He team! We got stuck with the following issue: StaleObjectStateException arises during the update execution into the SINGLE transaction.

Feel free to look at the code on bitbucket:
https://bitbucket.org/gegunov/hibernate_issue/src/master/
README with examples are also attached there.

Steps to reproduce:

prerequisites:

• Table DDL

  CREATE TABLE `payment` (
    `id` int(11) NOT NULL AUTO_INCREMENT,
    `status` varchar(45) DEFAULT NULL,
    `last_update_date` timestamp NOT NULL DEFAULT CURRENT_TIMESTAMP,
    PRIMARY KEY (`id`),
    UNIQUE KEY `id_UNIQUE` (`id`)
  ) ENGINE=InnoDB AUTO_INCREMENT=5 DEFAULT CHARSET=latin1

• Entity class with fields: 1) of type java.util.Date annotated by @Version e.g lastUpdateDate
  2) of type java.util.String for state
  3) of type Long (for Id)

1. Create entity having any state.
2. Then in the other transaction execute the following steps:
   1. find the created entity with entityManager.find
   2. update the field state (of type String)
   3. execute another one select from database using entityManager. It doesn't matter what it will return. It could even return nothing. In the provided code I deliberately use keys which not exist in DB
   4. update the entity again with different value.
3. When the transaction is being committed it will fail with the following error
   org.hibernate.StaleObjectStateException: Row was updated or deleted by another transaction (or unsaved-value mapping was incorrect)

It should be said that the mentioned behavior is not reproduced with the version field of type short, only with java.util.Date