diff --git a/src/compiler/checker.ts b/src/compiler/checker.ts
index 7c8a0b7337f9b..36920ba80cac2 100644
--- a/src/compiler/checker.ts
+++ b/src/compiler/checker.ts
@@ -11825,6 +11825,54 @@ namespace ts {
             return jsxElementType || anyType;
         }
 
+        function findJsxElementParent(node: JsxOpeningLikeElement) {
+            let parent = node.parent;
+
+            while (parent) {
+                if (parent.kind == SyntaxKind.JsxElement && (<JsxElement>parent).openingElement !== node) {
+                    return (<JsxElement>parent).openingElement;
+                }
+
+                parent = parent.parent;
+            }
+
+            return;
+        }
+
+        /**
+         * Validates a JsxElement against the type of the 'children' attribute of its parent
+         */
+        function checkJsxElementAgainstParent(node: JsxOpeningLikeElement) {
+            const parent = findJsxElementParent(node);
+            if (!parent) {
+                return;
+            }
+
+            const parentAttributesType = getJsxElementAttributesType(parent);
+            if (!parentAttributesType || isTypeAny(parentAttributesType)) {
+                return;
+            }
+
+            const childrenPropSymbol = getPropertyOfType(parentAttributesType, "children");
+            if (!childrenPropSymbol) {
+                return;
+            }
+
+            let childrenPropType = getTypeOfSymbol(childrenPropSymbol);
+            if (isArrayLikeType(childrenPropType)) {
+                childrenPropType = getIndexTypeOfType(childrenPropType, IndexKind.Number);
+            }
+
+            const intrinsicTagType = isJsxIntrinsicIdentifier(node.tagName) ? getTypeOfSymbol(getIntrinsicTagSymbol(node)) : undefined;
+
+            const elementType = intrinsicTagType || getJsxElementInstanceType(node, getTypeOfNode(node.tagName));
+            if (!elementType) {
+                return;
+            }
+
+            checkTypeAssignableTo(elementType, childrenPropType, node);
+        }
+
         function checkJsxElement(node: JsxElement) {
             // Check attributes
             checkJsxOpeningLikeElement(node.openingElement);
@@ -12240,6 +12288,7 @@ namespace ts {
         function checkJsxOpeningLikeElement(node: JsxOpeningLikeElement) {
             checkGrammarJsxElement(node);
             checkJsxPreconditions(node);
+            checkJsxElementAgainstParent(node);
             // The reactNamespace/jsxFactory's root symbol should be marked as 'used' so we don't incorrectly elide its import.
             // And if there is no reactNamespace/jsxFactory's symbol in scope when targeting React emit, we should issue an error.
             const reactRefErr = compilerOptions.jsx === JsxEmit.React ? Diagnostics.Cannot_find_name_0 : undefined;
diff --git a/tests/baselines/reference/tsxTypeErrors.errors.txt b/tests/baselines/reference/tsxTypeErrors.errors.txt
new file mode 100644
index 0000000000000..fdd3c5a46acbd
--- /dev/null
+++ b/tests/baselines/reference/tsxTypeErrors.errors.txt
@@ -0,0 +1,74 @@
+tests/cases/conformance/jsx/file.tsx(8,15): error TS2339: Property 'srce' does not exist on type 'HTMLProps<HTMLImageElement>'.
+tests/cases/conformance/jsx/file.tsx(12,15): error TS2322: Type '{ oops: number; }' is not assignable to type 'string'.
+tests/cases/conformance/jsx/file.tsx(15,10): error TS2339: Property 'imag' does not exist on type 'JSX.IntrinsicElements'.
+tests/cases/conformance/jsx/file.tsx(32,10): error TS2324: Property 'reqd' is missing in type 'IntrinsicAttributes & IntrinsicClassAttributes<MyClass> & { pt?: { x: number; y: number; }; name?: string; reqd: boolean; }'.
