diff --git a/src/main/java/net/minecraft/server/Chunk.java b/src/main/java/net/minecraft/server/Chunk.java
index 941a4c2231..93c343e115 100644
--- a/src/main/java/net/minecraft/server/Chunk.java
+++ b/src/main/java/net/minecraft/server/Chunk.java
@@ -428,12 +428,9 @@ public class Chunk {
                 TileEntity tileentity;
 
                 if (l != 0) {
-                    if (!this.world.isStatic) {
-                        // CraftBukkit start - Don't "place" if we're processing the event
-                        if (!this.world.suppressPhysics) {
-                            Block.byId[l].onPlace(this.world, j2, j, k2);
-                        }
-                        // CraftBukkit end
+                    // CraftBukkit - Don't place while processing the BlockPlaceEvent, unless it's a BlockContainer
+                    if (!this.world.isStatic && (!this.world.callingPlaceEvent || (Block.byId[l] instanceof BlockContainer))) {
+                        Block.byId[l].onPlace(this.world, j2, j, k2);
                     }
 
                     if (Block.byId[l] instanceof BlockContainer) {
diff --git a/src/main/java/net/minecraft/server/ItemBlock.java b/src/main/java/net/minecraft/server/ItemBlock.java
index 85bdbed466..e6d54bb105 100644
--- a/src/main/java/net/minecraft/server/ItemBlock.java
+++ b/src/main/java/net/minecraft/server/ItemBlock.java
@@ -80,22 +80,25 @@ public class ItemBlock extends Item {
         org.bukkit.block.BlockState blockstate = org.bukkit.craftbukkit.block.CraftBlockState.getBlockState(world, x, y, z);
 
         world.suppressPhysics = true;
+        world.callingPlaceEvent = true;
         world.setRawTypeIdAndData(x, y, z, id, data);
 
         org.bukkit.event.block.BlockPlaceEvent event = org.bukkit.craftbukkit.event.CraftEventFactory.callBlockPlaceEvent(world, entityhuman, blockstate, x, y, z);
         if (event.isCancelled() || !event.canBuild()) {
             blockstate.update(true);
             world.suppressPhysics = false;
+            world.callingPlaceEvent = false;
             return false;
         }
 
         world.suppressPhysics = false;
+        world.callingPlaceEvent = false;
 
         int newId = world.getTypeId(x, y, z);
         int newData = world.getData(x, y, z);
 
         Block block = Block.byId[newId];
-        if (block != null) {
+        if (block != null && !(block instanceof BlockContainer)) { // Containers get placed automatically
             block.onPlace(world, x, y, z);
         }
 
diff --git a/src/main/java/net/minecraft/server/World.java b/src/main/java/net/minecraft/server/World.java
index e2fd0dfd56..c3dc4a4ea6 100644
--- a/src/main/java/net/minecraft/server/World.java
+++ b/src/main/java/net/minecraft/server/World.java
@@ -45,6 +45,7 @@ public abstract class World implements IBlockAccess {
     protected float p;
     public int q = 0;
     public boolean suppressPhysics = false;
+    public boolean callingPlaceEvent = false; // CraftBukkit
     public int difficulty;
     public Random random = new Random();
     public WorldProvider worldProvider; // CraftBukkit - remove final
@@ -394,11 +395,8 @@ public abstract class World implements IBlockAccess {
     }
 
     public boolean setTypeId(int i, int j, int k, int l) {
-        // CraftBukkit start
-        int old = this.getTypeId(i, j, k);
         if (this.setRawTypeId(i, j, k, l)) {
-            this.update(i, j, k, l == 0 ? old : l);
-            // CraftBukkit end
+            this.update(i, j, k, l);
             return true;
         } else {
             return false;