This behavior appears to occur only on Java 1.7. When compiling with 1.6, I get the following compiler error message:

c:\dev\src\misc>javac -source 1.6 Main.java warning: [options] bootstrap class path not set in conjunction with -source 1.6 Main.java:22: error: unreported exception Exception; must be caught or declared to be thrown throw e; ^ 1 error 1 warning

But with Java 1.7, it compiles.

c:\dev\src\misc>javac -source 1.7 Main.java c:\dev\src\misc>

... Until I actually throw an Exception in the try block:

public static void throwsOrNotThrowsThatsTheQuestion() { try { // Any processing throw new IOException("Fake!"); } catch (Exception e) { throw e; }

Compiling...

c:\dev\src\misc>javac -source 1.7 Main.java Main.java:22: error: unreported exception IOException; must be caught or declare d to be thrown throw e; ^ 1 error

It looks like Java 1.7 got smart enough to detect the kind of Exception (s) that might be thrown by analyzing the try block code, where as 1.6 just saw throw e; of type Exception and gave an error just for that.

Changing it to throw a RuntimeException made it compile as expected, because as always, unchecked Exception s don't need a throws clause:

public static void throwsOrNotThrowsThatsTheQuestion() { try { // Any processing throw new RuntimeException("Fake!"); } catch (Exception e) { throw e; }

Compiling...

c:\dev\src\misc>javac -source 1.7 Main.java c:\dev\src\misc>

The Explanation

Here's what's going on:

Java 7 introduced more inclusive type checking. Quoting...

Consider the following example:

static class FirstException extends Exception { } static class SecondException extends Exception { } public void rethrowException(String exceptionName) throws Exception { try { if (exceptionName.equals("First")) { throw new FirstException(); } else { throw new SecondException(); } } catch (Exception e) { throw e; } }

This examples's try block could throw either FirstException or SecondException. Suppose you want to specify these exception types in the throws clause of the rethrowException method declaration. In releases prior to Java SE 7, you cannot do so. Because the exception parameter of the catch clause, e, is type Exception, and the catch block rethrows the exception parameter e, you can only specify the exception type Exception in the throws clause of the rethrowException method declaration. However, in Java SE 7, you can specify the exception types FirstException and SecondException in the throws clause in the rethrowException method declaration. The Java SE 7 compiler can determine that the exception thrown by the statement throw e must have come from the try block, and the only exceptions thrown by the try block can be FirstException and SecondException. Even though the exception parameter of the catch clause, e, is type Exception, the compiler can determine that it is an instance of either FirstException or SecondException:

(emphasis mine)