diff --git a/src/js/remote.js b/src/js/remote.js
index af5046cb..992560ee 100644
--- a/src/js/remote.js
+++ b/src/js/remote.js
@@ -196,6 +196,7 @@ var Remote = function (opts, trace) {
   this.local_fee              = opts.local_fee;      // Locally set fees
   this.id                     = 0;
   this.trace                  = opts.trace || trace;
+  this._server_fatal          = false;              // True, if we know server exited.
   this._ledger_current_index  = undefined;
   this._ledger_hash           = undefined;
   this._ledger_time           = undefined;
@@ -289,6 +290,11 @@ Remote.fees = {
   'offer'           : Amount.from_json("10"),
 };
 
+// Inform remote that the remote server is not comming back.
+Remote.prototype.server_fatal = function () {
+  this._server_fatal = true;
+};
+
 // Set the emitted state: 'online' or 'offline'
 Remote.prototype._set_state = function (state) {
   if (this.trace) console.log("remote: set_state: %s", state);
@@ -378,7 +384,12 @@ Remote.prototype._connect_retry = function () {
     this.retry_timer  =  setTimeout(function () {
         if (self.trace) console.log("remote: retry");
 
-        if (self.online_target) {
+        if (self._server_fatal) {
+          // Stop trying to connect.
+          // nothing();
+          console.log("FATAL");
+        }
+        else if (self.online_target) {
           self._connect_start();
         }
         else {
diff --git a/test/testutils.js b/test/testutils.js
index 55e87a38..399a6f51 100644
--- a/test/testutils.js
+++ b/test/testutils.js
@@ -90,10 +90,22 @@ var build_setup = function (opts, host) {
       function runServerStep(callback) {
         if (opts.no_server) return callback();
 
-        data.server = Server.from_config(host, !!opts.verbose_server).on('started', callback).start();
+        data.server = Server
+                        .from_config(host, !!opts.verbose_server)
+                        .on('started', callback)
+                        .on('exited', function () {
+                            // If know the remote, tell it server is gone.
+                            if (self.remote)
+                              self.remote.server_fatal();
+                          })
+                        .start();
       },
       function connectWebsocketStep(callback) {
-        self.remote = data.remote = Remote.from_config(host, !!opts.verbose_ws).once('ledger_closed', callback).connect();
+        self.remote = data.remote =
+          Remote
+            .from_config(host, !!opts.verbose_ws)
+            .once('ledger_closed', callback)
+            .connect();
       }
     ], done);
   };