</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Rider</class>
-        <exclude-unlisted-classes>true</exclude-unlisted-classes>
-        <properties>			
-            <property name="openjpa.DetachState" value="fgs(DetachedStateField=true)" />
-            <!-- <property name="openjpa.jdbc.Schema" value="EJB30"/> -->
-            <property name="openjpa.jdbc.SynchronizeMappings"
-                value="buildSchema(ForeignKeys=true)"/>
-        </properties>
-    </persistence-unit>
-
-    <!--
-         This is the original PU from 1.0, but with the DetachedStateField
-         override removed, which will cause a transient one to be used
-         and the tests will pass.
-    -->
-    <persistence-unit name="Annuity2New">
-        <class>org.apache.openjpa.persistence.proxy.entities.Address</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Annuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.AnnuityHolder</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.AnnuityPersistebleObject</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Contact</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.EquityAnnuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.FixedAnnuity</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Payor</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Payout</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Person</class>
-        <class>org.apache.openjpa.persistence.proxy.entities.Rider</class>
-        <exclude-unlisted-classes>true</exclude-unlisted-classes>
-        <properties>			
-            <!-- <property name="openjpa.DetachState" value="fgs(DetachedStateField=true)" /> -->
-            <!-- <property name="openjpa.jdbc.Schema" value="EJB30"/> -->
-            <property name="openjpa.jdbc.SynchronizeMappings"
-                value="buildSchema(ForeignKeys=true)"/>
-        </properties>
-    </persistence-unit>
-
-    <!-- 
-         This is the original PU from 1.0, but running as a 2.0 app
-         with the new Compatibility flag set to use the old 1.0 behavior,
-         so the tests will pass.
-    -->
     <persistence-unit name="Annuity2Compat">
         <class>org.apache.openjpa.persistence.proxy.entities.Address</class>
         <class>org.apache.openjpa.persistence.proxy.entities.Annuity</class>
@@ -92,11 +40,11 @@
         <class>org.apache.openjpa.persistence.proxy.entities.Rider</class>
         <exclude-unlisted-classes>true</exclude-unlisted-classes>
         <properties>			
-            <!-- <property name="openjpa.Compatibility.xxxxx" value="true)" /> -->
-            <property name="openjpa.DetachState" value="fgs(DetachedStateField=true)" />
-            <!-- <property name="openjpa.jdbc.Schema" value="EJB30"/> -->
+            <property name="openjpa.DetachState"
+                value="fgs(DetachedStateField=true)" />
             <property name="openjpa.jdbc.SynchronizeMappings"
-                value="buildSchema(ForeignKeys=true)"/>
+                value="buildSchema(ForeignKeys=true)" />
         </properties>
     </persistence-unit>
+
 </persistence>
diff --git a/openjpa-persistence/src/main/java/org/apache/openjpa/persistence/PersistenceProductDerivation.java b/openjpa-persistence/src/main/java/org/apache/openjpa/persistence/PersistenceProductDerivation.java
index 3c37a2caa..9c74950e9 100644
--- a/openjpa-persistence/src/main/java/org/apache/openjpa/persistence/PersistenceProductDerivation.java
+++ b/openjpa-persistence/src/main/java/org/apache/openjpa/persistence/PersistenceProductDerivation.java
@@ -287,6 +287,7 @@ public class PersistenceProductDerivation
             compatibility.setFlushBeforeDetach(true);
             compatibility.setCopyOnDetach(true);
             compatibility.setPrivatePersistentProperties(true);
+            compatibility.setIgnoreDetachedStateFieldForProxySerialization(true);
             // Disable bean validation for spec level < 2 configurations
             conf.validationMode.set(String.valueOf(ValidationMode.NONE));
         } else {