diff --git a/reactos/subsys/system/dhcp/adapter.c b/reactos/subsys/system/dhcp/adapter.c
index 30f30aff1a3..5b793210eb8 100644
--- a/reactos/subsys/system/dhcp/adapter.c
+++ b/reactos/subsys/system/dhcp/adapter.c
@@ -62,10 +62,11 @@ void AdapterInit() {
     DH_DbgPrint(MID_TRACE,("Got Adapter List (%d entries)\n", Table->dwNumEntries));
 
     for( i = 0; i < Table->dwNumEntries; i++ ) {
-        DH_DbgPrint(MID_TRACE,("Getting adapter %d attributes\n", i));
+        DH_DbgPrint(MID_TRACE,("Getting adapter %d attributes\n", 
+                               Table->table[i].dwIndex));
         Adapter = calloc( sizeof( DHCP_ADAPTER ) + Table->table[i].dwMtu, 1 );
         
-        if( Adapter ) {
+        if( Adapter && Table->table[i].dwType ) {
             memcpy( &Adapter->IfMib, &Table->table[i], 
                     sizeof(Adapter->IfMib) );
             GetAddress( Adapter );
@@ -93,6 +94,7 @@ void AdapterInit() {
                     Adapter->DhclientInfo.wfdesc = DhcpSocket;
             }
             Adapter->DhclientState.config = &Adapter->DhclientConfig;
+            Adapter->DhclientConfig.timeout = DHCP_PANIC_TIMEOUT;
             Adapter->DhclientConfig.initial_interval = DHCP_DISCOVER_INTERVAL;
             Adapter->DhclientConfig.retry_interval = DHCP_DISCOVER_INTERVAL;
             Adapter->DhclientConfig.select_interval = 1;
@@ -154,6 +156,20 @@ PDHCP_ADAPTER AdapterFindName( const WCHAR *name ) {
     return NULL;
 }
 
+PDHCP_ADAPTER AdapterFindInfo( struct interface_info *ip ) {
+    PDHCP_ADAPTER Adapter;
+    PLIST_ENTRY ListEntry;
+
+    for( ListEntry = AdapterList.Flink;
+         ListEntry != &AdapterList;
+         ListEntry = ListEntry->Flink ) {
+        Adapter = CONTAINING_RECORD( ListEntry, DHCP_ADAPTER, ListEntry );
+        if( ip == &Adapter->DhclientInfo ) return Adapter;
+    }
+
+    return NULL;
+}
+
 PDHCP_ADAPTER AdapterGetFirst() {
     if( IsListEmpty( &AdapterList ) ) return NULL; else {
         return CONTAINING_RECORD
diff --git a/reactos/subsys/system/dhcp/dhclient.c b/reactos/subsys/system/dhcp/dhclient.c
index 7e42ea0d85a..4e1b3fee342 100644
--- a/reactos/subsys/system/dhcp/dhclient.c
+++ b/reactos/subsys/system/dhcp/dhclient.c
@@ -85,6 +85,7 @@ int privfd;
 struct iaddr iaddr_broadcast = { 4, { 255, 255, 255, 255 } };
 struct in_addr inaddr_any;
 struct sockaddr_in sockaddr_broadcast;
+unsigned long old_default_route = 0;
 
 /*
  * ASSERT_STATE() does nothing now; it used to be
@@ -437,20 +438,22 @@ state_selecting(void *ipp)
 		/* Check to see if we got an ARPREPLY for the address
 		   in this particular lease. */
 		if (!picked) {
-			script_init("ARPCHECK", lp->medium);
-			script_write_params("check_", lp);
-
-			/* If the ARPCHECK code detects another
-			   machine using the offered address, it exits
-			   nonzero.  We need to send a DHCPDECLINE and
-			   toss the lease. */
-			if (script_go()) {
-				make_decline(ip, lp);
-				send_decline(ip);
-				goto freeit;
-			}
-			picked = lp;
-			picked->next = NULL;
+                    script_init("ARPCHECK", lp->medium);
+                    script_write_params("check_", lp);
+                    
+                    /* If the ARPCHECK code detects another
+                       machine using the offered address, it exits
+                       nonzero.  We need to send a DHCPDECLINE and
+                       toss the lease. */
+#if 0 /* XXX Later check ARP.  For now, trust leases */
+                    if (script_go()) {
+                        make_decline(ip, lp);
+                        send_decline(ip);
+                        goto freeit;
+                    }
+#endif
+                    picked = lp;
+                    picked->next = NULL;
 		} else {
 freeit:
 			free_client_lease(lp);
@@ -580,42 +583,121 @@ dhcpack(struct packet *packet)
 	bind_lease(ip);
 }
 
