Walkaround:
1) Import the certificate into the user repository- Accept the message on one PC
- Copy "trusted.certs" (C:\Documents and Settings\
\Application Data\Sun\Java\Deployment\security) - Paste in all profiles on the new PC's
2) Import the certificate into the browser repository
- Accept the message on one PC
- Launch the java control panel -> security tab -> certificates button
- Select the certificate & Export the certificate as
.cer - In the problematic PC Import the certificate into the browser repository: Internet Explorer -> Tools -> Content -> Certificates -> Trusted Publishers -> Import.
3) Sign jar files using a known 'trusted' certificate signing authority.
See Note 1207184.1 Enhanced Signing of Oracle E-Business Suite JAR Files in Oracle Support
4) Change the order of the JAR files
A workaround is to change the order of the jar files listed in webutilArchive parameter in the formsweb.cfg file. Ensure jacob.jar is listed before frmwebutil.jar. (Please let me know if it worked)