diff --git a/tests/integration/int_tests.py b/tests/integration/int_tests.py
index b32086d..6a465b7 100644
--- a/tests/integration/int_tests.py
+++ b/tests/integration/int_tests.py
@@ -172,6 +172,7 @@ def _clean_up():
         from tests.api import instances_actions
         from tests.api import instances_pagination
         from tests.api import instances_delete
+        from tests.api import instances_states
         from tests.api import databases
         from tests.api import root
         from tests.api import users
@@ -214,6 +215,7 @@ def _clean_up():
             "dbaas.api.instances.pagination",
             "dbaas.api.instances.quotas",
             "dbaas.api.instances.delete",
+            "dbaas.api.instances.status",
         ]
         proboscis.register(groups=["heavy_blackbox"],
                            depends_on_groups=heavy_black_box_groups)
diff --git a/tests/integration/tests/api/instances_states.py b/tests/integration/tests/api/instances_states.py
new file mode 100644
index 0000000..4346a2a
--- /dev/null
+++ b/tests/integration/tests/api/instances_states.py
@@ -0,0 +1,80 @@
+# Copyright 2012 OpenStack LLC.
+# All Rights Reserved.
+#
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+
+GROUP = "dbaas.api.instances.status"
+
+from proboscis import before_class
+from proboscis import test
+from proboscis.asserts import assert_equal
+
+import tests
+from tests.util import test_config
+from tests.util import create_dbaas_client
+from tests.util.users import Requirements
+from tests.util import poll_until
+from tests import FAKE_MODE
+
+
+FAKE_MODE = test_config.values['fake_mode']
+
+@test(groups=[GROUP])
+class InstanceStatusTests(object):
+
+    @before_class
+    def set_up(self):
+        reqs = Requirements(is_admin=False)
+        self.user = test_config.users.find_user(reqs)
+        self.dbaas = create_dbaas_client(self.user)
+
+    @test
+    def test_create_failure_on_volume_prov_failure(self):
+        # Fake nova will fail a volume of size 9.
+        response = self.dbaas.instances.create('volume_fail', 1,
+            {'size': 9}, [])
+        poll_until(lambda: self.dbaas.instances.get(response.id),
+                   lambda instance: instance.status == 'ERROR',
+                   time_out=10)
+        instance = self.dbaas.instances.get(response.id)
+        print "Status: %s" % instance.status
+        assert_equal(instance.status, "ERROR",
+            "Instance did not drop to error after volume prov failure.")
+
+    @test
+    def test_create_failure_on_server_failure(self):
+        # Fake nova will fail a server ending with 'server_fail'."
+        response = self.dbaas.instances.create('server_fail', 1,
+            {'size': 1}, [])
+        poll_until(lambda: self.dbaas.instances.get(response.id),
+                   lambda instance: instance.status == 'ERROR',
+                   time_out=10)
+        instance = self.dbaas.instances.get(response.id)
+        print "Status: %s" % instance.status
+        assert_equal(instance.status, "ERROR",
+            "Instance did not drop to error after server prov failure.")
+
+    ###TODO(ed-): We don't at present have a way to test DNS in FAKE_MODE.
+    @test(enabled=False)
+    def test_create_failure_on_dns_failure(self):
+        #TODO(ed-): Throw DNS-specific monkeywrench into works
+        response = self.dbaas.instances.create('dns_fail', 1,
+            {'size': 1}, [])
+        poll_until(lambda: self.dbaas.instances.get(response.id),
+                   lambda instance: instance.status == 'ERROR',
+                   time_out=10)
+        instance = self.dbaas.instances.get(response.id)
+        print "Status: %s" % instance.status
+        assert_equal(instance.status, "ERROR",
+            "Instance did not drop to error after DNS prov failure.")