+void set_name_servers( struct client_lease *new_lease ) {
+    if( new_lease->options[DHO_NAME_SERVERS].len ) {
+        HKEY RegKey;
+        struct iaddr nameserver;
+        char *nsbuf;
+        int i, addrs = 
+            new_lease->options[DHO_NAME_SERVERS].len / sizeof(ULONG);
+
+        nsbuf = malloc( addrs * sizeof(IP_ADDRESS_STRING) );
+        nsbuf[0] = 0;
+        
+        if( nsbuf && !RegOpenKeyEx
+            ( HKEY_LOCAL_MACHINE, 
+              "SYSTEM\\CurrentControlSet\\Services\\Tcpip\\Parameters", 
+              0, KEY_WRITE, &RegKey ) ) {
+            for( i = 0; i < addrs; i++ ) {
+                memcpy( nameserver.iabuf, 
+                        new_lease->options[DHO_NAME_SERVERS].data + 
+                        (addrs * sizeof(ULONG)), sizeof(ULONG) );
+                strcat( nsbuf, piaddr(nameserver) );
+                if( i != addrs-1 ) strcat( nsbuf, "," );
+            }
+
+            DH_DbgPrint(MID_TRACE,("Setting Nameservers: %s\n", nsbuf));
+        
+            RegSetValueEx( RegKey, "NameServer", 0, REG_SZ,
+                           nsbuf, strlen(nsbuf) );
+            
+            free( nsbuf );
+        }
+    }
+}
+
+void setup_adapter( PDHCP_ADAPTER Adapter, struct client_lease *new_lease ) {
+    struct iaddr netmask;
+
+    if( Adapter->NteContext )
+        DeleteIPAddress( Adapter->NteContext );
+    
+    if( new_lease->options[DHO_SUBNET_MASK].len ) {
+        NTSTATUS Status;
+
+        memcpy( netmask.iabuf,
+                new_lease->options[DHO_SUBNET_MASK].data,
+                new_lease->options[DHO_SUBNET_MASK].len );
+        
+        Status = AddIPAddress
+            ( *((ULONG*)new_lease->address.iabuf),
+              *((ULONG*)netmask.iabuf),
+              Adapter->IfMib.dwIndex,
+              &Adapter->NteContext,
+              &Adapter->NteInstance );
+        
+        if( !NT_SUCCESS(Status) )
+            warning("AddIPAddress: %x\n", Status);
+    } 
+    
+    if( new_lease->options[DHO_ROUTERS].len ) {
+        MIB_IPFORWARDROW RouterMib;
+        NTSTATUS Status;
+        struct iaddr router;
+        
+        memcpy( netmask.iabuf,
+                new_lease->options[DHO_ROUTERS].data,
+                new_lease->options[DHO_ROUTERS].len );
+        
+        RouterMib.dwForwardDest = 0; /* Default route */
+        RouterMib.dwForwardMask = 0;
+        RouterMib.dwForwardMetric1 = 1;
+        
+        if( old_default_route ) {
+            RouterMib.dwForwardDest = old_default_route;
+            DeleteIpForwardEntry( &RouterMib );
+        }
+        
+        RouterMib.dwForwardNextHop = *((ULONG*)router.iabuf);
+        
+        Status = CreateIpForwardEntry( &RouterMib );
+        
+        if( !NT_SUCCESS(Status) ) 
+            warning("CreateIpForwardEntry: %x\n", Status);
+        else
+            old_default_route = RouterMib.dwForwardNextHop;
+    }
+}
+
+
 void
 bind_lease(struct interface_info *ip)
 {
-	/* Remember the medium. */
-	ip->client->new->medium = ip->client->medium;
+    PDHCP_ADAPTER Adapter;
+    struct client_lease *new_lease = ip->client->new;
 
