diff --git a/vendor.conf b/vendor.conf
index e3c6586c60..f054080c86 100644
--- a/vendor.conf
+++ b/vendor.conf
@@ -23,7 +23,7 @@ github.com/RackSec/srslog 456df3a81436d29ba874f3590eeeee25d666f8a5
 github.com/imdario/mergo 0.2.1
 
 #get libnetwork packages
-github.com/docker/libnetwork dd0ddde6749fdffe310087e1c3616142d8c3ef9e 
+github.com/docker/libnetwork fd27f22aaa35e3d57f88688f919d05b744f431fd
 github.com/docker/go-events 18b43f1bc85d9cdd42c05a6cd2d444c7a200a894
 github.com/armon/go-radix e39d623f12e8e41c7b5529e9a9dd67a1e2261f80
 github.com/armon/go-metrics eb0af217e5e9747e41dd5303755356b62d28e3ec
diff --git a/vendor/github.com/docker/libnetwork/agent.go b/vendor/github.com/docker/libnetwork/agent.go
index c4f18ba9a8..540aa79cf8 100644
--- a/vendor/github.com/docker/libnetwork/agent.go
+++ b/vendor/github.com/docker/libnetwork/agent.go
@@ -7,6 +7,7 @@ import (
 	"net"
 	"os"
 	"sort"
+	"sync"
 
 	"github.com/Sirupsen/logrus"
 	"github.com/docker/docker/pkg/stringid"
@@ -39,6 +40,7 @@ type agent struct {
 	advertiseAddr     string
 	epTblCancel       func()
 	driverCancelFuncs map[string][]func()
+	sync.Mutex
 }
 
 func getBindAddr(ifaceName string) (string, error) {
@@ -86,9 +88,16 @@ func resolveAddr(addrOrInterface string) (string, error) {
 func (c *controller) handleKeyChange(keys []*types.EncryptionKey) error {
 	drvEnc := discoverapi.DriverEncryptionUpdate{}
 
-	a := c.agent
+	a := c.getAgent()
+	if a == nil {
+		logrus.Debug("Skipping key change as agent is nil")
+		return nil
+	}
+
 	// Find the deleted key. If the deleted key was the primary key,
 	// a new primary key should be set before removing if from keyring.
+	c.Lock()
+	added := []byte{}
 	deleted := []byte{}
 	j := len(c.keys)
 	for i := 0; i < j; {
@@ -127,7 +136,7 @@ func (c *controller) handleKeyChange(keys []*types.EncryptionKey) error {
 		if !same {
 			c.keys = append(c.keys, key)
 			if key.Subsystem == subsysGossip {
-				a.networkDB.SetKey(key.Key)
+				added = key.Key
 			}
 
 			if key.Subsystem == subsysIPSec {
@@ -136,6 +145,11 @@ func (c *controller) handleKeyChange(keys []*types.EncryptionKey) error {
 			}
 		}
 	}
+	c.Unlock()
+
+	if len(added) > 0 {
+		a.networkDB.SetKey(added)
+	}
 
 	key, tag, err := c.getPrimaryKeyTag(subsysGossip)
 	if err != nil {
@@ -166,8 +180,10 @@ func (c *controller) handleKeyChange(keys []*types.EncryptionKey) error {
 }
 
 func (c *controller) agentSetup() error {
+	c.Lock()
 	clusterProvider := c.cfg.Daemon.ClusterProvider
-
+	agent := c.agent
+	c.Unlock()
 	bindAddr := clusterProvider.GetLocalAddress()
 	advAddr := clusterProvider.GetAdvertiseAddress()
 	remote := clusterProvider.GetRemoteAddress()
@@ -176,7 +192,7 @@ func (c *controller) agentSetup() error {
 	listenAddr, _, _ := net.SplitHostPort(listen)
 