+tests/cases/conformance/jsx/file.tsx(32,19): error TS2322: Type '{ x: number; y: string; }' is not assignable to type '{ x: number; y: number; }'.
+  Types of property 'y' are incompatible.
+    Type 'string' is not assignable to type 'number'.
+tests/cases/conformance/jsx/file.tsx(44,25): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+  Property 'setState' is missing in type 'HTMLProps<HTMLDivElement>'.
+tests/cases/conformance/jsx/file.tsx(44,32): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+
+
+==== tests/cases/conformance/jsx/file.tsx (7 errors) ====
+    
+    import React = require('react');
+    
+    // A built-in element (OK)
+    var a1 = <div id="foo" />;
+    
+    // A built-in element with a mistyped property (error)
+    var a2 = <img srce="foo.jpg" />
+                  ~~~~
+!!! error TS2339: Property 'srce' does not exist on type 'HTMLProps<HTMLImageElement>'.
+    
+    // A built-in element with a badly-typed attribute value (error)
+    var thing = { oops: 100 };
+    var a3 = <div id={thing} />
+                  ~~~~~~~~~~
+!!! error TS2322: Type '{ oops: number; }' is not assignable to type 'string'.
+    
+    // Mistyped html name (error)
+    var e1 = <imag src="bar.jpg" />
+             ~~~~~~~~~~~~~~~~~~~~~~
+!!! error TS2339: Property 'imag' does not exist on type 'JSX.IntrinsicElements'.
+    
+    class MyClass extends React.Component<{
+        pt?: { x: number; y: number; };
+        name?: string;
+        reqd: boolean;
+      }, any> {
+    }
+    
+    // Let's use it
+    // TODO: Error on missing 'reqd'
+    var b1 = <MyClass reqd={true} />;
+    
+    // Mistyped attribute member
+    // sample.tsx(23,22): error TS2322: Type '{ x: number; y: string; }' is not assignable to type '{ x: number; y: number; }'.
+    //  Types of property 'y' are incompatible.
+    //    Type 'string' is not assignable to type 'number'.
+    var b2 = <MyClass pt={{x: 4, y: 'oops'}} />;
+             ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
+!!! error TS2324: Property 'reqd' is missing in type 'IntrinsicAttributes & IntrinsicClassAttributes<MyClass> & { pt?: { x: number; y: number; }; name?: string; reqd: boolean; }'.
+                      ~~~~~~~~~~~~~~~~~~~~~~
+!!! error TS2322: Type '{ x: number; y: string; }' is not assignable to type '{ x: number; y: number; }'.
+!!! error TS2322:   Types of property 'y' are incompatible.
+!!! error TS2322:     Type 'string' is not assignable to type 'number'.
+    
+    // A custom element type with an explicit children prop attribute type
+    
+    class MyParentClass extends React.Component<{
+      children?: MyClass[];
+    }, any> {
+    }
+    
+    // OK - Child element matches the children prop
+    var d1 = <MyParentClass><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
+    // Error - Incorrect child element type
+    var d2 = <MyParentClass><div /><div></div><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
+                            ~~~~~~~
+!!! error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+!!! error TS2322:   Property 'setState' is missing in type 'HTMLProps<HTMLDivElement>'.
+                                   ~~~~~
+!!! error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
\ No newline at end of file
diff --git a/tests/baselines/reference/tsxTypeErrors.js b/tests/baselines/reference/tsxTypeErrors.js
index fd28f9a5bcb63..b24151edb8ebc 100644
--- a/tests/baselines/reference/tsxTypeErrors.js
+++ b/tests/baselines/reference/tsxTypeErrors.js
@@ -1,4 +1,6 @@
-//// [tsxTypeErrors.tsx]
+//// [file.tsx]
+
+import React = require('react');
 