-	/* Write out the new lease. */
-	write_client_lease(ip, ip->client->new, 0);
+    /* Remember the medium. */
+    ip->client->new->medium = ip->client->medium;
+    ip->client->active = ip->client->new;
+    ip->client->new = NULL;
 
-	/* Run the client script with the new parameters. */
-	script_init((ip->client->state == S_REQUESTING ? "BOUND" :
-	    (ip->client->state == S_RENEWING ? "RENEW" :
-	    (ip->client->state == S_REBOOTING ? "REBOOT" : "REBIND"))),
-	    ip->client->new->medium);
-	if (ip->client->active && ip->client->state != S_REBOOTING)
-		script_write_params("old_", ip->client->active);
-	script_write_params("new_", ip->client->new);
-	if (ip->client->alias)
-		script_write_params("alias_", ip->client->alias);
-	script_go();
+    /* Set up a timeout to start the renewal process. */
+    add_timeout(ip->client->active->renewal, state_bound, ip);
 
-	/* Replace the old active lease with the new one. */
-	if (ip->client->active)
-		free_client_lease(ip->client->active);
-	ip->client->active = ip->client->new;
-	ip->client->new = NULL;
+    note("bound to %s -- renewal in %d seconds.",
+         piaddr(ip->client->active->address),
+         ip->client->active->renewal - cur_time);
 
-	/* Set up a timeout to start the renewal process. */
-	add_timeout(ip->client->active->renewal, state_bound, ip);
+    ip->client->state = S_BOUND;
+        
+    Adapter = AdapterFindInfo( ip );
 
-	note("bound to %s -- renewal in %d seconds.",
-	    piaddr(ip->client->active->address),
-	    ip->client->active->renewal - cur_time);
-	ip->client->state = S_BOUND;
-	reinitialize_interfaces();
-//	go_daemon();
+    if( Adapter )  setup_adapter( Adapter, new_lease );
+    else warning("Could not find adapter for info %p\n", ip);
+
+    set_name_servers( new_lease );
+
+    reinitialize_interfaces();
 }
 
 /*
@@ -1588,8 +1670,6 @@ rewrite_client_leases(void)
 		write_client_lease(ifi, ifi->client->active, 1);
 
 	fflush(leaseFile);
-//	ftruncate(fileno(leaseFile), ftello(leaseFile));
-//	fsync(fileno(leaseFile));
 }
 
 void
diff --git a/reactos/subsys/system/dhcp/dispatch.c b/reactos/subsys/system/dhcp/dispatch.c
index 2f0435f2d0a..3fdfb2131d5 100644
--- a/reactos/subsys/system/dhcp/dispatch.c
+++ b/reactos/subsys/system/dhcp/dispatch.c
@@ -206,27 +206,16 @@ dispatch(void)
 
     FD_ZERO(&fds);
 
-//	fds = malloc(nfds * sizeof(struct pollfd));
-//	if (fds == NULL)
-//		error("Can't allocate poll structures.");
-
     do {
-        DH_DbgPrint(MID_TRACE,("Cycling dispatch()\n"));
         /*
          * Call any expired timeouts, and then if there's still
          * a timeout registered, time out the select call then.
          */
     another:
         if (timeouts) {
-            DH_DbgPrint(MID_TRACE,("Some timeouts are available\n"));
-            
             struct timeout *t;
 
             if (timeouts->when <= cur_time) {
-                DH_DbgPrint(MID_TRACE,("Calling timeout %x %p %x\n", 
-                                       timeouts->when,
-                                       timeouts->func,
-                                       timeouts->what));
                 t = timeouts;
                 timeouts = timeouts->next;
                 (*(t->func))(t->what);
@@ -253,12 +242,7 @@ dispatch(void)
             struct interface_info *ip = l->local;
 
             if (ip && (l->handler != got_one || !ip->dead)) {
-                DH_DbgPrint(MID_TRACE,("l->fd %d\n", l->fd));
-                        
                 FD_SET(l->fd, &fds);
-//				fds[i].fd = l->fd;
-//				fds[i].events = POLLIN;
-//				fds[i].revents = 0;
                 i++;
             }
         }
@@ -269,13 +253,26 @@ dispatch(void)
         /* Wait for a packet or a timeout... XXX */
         timeval.tv_sec = to_msec / 1000;
         timeval.tv_usec = (to_msec % 1000) * 1000;
-        DH_DbgPrint(MID_TRACE,("select(%d,%d.%03d) =>\n", 
-                 nfds,timeval.tv_sec,timeval.tv_usec/1000));
 
