5060485 made an attempt at fixing an issue with shadowing of type-variables w.r.t. member type declarations. Unfortunately the fix is incomplete - the following code works:

public class X<Y> {

  static public class Y {}

  static public class Y1 <T extends X<Y>> {
  }

}

Showing that, in the declaration of Y1, Y is correctly resolved to the nested class, not the type-parameter. However there are cases in which javac still gets shadowing wrong:

class Test<T> {
    static class T { }
    static T q;
} 

This fails with the following message:

TestBug.java:13: non-static class T cannot be referenced from a static context
    static T q;
           ^
1 error

Revealing that javac is resolving T to the type-variable type rather than to the class type.