 	logrus.Infof("Initializing Libnetwork Agent Listen-Addr=%s Local-addr=%s Adv-addr=%s Remote-addr =%s", listenAddr, bindAddr, advAddr, remoteAddr)
-	if advAddr != "" && c.agent == nil {
+	if advAddr != "" && agent == nil {
 		if err := c.agentInit(listenAddr, bindAddr, advAddr); err != nil {
 			logrus.Errorf("Error in agentInit : %v", err)
 		} else {
@@ -208,6 +224,9 @@ func (c *controller) agentSetup() error {
 // For a given subsystem getKeys sorts the keys by lamport time and returns
 // slice of keys and lamport time which can used as a unique tag for the keys
 func (c *controller) getKeys(subsys string) ([][]byte, []uint64) {
+	c.Lock()
+	defer c.Unlock()
+
 	sort.Sort(ByTime(c.keys))
 
 	keys := [][]byte{}
@@ -227,6 +246,8 @@ func (c *controller) getKeys(subsys string) ([][]byte, []uint64) {
 // getPrimaryKeyTag returns the primary key for a given subsystem from the
 // list of sorted key and the associated tag
 func (c *controller) getPrimaryKeyTag(subsys string) ([]byte, uint64, error) {
+	c.Lock()
+	defer c.Unlock()
 	sort.Sort(ByTime(c.keys))
 	keys := []*types.EncryptionKey{}
 	for _, key := range c.keys {
@@ -265,6 +286,7 @@ func (c *controller) agentInit(listenAddr, bindAddrOrInterface, advertiseAddr st
 
 	ch, cancel := nDB.Watch("endpoint_table", "", "")
 
+	c.Lock()
 	c.agent = &agent{
 		networkDB:         nDB,
 		bindAddr:          bindAddr,
@@ -272,6 +294,7 @@ func (c *controller) agentInit(listenAddr, bindAddrOrInterface, advertiseAddr st
 		epTblCancel:       cancel,
 		driverCancelFuncs: make(map[string][]func()),
 	}
+	c.Unlock()
 
 	go c.handleTableEvents(ch, c.handleEpTableEvent)
 
@@ -294,21 +317,22 @@ func (c *controller) agentInit(listenAddr, bindAddrOrInterface, advertiseAddr st
 }
 
 func (c *controller) agentJoin(remote string) error {
-	if c.agent == nil {
+	agent := c.getAgent()
+	if agent == nil {
 		return nil
 	}
-
-	return c.agent.networkDB.Join([]string{remote})
+	return agent.networkDB.Join([]string{remote})
 }
 
 func (c *controller) agentDriverNotify(d driverapi.Driver) {
-	if c.agent == nil {
+	agent := c.getAgent()
+	if agent == nil {
 		return
 	}
 
 	d.DiscoverNew(discoverapi.NodeDiscovery, discoverapi.NodeDiscoveryData{
-		Address:     c.agent.advertiseAddr,
-		BindAddress: c.agent.bindAddr,
+		Address:     agent.advertiseAddr,
+		BindAddress: agent.bindAddr,
 		Self:        true,
 	})
 
@@ -339,11 +363,19 @@ func (c *controller) agentClose() {
 		return
 	}
 
+	var cancelList []func()
+
+	agent.Lock()
 	for _, cancelFuncs := range agent.driverCancelFuncs {
 		for _, cancel := range cancelFuncs {
-			cancel()
+			cancelList = append(cancelList, cancel)
 		}
 	}
+	agent.Unlock()
+
+	for _, cancel := range cancelList {
+		cancel()
+	}
 
 	agent.epTblCancel()
 
@@ -354,13 +386,7 @@ func (n *network) isClusterEligible() bool {
 	if n.driverScope() != datastore.GlobalScope {
 		return false
 	}
-
-	c := n.getController()
-	if c.agent == nil {
-		return false
-	}
-
-	return true
+	return n.getController().getAgent() != nil
 }
 
 func (n *network) joinCluster() error {
@@ -368,8 +394,12 @@ func (n *network) joinCluster() error {
 		return nil
 	}
 
