Upon upgrading from 1.534 to 1.535 I am unable to build a job(s). I tried complete shutdown and restart of Jenkins. Manually downloading the jenkins.war instead of using the auto-upgrade), same results. If I roll back to 1.534, the builds work once again.

Jenkins server is being invoked via:
java -Djava.io.tmpdir=/apps/vds/common/java_tools/jenkins/TMP -Dhudson.util.ProcessTree.disable=true -jar jenkins.war --httpPort=8081 --prefix=/jenkins

Here is a sample error I get after upgrade+restart, immediately upon scheduling a build (build is using a remote slave), This error is from the main jenkins server stdout:

Oct 18, 2013 5:09:15 AM org.eclipse.jetty.util.log.JavaUtilLog warn
WARNING: /jenkins/job/Roll-VDSDev/build
org.apache.commons.jelly.JellyTagException: jar:file:/opt/apps/vds/common/java_tools/jenkins/TMP/jetty-0.0.0.0-8081-jenkins.war-_jenkins-any-/webapp/WEB-INF/lib/instance-identity-1.3.jar!/org/jenkinsci/main/modules/instance_identity/PageDecoratorImpl/httpHeaders.jelly:2:74: <st:header> Closed
at org.apache.commons.jelly.impl.TagScript.handleException(TagScript.java:726)
at org.apache.commons.jelly.impl.TagScript.run(TagScript.java:279)
at org.apache.commons.jelly.tags.core.CoreTagLibrary$2.run(CoreTagLibrary.java:105)
at org.kohsuke.stapler.jelly.JellyViewScript.run(JellyViewScript.java:81)
at org.kohsuke.stapler.jelly.IncludeTag.doTag(IncludeTag.java:146)
at org.apache.commons.jelly.impl.TagScript.run(TagScript.java:269)
at org.apache.commons.jelly.TagSupport.invokeBody(TagSupport.java:161)
at org.apache.commons.jelly.tags.core.ForEachTag.doTag(ForEachTag.java:150)
at org.apache.commons.jelly.impl.TagScript.run(TagScript.java:269)
at org.apache.commons.jelly.impl.ScriptBlock.run(ScriptBlock.java:95)
at org.apache.commons.jelly.tags.core.CoreTagLibrary$1.run(CoreTagLibrary.java:98)
at org.apache.commons.jelly.impl.ScriptBlock.run(ScriptBlock.java:95)
at org.apache.commons.jelly.tags.core.CoreTagLibrary$2.run(CoreTagLibrary.java:105)
at org.kohsuke.stapler.jelly.CallTagLibScript.run(CallTagLibScript.java:119)
at org.apache.commons.jelly.impl.ScriptBlock.run(ScriptBlock.java:95)
at org.apache.commons.jelly.tags.core.CoreTagLibrary$2.run(CoreTagLibrary.java:105)
at org.kohsuke.stapler.jelly.JellyViewScript.run(JellyViewScript.java:81)
at org.kohsuke.stapler.jelly.DefaultScriptInvoker.invokeScript(DefaultScriptInvoker.java:63)
at org.kohsuke.stapler.jelly.DefaultScriptInvoker.invokeScript(DefaultScriptInvoker.java:53)
at org.kohsuke.stapler.jelly.JellyFacet$1.dispatch(JellyFacet.java:95)
at org.kohsuke.stapler.Stapler.tryInvoke(Stapler.java:685)
at org.kohsuke.stapler.Stapler.invoke(Stapler.java:799)
at org.kohsuke.stapler.Stapler.invoke(Stapler.java:587)
at hudson.init.impl.InstallUncaughtExceptionHandler$1.reportException(InstallUncaughtExceptionHandler.java:25)
at org.kohsuke.stapler.compression.CompressionFilter.reportException(CompressionFilter.java:63)
at org.kohsuke.stapler.compression.CompressionFilter.doFilter(CompressionFilter.java:52)
at org.eclipse.jetty.servlet.ServletHandler$CachedChain.doFilter(ServletHandler.java:1482)
