WorkflowImplementationOptions.FailWorkflowExceptionTypes ignored for service failures

Expected Behavior

When WorkflowImplementationOptions.FailWorkflowExceptionTypes is set to Throwable any workflow task failure leads to workflow failure.

Actual Behavior

The service rejecting workflow task completion doesn't fail the workflow.

Steps to Reproduce the Problem

1. Set an invalid retry policy. For example, use a smaller maximumInterval than InitialInterval.
2. Set FailWorkflowExceptionTypes to Throwable.
3. Observe that workflow is stuck in workflow task failure retry loop.

Reproduction:

package io.temporal.samples.hello;

import io.temporal.activity.ActivityInterface;
import io.temporal.activity.ActivityMethod;
import io.temporal.activity.ActivityOptions;
import io.temporal.client.WorkflowClient;
import io.temporal.client.WorkflowOptions;
import io.temporal.common.RetryOptions;
import io.temporal.serviceclient.WorkflowServiceStubs;
import io.temporal.worker.Worker;
import io.temporal.worker.WorkerFactory;
import io.temporal.worker.WorkflowImplementationOptions;
import io.temporal.workflow.Workflow;
import io.temporal.workflow.WorkflowInterface;
import io.temporal.workflow.WorkflowMethod;
import java.time.Duration;
import org.slf4j.Logger;
import org.slf4j.LoggerFactory;

/** Sample Temporal Workflow Definition that executes a single Activity. */
public class HelloActivity {

  // Define the task queue name
  static final String TASK_QUEUE = "HelloActivityTaskQueue";

  // Define our workflow unique id
  static final String WORKFLOW_ID = "HelloActivityWorkflow";

  /**
   * The Workflow Definition's Interface must contain one method annotated with @WorkflowMethod.
   *
   * <p>Workflow Definitions should not contain any heavyweight computations, non-deterministic
   * code, network calls, database operations, etc. Those things should be handled by the
   * Activities.
   *
   * @see io.temporal.workflow.WorkflowInterface
   * @see io.temporal.workflow.WorkflowMethod
   */
  @WorkflowInterface
  public interface GreetingWorkflow {

    /**
     * This is the method that is executed when the Workflow Execution is started. The Workflow
     * Execution completes when this method finishes execution.
     */
    @WorkflowMethod
    String getGreeting(String name);
  }

  /**
   * This is the Activity Definition's Interface. Activities are building blocks of any Temporal
   * Workflow and contain any business logic that could perform long running computation, network
   * calls, etc.
   *
   * <p>Annotating Activity Definition methods with @ActivityMethod is optional.
   *
   * @see io.temporal.activity.ActivityInterface
   * @see io.temporal.activity.ActivityMethod
   */
  @ActivityInterface
  public interface GreetingActivities {

    // Define your activity method which can be called during workflow execution
    @ActivityMethod(name = "greet")
    String composeGreeting(String greeting, String name);
  }

  // Define the workflow implementation which implements our getGreeting workflow method.
  public static class GreetingWorkflowImpl implements GreetingWorkflow {

    /**
     * Define the GreetingActivities stub. Activity stubs are proxies for activity invocations that
     * are executed outside of the workflow thread on the activity worker, that can be on a
     * different host. Temporal is going to dispatch the activity results back to the workflow and
     * unblock the stub as soon as activity is completed on the activity worker.
     *
     * <p>In the {@link ActivityOptions} definition the "setStartToCloseTimeout" option sets the
     * overall timeout that our workflow is willing to wait for activity to complete. For this
     * example it is set to 2 seconds.
     */
    private final GreetingActivities activities =
        Workflow.newActivityStub(
            GreetingActivities.class,
            ActivityOptions.newBuilder()
                .setStartToCloseTimeout(Duration.ofSeconds(2))
                .setRetryOptions(
                    RetryOptions.newBuilder()
                        .setInitialInterval(Duration.ofSeconds(10))
                        .setMaximumInterval(Duration.ofSeconds(5))
                        .build())
                .build());

    @Override
    public String getGreeting(String name) {
      // This is a blocking call that returns only after the activity has completed.
      return activities.composeGreeting("Hello", name);
    }
  }

  /** Simple activity implementation, that concatenates two strings. */
  static class GreetingActivitiesImpl implements GreetingActivities {
    private static final Logger log = LoggerFactory.getLogger(GreetingActivitiesImpl.class);

    @Override
    public String composeGreeting(String greeting, String name) {
      log.info("Composing greeting...");
      return greeting + " " + name + "!";
    }
  }

  /**
   * With our Workflow and Activities defined, we can now start execution. The main method starts
   * the worker and then the workflow.
   */
  public static void main(String[] args) {

    // Get a Workflow service stub.
    WorkflowServiceStubs service = WorkflowServiceStubs.newLocalServiceStubs();

    /*
     * Get a Workflow service client which can be used to start, Signal, and Query Workflow Executions.
     */
    WorkflowClient client = WorkflowClient.newInstance(service);

    /*
     * Define the workflow factory. It is used to create workflow workers for a specific task queue.
     */
    WorkerFactory factory = WorkerFactory.newInstance(client);

    /*
     * Define the workflow worker. Workflow workers listen to a defined task queue and process
     * workflows and activities.
     */
    Worker worker = factory.newWorker(TASK_QUEUE);

    /*
     * Register our workflow implementation with the worker.
     * Workflow implementations must be known to the worker at runtime in
     * order to dispatch workflow tasks.
     */
    worker.registerWorkflowImplementationTypes(
        WorkflowImplementationOptions.newBuilder()
            .setFailWorkflowExceptionTypes(Throwable.class)
            .build(),
        GreetingWorkflowImpl.class);

    /**
     * Register our Activity Types with the Worker. Since Activities are stateless and thread-safe,
     * the Activity Type is a shared instance.
     */
    worker.registerActivitiesImplementations(new GreetingActivitiesImpl());

    /*
     * Start all the workers registered for a specific task queue.
     * The started workers then start polling for workflows and activities.
     */
    factory.start();

    // Create the workflow client stub. It is used to start our workflow execution.
    GreetingWorkflow workflow =
        client.newWorkflowStub(
            GreetingWorkflow.class,
            WorkflowOptions.newBuilder()
                .setWorkflowId(WORKFLOW_ID)
                .setTaskQueue(TASK_QUEUE)
                .build());

    /*
     * Execute our workflow and wait for it to complete. The call to our getGreeting method is
     * synchronous.
     *
     * See {@link io.temporal.samples.hello.HelloSignal} for an example of starting workflow
     * without waiting synchronously for its result.
     */
    String greeting = workflow.getGreeting("World");

    // Display workflow execution results
    System.out.println(greeting);
    System.exit(0);
  }
}

Start with the reproduction's Worker.registerWorkflowImplementationTypes call and the FailWorkflowExceptionTypes setting, then trace how the service rejection of workflow task completion is handled. Add a regression test based on the invalid retry-policy example and verify that setting Throwable causes workflow failure instead of an ongoing workflow-task retry loop.