-	c := n.getController()
-	return c.agent.networkDB.JoinNetwork(n.ID())
+	agent := n.getController().getAgent()
+	if agent == nil {
+		return nil
+	}
+
+	return agent.networkDB.JoinNetwork(n.ID())
 }
 
 func (n *network) leaveCluster() error {
@@ -377,8 +407,12 @@ func (n *network) leaveCluster() error {
 		return nil
 	}
 
-	c := n.getController()
-	return c.agent.networkDB.LeaveNetwork(n.ID())
+	agent := n.getController().getAgent()
+	if agent == nil {
+		return nil
+	}
+
+	return agent.networkDB.LeaveNetwork(n.ID())
 }
 
 func (ep *endpoint) addDriverInfoToCluster() error {
@@ -390,10 +424,7 @@ func (ep *endpoint) addDriverInfoToCluster() error {
 		return nil
 	}
 
-	ctrlr := n.ctrlr
-	ctrlr.Lock()
-	agent := ctrlr.agent
-	ctrlr.Unlock()
+	agent := n.getController().getAgent()
 	if agent == nil {
 		return nil
 	}
@@ -415,10 +446,7 @@ func (ep *endpoint) deleteDriverInfoFromCluster() error {
 		return nil
 	}
 
-	ctrlr := n.ctrlr
-	ctrlr.Lock()
-	agent := ctrlr.agent
-	ctrlr.Unlock()
+	agent := n.getController().getAgent()
 	if agent == nil {
 		return nil
 	}
@@ -438,6 +466,7 @@ func (ep *endpoint) addServiceInfoToCluster() error {
 	}
 
 	c := n.getController()
+	agent := c.getAgent()
 	if !ep.isAnonymous() && ep.Iface().Address() != nil {
 		var ingressPorts []*PortConfig
 		if ep.svcID != "" {
@@ -466,8 +495,10 @@ func (ep *endpoint) addServiceInfoToCluster() error {
 			return err
 		}
 
-		if err := c.agent.networkDB.CreateEntry("endpoint_table", n.ID(), ep.ID(), buf); err != nil {
-			return err
+		if agent != nil {
+			if err := agent.networkDB.CreateEntry("endpoint_table", n.ID(), ep.ID(), buf); err != nil {
+				return err
+			}
 		}
 	}
 
@@ -481,6 +512,8 @@ func (ep *endpoint) deleteServiceInfoFromCluster() error {
 	}
 
 	c := n.getController()
+	agent := c.getAgent()
+
 	if !ep.isAnonymous() {
 		if ep.svcID != "" && ep.Iface().Address() != nil {
 			var ingressPorts []*PortConfig
@@ -492,9 +525,10 @@ func (ep *endpoint) deleteServiceInfoFromCluster() error {
 				return err
 			}
 		}
-
-		if err := c.agent.networkDB.DeleteEntry("endpoint_table", n.ID(), ep.ID()); err != nil {
-			return err
+		if agent != nil {
+			if err := agent.networkDB.DeleteEntry("endpoint_table", n.ID(), ep.ID()); err != nil {
+				return err
+			}
 		}
 	}
 	return nil
@@ -506,16 +540,15 @@ func (n *network) addDriverWatches() {
 	}
 
 	c := n.getController()
+	agent := c.getAgent()
+	if agent == nil {
+		return
+	}
 	for _, tableName := range n.driverTables {
-		c.Lock()
-		if c.agent == nil {
-			c.Unlock()
-			return
-		}
-		ch, cancel := c.agent.networkDB.Watch(tableName, n.ID(), "")
-		c.agent.driverCancelFuncs[n.ID()] = append(c.agent.driverCancelFuncs[n.ID()], cancel)
-		c.Unlock()
-
+		ch, cancel := agent.networkDB.Watch(tableName, n.ID(), "")
+		agent.Lock()
+		agent.driverCancelFuncs[n.ID()] = append(agent.driverCancelFuncs[n.ID()], cancel)
+		agent.Unlock()
 		go c.handleTableEvents(ch, n.handleDriverTableEvent)
 		d, err := n.driver(false)
 		if err != nil {
@@ -523,7 +556,7 @@ func (n *network) addDriverWatches() {
 			return
 		}
 