         ApiUnlock();
 
         count = select(nfds, &fds, NULL, NULL, &timeval);
-        DH_DbgPrint(MID_TRACE,(" => %d\n", count));
+
+        DH_DbgPrint(MID_TRACE,("Select: %d\n", count));
+
+        /* Review poll output */
+        for (i = 0, l = protocols; l; l = l->next) {
+            struct interface_info *ip = l->local;
+
+            if (ip && (l->handler != got_one || !ip->dead)) {
+                DH_DbgPrint
+                    (MID_TRACE,
+                     ("set(%d) -> %s\n", 
+                      l->fd, FD_ISSET(l->fd, &fds) ? "true" : "false"));
+                i++;
+            }
+        }
+
 
         ApiLock();
 
@@ -295,9 +292,7 @@ dispatch(void)
         for (l = protocols; l; l = l->next) {
             struct interface_info *ip;
             ip = l->local;
-            if (!FD_ISSET(l->fd, &fds)) {
-//.revents & (POLLIN | POLLHUP))) {
-//				fds[i].revents = 0;
+            if (FD_ISSET(l->fd, &fds)) {
                 if (ip && (l->handler != got_one ||
                            !ip->dead)) {
                     DH_DbgPrint(MID_TRACE,("Handling %x\n", l));
@@ -309,7 +304,6 @@ dispatch(void)
             }
             interfaces_invalidated = 0;
         }
-        DH_DbgPrint(MID_TRACE,("Done\n"));
     } while (1);
 
     ApiUnlock(); /* Not reached currently */
diff --git a/reactos/subsys/system/dhcp/include/rosdhcp.h b/reactos/subsys/system/dhcp/include/rosdhcp.h
index 44b31b7f75e..d678472b5c0 100644
--- a/reactos/subsys/system/dhcp/include/rosdhcp.h
+++ b/reactos/subsys/system/dhcp/include/rosdhcp.h
@@ -21,6 +21,7 @@
 #undef PREFER
 #define DHCP_DISCOVER_INTERVAL 15
 #define DHCP_REBOOT_TIMEOUT 300
+#define DHCP_PANIC_TIMEOUT DHCP_REBOOT_TIMEOUT * 3
 #define DHCP_BACKOFF_MAX 300
 #define _PATH_DHCLIENT_PID "\\systemroot\\system32\\drivers\\etc\\dhclient.pid"
 
@@ -59,6 +60,7 @@ typedef DWORD (*PipeSendFunc)( COMM_DHCP_REPLY *Reply );
 #define srandom srand
 
 extern PDHCP_ADAPTER AdapterFindIndex( unsigned int AdapterIndex );
+extern PDHCP_ADAPTER AdapterFindInfo( struct interface_info *info );
 extern VOID ApiInit();
 extern VOID ApiLock();
 extern VOID ApiUnlock();
diff --git a/reactos/subsys/system/dhcp/util.c b/reactos/subsys/system/dhcp/util.c
index 22d3948f920..2585ff113ab 100644
--- a/reactos/subsys/system/dhcp/util.c
+++ b/reactos/subsys/system/dhcp/util.c
@@ -2,8 +2,9 @@
 #include "rosdhcp.h"
 
 char *piaddr( struct iaddr addr ) {
-    struct sockaddr_in *sa = (struct sockaddr_in *)addr.iabuf;
-    return inet_ntoa( sa->sin_addr );
+    struct sockaddr_in sa;
+    memcpy(&sa.sin_addr,addr.iabuf,sizeof(sa.sin_addr));
+    return inet_ntoa( sa.sin_addr );
 }
 
 int note( char *format, ... ) {