diff --git a/middleware/proxy/dns.go b/middleware/proxy/dns.go
index 78a8c3bfe..157d97992 100644
--- a/middleware/proxy/dns.go
+++ b/middleware/proxy/dns.go
@@ -5,7 +5,6 @@ import (
 	"net"
 	"time"
 
-	"github.com/coredns/coredns/middleware/pkg/singleflight"
 	"github.com/coredns/coredns/request"
 
 	"github.com/miekg/dns"
@@ -13,7 +12,6 @@ import (
 
 type dnsEx struct {
 	Timeout time.Duration
-	group   *singleflight.Group
 	Options
 }
 
@@ -26,7 +24,7 @@ func newDNSEx() *dnsEx {
 }
 
 func newDNSExWithOption(opt Options) *dnsEx {
-	return &dnsEx{group: new(singleflight.Group), Timeout: defaultTimeout * time.Second, Options: opt}
+	return &dnsEx{Timeout: defaultTimeout * time.Second, Options: opt}
 }
 
 func (d *dnsEx) Protocol() string          { return "dns" }
@@ -65,30 +63,14 @@ func (d *dnsEx) Exchange(ctx context.Context, addr string, state request.Request
 }
 
 func (d *dnsEx) ExchangeConn(m *dns.Msg, co net.Conn) (*dns.Msg, time.Duration, error) {
-	t := "nop"
-	if t1, ok := dns.TypeToString[m.Question[0].Qtype]; ok {
-		t = t1
-	}
-	cl := "nop"
-	if cl1, ok := dns.ClassToString[m.Question[0].Qclass]; ok {
-		cl = cl1
-	}
-
 	start := time.Now()
-
-	// Name needs to be normalized! Bug in go dns.
-	r, err := d.group.Do(m.Question[0].Name+t+cl, func() (interface{}, error) {
-		return exchange(m, co)
-	})
-
-	r1 := r.(dns.Msg)
+	r, err := exchange(m, co)
 	rtt := time.Since(start)
-	return &r1, rtt, err
+
+	return r, rtt, err
 }
 
-// exchange does *not* return a pointer to dns.Msg because that leads to buffer reuse when
-// group.Do is used in Exchange.
-func exchange(m *dns.Msg, co net.Conn) (dns.Msg, error) {
+func exchange(m *dns.Msg, co net.Conn) (*dns.Msg, error) {
 	opt := m.IsEdns0()
 
 	udpsize := uint16(dns.MinMsgSize)
@@ -109,7 +91,7 @@ func exchange(m *dns.Msg, co net.Conn) (dns.Msg, error) {
 
 	dnsco.Close()
 	if r == nil {
-		return dns.Msg{}, err
+		return nil, err
 	}
-	return *r, err
+	return r, err
 }
diff --git a/middleware/proxy/upstream.go b/middleware/proxy/upstream.go
index 8bc3e5306..76dd70348 100644
--- a/middleware/proxy/upstream.go
+++ b/middleware/proxy/upstream.go
@@ -328,6 +328,9 @@ func (u *staticUpstream) Select() *UpstreamHost {
 
 	if u.Policy == nil {
 		h := (&Random{}).Select(pool)
+		if h != nil {
+			return h
+		}
 		if h == nil && u.Spray == nil {
 			return nil
 		}
diff --git a/test/proxy_health_test.go b/test/proxy_health_test.go
index 19f8bfdc3..5cf168acb 100644
--- a/test/proxy_health_test.go
+++ b/test/proxy_health_test.go
@@ -41,3 +41,76 @@ func TestProxyErratic(t *testing.T) {
 	// tests that it times out.
 	p.Lookup(state, "example.org.", dns.TypeA)
 }
+
+func TestProxyThreeWay(t *testing.T) {
+	// Run 3 CoreDNS server, 2 upstream ones and a proxy. 1 Upstream is unhealthy after 1 query, but after
+	// that we should still be able to send to the other one
+	log.SetOutput(ioutil.Discard)
+
+	// Backend CoreDNS's.
+	corefileUp1 := `example.org:0 {
+		erratic {
+			drop 2
+		}
+	}
+`
+
+	up1, err := CoreDNSServer(corefileUp1)
+	if err != nil {
+		t.Fatalf("Could not get CoreDNS serving instance: %s", err)
+	}
+	defer up1.Stop()
+
+	corefileUp2 := `example.org:0 {
+		whoami
+	}
+`
+
+	up2, err := CoreDNSServer(corefileUp2)
+	if err != nil {
+		t.Fatalf("Could not get CoreDNS serving instance: %s", err)
+	}
+	defer up2.Stop()
+
+	addr1, _ := CoreDNSServerPorts(up1, 0)
+	if addr1 == "" {
+		t.Fatalf("Could not get UDP listening port")
+	}
+	addr2, _ := CoreDNSServerPorts(up2, 0)
+	if addr2 == "" {
+		t.Fatalf("Could not get UDP listening port")
+	}
+
+	// Proxying CoreDNS.
+	corefileProxy := `example.org:0 {
+		proxy . ` + addr1 + " " + addr2 + ` {
+			max_fails 1
+		}
+	}`
+
+	prx, err := CoreDNSServer(corefileProxy)
+	if err != nil {
+		t.Fatalf("Could not get CoreDNS serving instance: %s", err)
+	}
+	defer prx.Stop()
+	addr, _ := CoreDNSServerPorts(prx, 0)
+	if addr == "" {
+		t.Fatalf("Could not get UDP listening port")
+	}
+
+	m := new(dns.Msg)
+	m.SetQuestion("example.org.", dns.TypeA)
+
+	for i := 0; i < 10; i++ {
+		r, err := dns.Exchange(m, addr)
+		if err != nil {
+			continue
+		}
+		// We would previously get SERVFAIL, so just getting answers here
+		// is a good sign. The actuall timeouts are handled in the err != nil case
+		// above.
+		if r.Rcode != dns.RcodeSuccess {
+			t.Fatalf("Expected success rcode, got %d", r.Rcode)
+		}
+	}
+}