at hudson.util.CharacterEncodingFilter.doFilter(CharacterEncodingFilter.java:81)
at org.eclipse.jetty.servlet.ServletHandler$CachedChain.doFilter(ServletHandler.java:1474)
at org.eclipse.jetty.servlet.ServletHandler.doHandle(ServletHandler.java:499)
at org.eclipse.jetty.server.handler.ScopedHandler.handle(ScopedHandler.java:137)
at org.eclipse.jetty.security.SecurityHandler.handle(SecurityHandler.java:533)
at org.eclipse.jetty.server.session.SessionHandler.doHandle(SessionHandler.java:231)
at org.eclipse.jetty.server.handler.ContextHandler.doHandle(ContextHandler.java:1086)
at org.eclipse.jetty.servlet.ServletHandler.doScope(ServletHandler.java:428)
at org.eclipse.jetty.server.session.SessionHandler.doScope(SessionHandler.java:193)
at org.eclipse.jetty.server.handler.ContextHandler.doScope(ContextHandler.java:1020)
at org.eclipse.jetty.server.handler.ScopedHandler.handle(ScopedHandler.java:135)
at org.eclipse.jetty.server.handler.HandlerWrapper.handle(HandlerWrapper.java:116)
at org.eclipse.jetty.server.Server.handle(Server.java:370)
at org.eclipse.jetty.server.AbstractHttpConnection.handleRequest(AbstractHttpConnection.java:489)
at org.eclipse.jetty.server.AbstractHttpConnection.headerComplete(AbstractHttpConnection.java:949)
at org.eclipse.jetty.server.AbstractHttpConnection$RequestHandler.headerComplete(AbstractHttpConnection.java:1011)
at org.eclipse.jetty.http.HttpParser.parseNext(HttpParser.java:644)
at org.eclipse.jetty.http.HttpParser.parseAvailable(HttpParser.java:235)
at org.eclipse.jetty.server.AsyncHttpConnection.handle(AsyncHttpConnection.java:82)
at org.eclipse.jetty.io.nio.SelectChannelEndPoint.handle(SelectChannelEndPoint.java:668)
at org.eclipse.jetty.io.nio.SelectChannelEndPoint$1.run(SelectChannelEndPoint.java:52)
at winstone.BoundedExecutorService$1.run(BoundedExecutorService.java:77)
at java.util.concurrent.ThreadPoolExecutor.runWorker(ThreadPoolExecutor.java:1110)
at java.util.concurrent.ThreadPoolExecutor$Worker.run(ThreadPoolExecutor.java:603)
at java.lang.Thread.run(Thread.java:722)
Caused by: java.io.IOException: Closed
at org.eclipse.jetty.server.HttpOutput.write(HttpOutput.java:140)
at org.eclipse.jetty.server.HttpOutput.write(HttpOutput.java:107)
at com.jcraft.jzlib.DeflaterOutputStream.deflate(DeflaterOutputStream.java:144)
at com.jcraft.jzlib.DeflaterOutputStream.write(DeflaterOutputStream.java:102)
at org.kohsuke.stapler.compression.FilterServletOutputStream.write(FilterServletOutputStream.java:31)
at org.kohsuke.stapler.jelly.DefaultScriptInvoker$1.write(DefaultScriptInvoker.java:99)
at sun.nio.cs.StreamEncoder.writeBytes(StreamEncoder.java:221)
at sun.nio.cs.StreamEncoder.implFlushBuffer(StreamEncoder.java:291)
at sun.nio.cs.StreamEncoder.implFlush(StreamEncoder.java:295)
at sun.nio.cs.StreamEncoder.flush(StreamEncoder.java:141)
at java.io.OutputStreamWriter.flush(OutputStreamWriter.java:229)
at java.io.BufferedWriter.flush(BufferedWriter.java:254)
at org.dom4j.io.XMLWriter.flush(XMLWriter.java:276)
at org.apache.commons.jelly.XMLOutput.flush(XMLOutput.java:127)
at org.apache.commons.jelly.impl.TagScript.run(TagScript.java:271)
... 50 more