-		c.agent.networkDB.WalkTable(tableName, func(nid, key string, value []byte) bool {
+		agent.networkDB.WalkTable(tableName, func(nid, key string, value []byte) bool {
 			if nid == n.ID() {
 				d.EventNotify(driverapi.Create, nid, tableName, key, value)
 			}
@@ -538,11 +571,15 @@ func (n *network) cancelDriverWatches() {
 		return
 	}
 
-	c := n.getController()
-	c.Lock()
-	cancelFuncs := c.agent.driverCancelFuncs[n.ID()]
-	delete(c.agent.driverCancelFuncs, n.ID())
-	c.Unlock()
+	agent := n.getController().getAgent()
+	if agent == nil {
+		return
+	}
+
+	agent.Lock()
+	cancelFuncs := agent.driverCancelFuncs[n.ID()]
+	delete(agent.driverCancelFuncs, n.ID())
+	agent.Unlock()
 
 	for _, cancel := range cancelFuncs {
 		cancel()
diff --git a/vendor/github.com/docker/libnetwork/controller.go b/vendor/github.com/docker/libnetwork/controller.go
index 6eaa1c6638..68bccf074b 100644
--- a/vendor/github.com/docker/libnetwork/controller.go
+++ b/vendor/github.com/docker/libnetwork/controller.go
@@ -237,12 +237,13 @@ func New(cfgOptions ...config.Option) (NetworkController, error) {
 
 func (c *controller) SetClusterProvider(provider cluster.Provider) {
 	c.Lock()
-	defer c.Unlock()
 	c.cfg.Daemon.ClusterProvider = provider
+	disableProviderCh := c.cfg.Daemon.DisableProvider
+	c.Unlock()
 	if provider != nil {
 		go c.clusterAgentInit()
 	} else {
-		c.cfg.Daemon.DisableProvider <- struct{}{}
+		disableProviderCh <- struct{}{}
 	}
 }
 
@@ -295,6 +296,12 @@ func (c *controller) SetKeys(keys []*types.EncryptionKey) error {
 	return c.handleKeyChange(keys)
 }
 
+func (c *controller) getAgent() *agent {
+	c.Lock()
+	defer c.Unlock()
+	return c.agent
+}
+
 func (c *controller) clusterAgentInit() {
 	clusterProvider := c.cfg.Daemon.ClusterProvider
 	for {
diff --git a/vendor/github.com/docker/libnetwork/drivers/overlay/ovmanager/ovmanager.go b/vendor/github.com/docker/libnetwork/drivers/overlay/ovmanager/ovmanager.go
index 2f69083f25..aaf94e586f 100644
--- a/vendor/github.com/docker/libnetwork/drivers/overlay/ovmanager/ovmanager.go
+++ b/vendor/github.com/docker/libnetwork/drivers/overlay/ovmanager/ovmanager.go
@@ -57,7 +57,7 @@ func Init(dc driverapi.DriverCallback, config map[string]interface{}) error {
 		config:   config,
 	}
 
-	d.vxlanIdm, err = idm.New(nil, "vxlan-id", 1, vxlanIDEnd)
+	d.vxlanIdm, err = idm.New(nil, "vxlan-id", 0, vxlanIDEnd)
 	if err != nil {
 		return fmt.Errorf("failed to initialize vxlan id manager: %v", err)
 	}
diff --git a/vendor/github.com/docker/libnetwork/idm/idm.go b/vendor/github.com/docker/libnetwork/idm/idm.go
index 84839c1c9b..20be113c83 100644
--- a/vendor/github.com/docker/libnetwork/idm/idm.go
+++ b/vendor/github.com/docker/libnetwork/idm/idm.go
@@ -15,7 +15,7 @@ type Idm struct {
 	handle *bitseq.Handle
 }
 