 // A built-in element (OK)
 var a1 = <div id="foo" />;
@@ -13,18 +15,16 @@ var a3 = <div id={thing} />
 // Mistyped html name (error)
 var e1 = <imag src="bar.jpg" />
 
-// A custom type
-class MyClass {
-  props: {
+class MyClass extends React.Component<{
     pt?: { x: number; y: number; };
-	name?: string;
-	reqd: boolean;
-  }
+    name?: string;
+    reqd: boolean;
+  }, any> {
 }
 
 // Let's use it
 // TODO: Error on missing 'reqd'
-var b1 = <MyClass reqd={true} />; 
+var b1 = <MyClass reqd={true} />;
 
 // Mistyped attribute member
 // sample.tsx(23,22): error TS2322: Type '{ x: number; y: string; }' is not assignable to type '{ x: number; y: number; }'.
@@ -32,9 +32,31 @@ var b1 = <MyClass reqd={true} />;
 //    Type 'string' is not assignable to type 'number'.
 var b2 = <MyClass pt={{x: 4, y: 'oops'}} />;
 
+// A custom element type with an explicit children prop attribute type
+
+class MyParentClass extends React.Component<{
+  children?: MyClass[];
+}, any> {
+}
+
+// OK - Child element matches the children prop
+var d1 = <MyParentClass><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
+// Error - Incorrect child element type
+var d2 = <MyParentClass><div /><div></div><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
 
-
-//// [tsxTypeErrors.jsx]
+//// [file.jsx]
+"use strict";
+var __extends = (this && this.__extends) || (function () {
+    var extendStatics = Object.setPrototypeOf ||
+        ({ __proto__: [] } instanceof Array && function (d, b) { d.__proto__ = b; }) ||
+        function (d, b) { for (var p in b) if (b.hasOwnProperty(p)) d[p] = b[p]; };
+    return function (d, b) {
+        extendStatics(d, b);
+        function __() { this.constructor = d; }
+        d.prototype = b === null ? Object.create(b) : (__.prototype = b.prototype, new __());
+    };
+})();
+var React = require("react");
 // A built-in element (OK)
 var a1 = <div id="foo"/>;
 // A built-in element with a mistyped property (error)
@@ -44,12 +66,13 @@ var thing = { oops: 100 };
 var a3 = <div id={thing}/>;
 // Mistyped html name (error)
 var e1 = <imag src="bar.jpg"/>;
-// A custom type
-var MyClass = (function () {
+var MyClass = (function (_super) {
+    __extends(MyClass, _super);
     function MyClass() {
+        return _super !== null && _super.apply(this, arguments) || this;
     }
     return MyClass;
-}());
+}(React.Component));
 // Let's use it
 // TODO: Error on missing 'reqd'
 var b1 = <MyClass reqd={true}/>;
@@ -58,3 +81,15 @@ var b1 = <MyClass reqd={true}/>;
 //  Types of property 'y' are incompatible.
 //    Type 'string' is not assignable to type 'number'.
 var b2 = <MyClass pt={{ x: 4, y: 'oops' }}/>;
+// A custom element type with an explicit children prop attribute type
+var MyParentClass = (function (_super) {
+    __extends(MyParentClass, _super);
+    function MyParentClass() {
+        return _super !== null && _super.apply(this, arguments) || this;
+    }
+    return MyParentClass;
+}(React.Component));
+// OK - Child element matches the children prop
+var d1 = <MyParentClass><MyClass reqd={true}/><MyClass reqd={true}></MyClass></MyParentClass>;
+// Error - Incorrect child element type
+var d2 = <MyParentClass><div /><div></div><MyClass reqd={true}/><MyClass reqd={true}></MyClass></MyParentClass>;
diff --git a/tests/baselines/reference/tsxTypeErrors.symbols b/tests/baselines/reference/tsxTypeErrors.symbols
index 062442cda1604..07bad4ef11b65 100644
--- a/tests/baselines/reference/tsxTypeErrors.symbols
+++ b/tests/baselines/reference/tsxTypeErrors.symbols
@@ -41,17 +41,17 @@ class MyClass {
 >x : Symbol(x, Decl(tsxTypeErrors.tsx, 17, 10))
 >y : Symbol(y, Decl(tsxTypeErrors.tsx, 17, 21))
 
-	name?: string;
+    name?: string;
 >name : Symbol(name, Decl(tsxTypeErrors.tsx, 17, 35))
 
-	reqd: boolean;
->reqd : Symbol(reqd, Decl(tsxTypeErrors.tsx, 18, 15))
+    reqd: boolean;
+>reqd : Symbol(reqd, Decl(tsxTypeErrors.tsx, 18, 18))
   }
 }
 
