diff --git a/distributed/scheduler.py b/distributed/scheduler.py
index 4f3c8520063..dd5cca1e43d 100644
--- a/distributed/scheduler.py
+++ b/distributed/scheduler.py
@@ -13,6 +13,7 @@
 import random
 import six
 import warnings
+import socket
 
 import psutil
 import sortedcontainers
@@ -1272,13 +1273,36 @@ def add_worker(self, comm=None, address=None, keys=(), ncores=None,
                    metrics=None, pid=0, services=None, local_directory=None):
         """ Add a new worker to the cluster """
         with log_errors():
-            address = self.coerce_address(address, resolve_address)
+            try:
+                address = self.coerce_address(address, resolve_address)
+            except socket.gaierror as e:
+                # handle exceptions if hostname isn't found in dnslookup,
+                # perhaps because dns propgation is slow
+                msg = {'status': 'error', 
+                       'message': 'address not found, %s' % address,
+                       'time': time()}
+                yield comm.write(msg)
+                return
             address = normalize_address(address)
             host = get_address_host(address)
 
             ws = self.workers.get(address)
             if ws is not None:
-                raise ValueError("Worker already exists %s" % address)
+                self.remove_worker(address=address)
+                msg = {'status': 'error', 
+                       'message': "worker already exists %s" % address,
+                       'time': time()}
+                yield comm.write(msg)
+                return
+
+            # DD
+
+            if name in self.aliases:
+                msg = {'status': 'error', 
+                       'message': 'name taken, %s' % name,
+                       'time': time()}
+                yield comm.write(msg)
+                return
 
             self.workers[address] = ws = WorkerState(
                     address=address,
@@ -1290,13 +1314,6 @@ def add_worker(self, comm=None, address=None, keys=(), ncores=None,
                     services=services
             )
 
-            if name in self.aliases:
-                msg = {'status': 'error',
-                       'message': 'name taken, %s' % name,
-                       'time': time()}
-                yield comm.write(msg)
-                return
-
             if 'addresses' not in self.host_info[host]:
                 self.host_info[host].update({'addresses': set(), 'cores': 0})
 
@@ -4118,8 +4135,6 @@ def coerce_address(self, addr, resolve=True):
         Handles strings, tuples, or aliases.
         """
         # XXX how many address-parsing routines do we have?
-        if addr in self.aliases:
-            addr = self.aliases[addr]
         if isinstance(addr, tuple):
             addr = unparse_host_port(*addr)
         if not isinstance(addr, six.string_types):
diff --git a/distributed/utils.py b/distributed/utils.py
index 306106bb0a9..5c31055860e 100644
--- a/distributed/utils.py
+++ b/distributed/utils.py
@@ -683,7 +683,7 @@ def silence_logging(level, root='distributed'):
     return old
 
 
-@toolz.memoize
+#@toolz.memoize
 def ensure_ip(hostname):
     """ Ensure that address is an IP address
 
diff --git a/distributed/worker.py b/distributed/worker.py
index 645ef40c16e..979b647f96f 100644
--- a/distributed/worker.py
+++ b/distributed/worker.py
@@ -596,6 +596,11 @@ def _register_with_scheduler(self):
                         continue
                     future = gen.with_timeout(timedelta(seconds=diff), future)
                 response = yield future
+                if response['status'] == 'error':
+                    msg = response.get('message','')
+                    if msg.startswith('name taken') or msg.startswith('address not found') or msg.startswith('worker already exists'):
+                        yield gen.sleep(0.1)
+                        continue
                 _end = time()
                 middle = (_start + _end) / 2
                 self.scheduler_delay = response['time'] - middle