-// New returns an instance of id manager for a set of [start-end] numerical ids
+// New returns an instance of id manager for a [start,end] set of numerical ids
 func New(ds datastore.DataStore, id string, start, end uint64) (*Idm, error) {
 	if id == "" {
 		return nil, fmt.Errorf("Invalid id")
@@ -54,7 +54,7 @@ func (i *Idm) GetSpecificID(id uint64) error {
 	return i.handle.Set(id - i.start)
 }
 
-// GetIDInRange returns the first available id in the set within a range
+// GetIDInRange returns the first available id in the set within a [start,end] range
 func (i *Idm) GetIDInRange(start, end uint64) (uint64, error) {
 	if i.handle == nil {
 		return 0, fmt.Errorf("ID set is not initialized")
@@ -64,7 +64,9 @@ func (i *Idm) GetIDInRange(start, end uint64) (uint64, error) {
 		return 0, fmt.Errorf("Requested range does not belong to the set")
 	}
 
-	return i.handle.SetAnyInRange(start, end-start)
+	ordinal, err := i.handle.SetAnyInRange(start-i.start, end-i.start)
+
+	return i.start + ordinal, err
 }
 
 // Release releases the specified id
diff --git a/vendor/github.com/docker/libnetwork/iptables/iptables.go b/vendor/github.com/docker/libnetwork/iptables/iptables.go
index 3884257361..e3a41b5564 100644
--- a/vendor/github.com/docker/libnetwork/iptables/iptables.go
+++ b/vendor/github.com/docker/libnetwork/iptables/iptables.go
@@ -45,6 +45,7 @@ var (
 	iptablesPath  string
 	supportsXlock = false
 	supportsCOpt  = false
+	xLockWaitMsg  = "Another app is currently holding the xtables lock; waiting"
 	// used to lock iptables commands if xtables lock is not supported
 	bestEffortLock sync.Mutex
 	// ErrIptablesNotFound is returned when the rule is not found.
@@ -402,7 +403,7 @@ func raw(args ...string) ([]byte, error) {
 	}
 
 	// ignore iptables' message about xtables lock
-	if strings.Contains(string(output), "waiting for it to exit") {
+	if strings.Contains(string(output), xLockWaitMsg) {
 		output = []byte("")
 	}
 
diff --git a/vendor/github.com/docker/libnetwork/network.go b/vendor/github.com/docker/libnetwork/network.go
index ef40ea2bcc..79e7e49a95 100644
--- a/vendor/github.com/docker/libnetwork/network.go
+++ b/vendor/github.com/docker/libnetwork/network.go
@@ -1485,17 +1485,12 @@ func (n *network) Peers() []networkdb.PeerInfo {
 		return []networkdb.PeerInfo{}
 	}
 
-	var nDB *networkdb.NetworkDB
-	n.ctrlr.Lock()
-	if n.ctrlr.agentInitDone == nil && n.ctrlr.agent != nil {
-		nDB = n.ctrlr.agent.networkDB
+	agent := n.getController().getAgent()
+	if agent == nil {
+		return []networkdb.PeerInfo{}
 	}
-	n.ctrlr.Unlock()
 
-	if nDB != nil {
-		return n.ctrlr.agent.networkDB.Peers(n.id)
-	}
-	return []networkdb.PeerInfo{}
+	return agent.networkDB.Peers(n.ID())
 }
 