 // Let's use it
 // TODO: Error on missing 'reqd'
-var b1 = <MyClass reqd={true} />; 
+var b1 = <MyClass reqd={true} />;
 >b1 : Symbol(b1, Decl(tsxTypeErrors.tsx, 25, 3))
 >MyClass : Symbol(MyClass, Decl(tsxTypeErrors.tsx, 12, 31))
 >reqd : Symbol(unknown)
@@ -67,4 +67,53 @@ var b2 = <MyClass pt={{x: 4, y: 'oops'}} />;
 >x : Symbol(x, Decl(tsxTypeErrors.tsx, 31, 23))
 >y : Symbol(y, Decl(tsxTypeErrors.tsx, 31, 28))
 
+// A custom element type with an explicit children prop attribute type
+class MyParentClass {
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+
+  props: {
+>props : Symbol(MyParentClass.props, Decl(tsxTypeErrors.tsx, 34, 21))
+
+    children?: MyClass[];
+>children : Symbol(children, Decl(tsxTypeErrors.tsx, 35, 10))
+>MyClass : Symbol(MyClass, Decl(tsxTypeErrors.tsx, 12, 31))
+  }
+}
+
+// Correct child element type
+// Child element matches the children prop (OK)
+var d1 = <MyParentClass><MyClass reqd={true} /></MyParentClass>
+>d1 : Symbol(d1, Decl(tsxTypeErrors.tsx, 42, 3))
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+>MyClass : Symbol(MyClass, Decl(tsxTypeErrors.tsx, 12, 31))
+>reqd : Symbol(unknown)
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+
+// Conforms with type checking on element attribute (OK)
+var d2 = <MyParentClass children={[<MyClass reqd={true} />]}></MyParentClass>
+>d2 : Symbol(d2, Decl(tsxTypeErrors.tsx, 44, 3))
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+>children : Symbol(unknown)
+>MyClass : Symbol(MyClass, Decl(tsxTypeErrors.tsx, 12, 31))
+>reqd : Symbol(unknown)
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+
+// Incorrect child element type
+// sample.tsx(23,22): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+var d3 = <MyParentClass><div></div><MyClass reqd={true} /></MyParentClass>
+>d3 : Symbol(d3, Decl(tsxTypeErrors.tsx, 48, 3))
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+>div : Symbol(unknown)
+>div : Symbol(unknown)
+>MyClass : Symbol(MyClass, Decl(tsxTypeErrors.tsx, 12, 31))
+>reqd : Symbol(unknown)
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+
+// sample.tsx(23,22): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+var d4 = <MyParentClass children={[<div />]}></MyParentClass>
+>d4 : Symbol(d4, Decl(tsxTypeErrors.tsx, 50, 3))
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
+>children : Symbol(unknown)
+>div : Symbol(unknown)
+>MyParentClass : Symbol(MyParentClass, Decl(tsxTypeErrors.tsx, 31, 44))
 
diff --git a/tests/baselines/reference/tsxTypeErrors.types b/tests/baselines/reference/tsxTypeErrors.types
index d64781479fa27..afbd3f72e2dcc 100644
--- a/tests/baselines/reference/tsxTypeErrors.types
+++ b/tests/baselines/reference/tsxTypeErrors.types
@@ -47,17 +47,17 @@ class MyClass {
 >x : number
 >y : number
 
-	name?: string;
+    name?: string;
 >name : string
 
-	reqd: boolean;
+    reqd: boolean;
 >reqd : boolean
   }
 }
 
 // Let's use it
 // TODO: Error on missing 'reqd'
-var b1 = <MyClass reqd={true} />; 
+var b1 = <MyClass reqd={true} />;
 >b1 : any
 ><MyClass reqd={true} /> : any
 >MyClass : typeof MyClass
@@ -79,4 +79,67 @@ var b2 = <MyClass pt={{x: 4, y: 'oops'}} />;
 >y : string
 >'oops' : "oops"
 
