Index: util-linux-2.12r/mount/lomount.c
===================================================================
--- util-linux-2.12r.orig/mount/lomount.c
+++ util-linux-2.12r/mount/lomount.c
@@ -1005,7 +1005,17 @@ set_loop(const char *device, const char 
 	}
 
 	if (ioctl(fd, LOOP_SET_FD, ffd) < 0) {
-		perror("ioctl: LOOP_SET_FD");
+		switch (errno) {
+		case EBUSY:
+			ret = 2;
+			if (verbose)
+				perror("ioctl: LOOP_SET_FD");
+			break;
+		default:
+			ret = 1;
+			perror("ioctl: LOOP_SET_FD");
+			break;
+		}
 keyclean_close_fd_ffd_return1:
 		memset(loopinfo.lo_encrypt_key, 0, sizeof(loopinfo.lo_encrypt_key));
 		memset(&multiKeyBits[0][0], 0, sizeof(multiKeyBits));
Index: util-linux-2.12r/mount/mount.c
===================================================================
--- util-linux-2.12r.orig/mount/mount.c
+++ util-linux-2.12r/mount/mount.c
@@ -653,18 +653,32 @@ loop_check(const char **spec, const char
 	printf(_("mount: skipping the setup of a loop device\n"));
     } else {
       int loopro = (*flags & MS_RDONLY);
+      int res;
 
-      if (!*loopdev || !**loopdev)
-	*loopdev = find_unused_loop_device();
-      if (!*loopdev)
-	return EX_SYSERR;	/* no more loop devices */
-      if (verbose)
-	printf(_("mount: going to use the loop device %s\n"), *loopdev);
-      if (set_loop (*loopdev, *loopfile, &loopro, type, AutoChmodPtr)) {
+      do {
+        if (!*loopdev || !**loopdev)
+	  *loopdev = find_unused_loop_device();
+	if (!*loopdev)
+	  return EX_SYSERR;	/* no more loop devices */
 	if (verbose)
-	  printf(_("mount: failed setting up loop device\n"));
-	return EX_FAIL;
-      }
+	  printf(_("mount: going to use the loop device %s\n"), *loopdev);
+	if (res = set_loop (*loopdev, *loopfile, &loopro, type, AutoChmodPtr)) {
+	  switch(res) {
+	  case 2:
+		  /* loop dev has been grabbed by some other process,
+		     try again */
+		  if (verbose)
+		    printf("mount: stolen loop=%s ...trying again\n", *loopdev);
+		  *loopdev = NULL;
+		  continue;
+	  default:
+		  if (verbose)
+		    printf(_("mount: failed setting up loop device\n"));
+		  return EX_FAIL;
+	  }
+	}
+      } while (!*loopdev);
+
       if (verbose > 1)
 	printf(_("mount: setup loop device successfully\n"));
       *spec = *loopdev;