 func (n *network) DriverOptions() map[string]string {
diff --git a/vendor/github.com/docker/libnetwork/networkdb/cluster.go b/vendor/github.com/docker/libnetwork/networkdb/cluster.go
index c871d92f44..2c1a438c54 100644
--- a/vendor/github.com/docker/libnetwork/networkdb/cluster.go
+++ b/vendor/github.com/docker/libnetwork/networkdb/cluster.go
@@ -45,6 +45,8 @@ func (l *logWriter) Write(p []byte) (int, error) {
 // SetKey adds a new key to the key ring
 func (nDB *NetworkDB) SetKey(key []byte) {
 	logrus.Debugf("Adding key %s", hex.EncodeToString(key)[0:5])
+	nDB.Lock()
+	defer nDB.Unlock()
 	for _, dbKey := range nDB.config.Keys {
 		if bytes.Equal(key, dbKey) {
 			return
@@ -60,6 +62,8 @@ func (nDB *NetworkDB) SetKey(key []byte) {
 // been added apriori through SetKey
 func (nDB *NetworkDB) SetPrimaryKey(key []byte) {
 	logrus.Debugf("Primary Key %s", hex.EncodeToString(key)[0:5])
+	nDB.RLock()
+	defer nDB.RUnlock()
 	for _, dbKey := range nDB.config.Keys {
 		if bytes.Equal(key, dbKey) {
 			if nDB.keyring != nil {
@@ -74,6 +78,8 @@ func (nDB *NetworkDB) SetPrimaryKey(key []byte) {
 // can't be the primary key
 func (nDB *NetworkDB) RemoveKey(key []byte) {
 	logrus.Debugf("Remove Key %s", hex.EncodeToString(key)[0:5])
+	nDB.Lock()
+	defer nDB.Unlock()
 	for i, dbKey := range nDB.config.Keys {
 		if bytes.Equal(key, dbKey) {
 			nDB.config.Keys = append(nDB.config.Keys[:i], nDB.config.Keys[i+1:]...)
diff --git a/vendor/github.com/docker/libnetwork/resolver.go b/vendor/github.com/docker/libnetwork/resolver.go
index 68e4831d53..ca3850c58e 100644
--- a/vendor/github.com/docker/libnetwork/resolver.go
+++ b/vendor/github.com/docker/libnetwork/resolver.go
@@ -418,8 +418,12 @@ func (r *resolver) ServeDNS(w dns.ResponseWriter, query *dns.Msg) {
 			}
 
 			execErr := r.backend.ExecFunc(extConnect)
-			if execErr != nil || err != nil {
-				logrus.Debugf("Connect failed, %s", err)
+			if execErr != nil {
+				logrus.Warn(execErr)
+				continue
+			}
+			if err != nil {
+				logrus.Warnf("Connect failed: %s", err)
 				continue
 			}
 			logrus.Debugf("Query %s[%d] from %s, forwarding to %s:%s", name, query.Question[0].Qtype,
diff --git a/vendor/github.com/docker/libnetwork/service_common.go b/vendor/github.com/docker/libnetwork/service_common.go
index a0172f5944..b43c6403f9 100644
--- a/vendor/github.com/docker/libnetwork/service_common.go
+++ b/vendor/github.com/docker/libnetwork/service_common.go
@@ -156,11 +156,10 @@ func (c *controller) rmServiceBinding(name, sid, nid, eid string, vip net.IP, in
 
 	c.Lock()
 	s, ok := c.serviceBindings[skey]
+	c.Unlock()
 	if !ok {
-		c.Unlock()
 		return nil
 	}
-	c.Unlock()
 
 	s.Lock()
 	lb, ok := s.loadBalancers[nid]
@@ -188,7 +187,9 @@ func (c *controller) rmServiceBinding(name, sid, nid, eid string, vip net.IP, in
 	if len(s.loadBalancers) == 0 {
 		// All loadbalancers for the service removed. Time to
 		// remove the service itself.
+		c.Lock()
 		delete(c.serviceBindings, skey)
+		c.Unlock()
 	}
 
 	// Remove loadbalancer service(if needed) and backend in all
diff --git a/vendor/github.com/docker/libnetwork/service_linux.go b/vendor/github.com/docker/libnetwork/service_linux.go
index be8dc84d3e..fbcc89d22e 100644
--- a/vendor/github.com/docker/libnetwork/service_linux.go
+++ b/vendor/github.com/docker/libnetwork/service_linux.go
@@ -34,8 +34,8 @@ func init() {
 func (n *network) connectedLoadbalancers() []*loadBalancer {
 	c := n.getController()
 
-	serviceBindings := make([]*service, 0, len(c.serviceBindings))
 	c.Lock()
+	serviceBindings := make([]*service, 0, len(c.serviceBindings))
 	for _, s := range c.serviceBindings {
 		serviceBindings = append(serviceBindings, s)
 	}