+// A custom element type with an explicit children prop attribute type
+class MyParentClass {
+>MyParentClass : MyParentClass
+
+  props: {
+>props : { children?: MyClass[]; }
+
+    children?: MyClass[];
+>children : MyClass[]
+>MyClass : MyClass
+  }
+}
+
+// Correct child element type
+// Child element matches the children prop (OK)
+var d1 = <MyParentClass><MyClass reqd={true} /></MyParentClass>
+>d1 : any
+><MyParentClass><MyClass reqd={true} /></MyParentClass> : any
+>MyParentClass : typeof MyParentClass
+><MyClass reqd={true} /> : any
+>MyClass : typeof MyClass
+>reqd : any
+>true : true
+>MyParentClass : typeof MyParentClass
+
+// Conforms with type checking on element attribute (OK)
+var d2 = <MyParentClass children={[<MyClass reqd={true} />]}></MyParentClass>
+>d2 : any
+><MyParentClass children={[<MyClass reqd={true} />]}></MyParentClass> : any
+>MyParentClass : typeof MyParentClass
+>children : any
+>[<MyClass reqd={true} />] : any[]
+><MyClass reqd={true} /> : any
+>MyClass : typeof MyClass
+>reqd : any
+>true : true
+>MyParentClass : typeof MyParentClass
+
+// Incorrect child element type
+// sample.tsx(23,22): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+var d3 = <MyParentClass><div></div><MyClass reqd={true} /></MyParentClass>
+>d3 : any
+><MyParentClass><div></div><MyClass reqd={true} /></MyParentClass> : any
+>MyParentClass : typeof MyParentClass
+><div></div> : any
+>div : any
+>div : any
+><MyClass reqd={true} /> : any
+>MyClass : typeof MyClass
+>reqd : any
+>true : true
+>MyParentClass : typeof MyParentClass
+
+// sample.tsx(23,22): error TS2322: Type 'HTMLProps<HTMLDivElement>' is not assignable to type 'MyClass'.
+var d4 = <MyParentClass children={[<div />]}></MyParentClass>
+>d4 : any
+><MyParentClass children={[<div />]}></MyParentClass> : any
+>MyParentClass : typeof MyParentClass
+>children : any
+>[<div />] : any[]
+><div /> : any
+>div : any
+>MyParentClass : typeof MyParentClass
 
diff --git a/tests/cases/conformance/jsx/tsxTypeErrors.tsx b/tests/cases/conformance/jsx/tsxTypeErrors.tsx
index f8288b68ce336..96baa5ace9206 100644
--- a/tests/cases/conformance/jsx/tsxTypeErrors.tsx
+++ b/tests/cases/conformance/jsx/tsxTypeErrors.tsx
@@ -1,4 +1,9 @@
-//@jsx: preserve
+// @filename: file.tsx
+// @jsx: preserve
+// @noLib: true
+// @libFiles: react.d.ts,lib.d.ts
+
+import React = require('react');
 
 // A built-in element (OK)
 var a1 = <div id="foo" />;
@@ -13,18 +18,16 @@ var a3 = <div id={thing} />
 // Mistyped html name (error)
 var e1 = <imag src="bar.jpg" />
 
-// A custom type
-class MyClass {
-  props: {
+class MyClass extends React.Component<{
     pt?: { x: number; y: number; };
-	name?: string;
-	reqd: boolean;
-  }
+    name?: string;
+    reqd: boolean;
+  }, any> {
 }
 
 // Let's use it
 // TODO: Error on missing 'reqd'
-var b1 = <MyClass reqd={true} />; 
+var b1 = <MyClass reqd={true} />;
 
 // Mistyped attribute member
 // sample.tsx(23,22): error TS2322: Type '{ x: number; y: string; }' is not assignable to type '{ x: number; y: number; }'.
@@ -32,3 +35,14 @@ var b1 = <MyClass reqd={true} />;
 //    Type 'string' is not assignable to type 'number'.
 var b2 = <MyClass pt={{x: 4, y: 'oops'}} />;
 
+// A custom element type with an explicit children prop attribute type
+
+class MyParentClass extends React.Component<{
+  children?: MyClass[];
+}, any> {
+}
+
+// OK - Child element matches the children prop
+var d1 = <MyParentClass><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
+// Error - Incorrect child element type
+var d2 = <MyParentClass><div /><div></div><MyClass reqd={true} /><MyClass reqd={true}></MyClass></MyParentClass>
\ No newline at end of file