diff --git a/actionwebservice/CHANGELOG b/actionwebservice/CHANGELOG
index cb55f0d261..7c41b68492 100644
--- a/actionwebservice/CHANGELOG
+++ b/actionwebservice/CHANGELOG
@@ -1,3 +1,7 @@
+*SVN*
+
+* Fix that XML-RPC date/time values did not have well-defined behaviour (#2516, #2534). This fix has one caveat, in that we can't support pre-1970 dates from XML-RPC clients.
+
 *0.9.3* (November 7th, 2005)
 
 * Upgraded to Action Pack 1.11.0 and Active Record 1.13.0
diff --git a/actionwebservice/lib/action_web_service/casting.rb b/actionwebservice/lib/action_web_service/casting.rb
index c9982f13a0..3c0afbe9f9 100644
--- a/actionwebservice/lib/action_web_service/casting.rb
+++ b/actionwebservice/lib/action_web_service/casting.rb
@@ -1,5 +1,6 @@
 require 'time'
 require 'date'
+require 'xmlrpc/datetime'
 
 module ActionWebService # :nodoc:
   module Casting # :nodoc:
@@ -58,6 +59,13 @@ module ActionWebService # :nodoc:
         end
 
         def cast_base_type(value, signature_type) # :nodoc:
+          # This is a work-around for the fact that XML-RPC special-cases DateTime values into its own DateTime type
+          # in order to support iso8601 dates. This doesn't work too well for us, so we'll convert it into a Time,
+          # with the caveat that we won't be able to handle pre-1970 dates that are sent to us.
+          # 
+          # See http://dev.rubyonrails.com/ticket/2516
+          value = value.to_time if value.is_a?(XMLRPC::DateTime)
+
           case signature_type.type
           when :int
             Integer(value)
diff --git a/actionwebservice/test/abstract_dispatcher.rb b/actionwebservice/test/abstract_dispatcher.rb
index 94edb213fa..b857e4a957 100644
--- a/actionwebservice/test/abstract_dispatcher.rb
+++ b/actionwebservice/test/abstract_dispatcher.rb
@@ -62,6 +62,7 @@ module DispatcherTest
     api_method :test_utf8, :returns => [:string]
     api_method :hex, :expects => [:base64], :returns => [:string]
     api_method :unhex, :expects => [:string], :returns => [:base64]
+    api_method :time, :expects => [:time], :returns => [:time]
   end
 
   class VirtualAPI < ActionWebService::API::Base
@@ -260,6 +261,10 @@ module DispatcherTest
       return [s].pack("H*")
     end
 
+    def time(t)
+      t
+    end
+
     protected
       def alwaysfail(method_name, params)
         @before_filter_called = true
@@ -295,6 +300,8 @@ module DispatcherCommonTests
     assert(result[1].is_a?(DispatcherTest::Person))
     assert_equal("cafe", do_method_call(@direct_controller, 'Hex', "\xca\xfe"))
     assert_equal("\xca\xfe", do_method_call(@direct_controller, 'Unhex', "cafe"))
+    time = Time.gm(1998, "Feb", 02, 15, 12, 01)
+    assert_equal(time, do_method_call(@direct_controller, 'Time', time))
   end
 
   def test_direct_entrypoint