diff --git a/Lidgren.Network/NetPeer.Internal.cs b/Lidgren.Network/NetPeer.Internal.cs
index 63d4542..0e92b57 100644
--- a/Lidgren.Network/NetPeer.Internal.cs
+++ b/Lidgren.Network/NetPeer.Internal.cs
@@ -67,9 +67,6 @@ namespace Lidgren.Network
 				throw new NetException("Executing on wrong thread! Should be library system thread (is " + ct.Name + " mId " + ct.ManagedThreadId + ")");
 		}
 
-		//
-		// Network loop
-		//
 		private void InitializeNetwork()
 		{
 			//
@@ -143,6 +140,9 @@ namespace Lidgren.Network
 			}
 		}
 
+		//
+		// Network loop
+		//
 		private void NetworkLoop()
 		{
 			VerifyNetworkThread();
diff --git a/Lidgren.Network/NetQueue.cs b/Lidgren.Network/NetQueue.cs
index 3049990..e90817b 100644
--- a/Lidgren.Network/NetQueue.cs
+++ b/Lidgren.Network/NetQueue.cs
@@ -173,8 +173,16 @@ namespace Lidgren.Network
 				int ptr = m_head;
 				for (int i = 0; i < m_size; i++)
 				{
-					if (m_items[ptr].Equals(item))
-						return true;
+					if (m_items[ptr] == null)
+					{
+						if (item == null)
+							return true;
+					}
+					else
+					{
+						if (m_items[ptr].Equals(item))
+							return true;
+					}
 					ptr = (ptr + 1) % m_items.Length;
 				}
 			}
@@ -188,6 +196,7 @@ namespace Lidgren.Network
 				for (int i = 0; i < m_items.Length; i++)
 					m_items[i] = default(T);
 				m_head = 0;
+				m_size = 0;
 			}
 		}
 	}
diff --git a/UnitTests/NetQueueTests.cs b/UnitTests/NetQueueTests.cs
index 8763423..229feed 100644
--- a/UnitTests/NetQueueTests.cs
+++ b/UnitTests/NetQueueTests.cs
@@ -14,6 +14,12 @@ namespace UnitTests
 			queue.Enqueue(2);
 			queue.Enqueue(3);
 
+			if (queue.Contains(4))
+				throw new Exception("NetQueue Contains failure");
+
+			if (!queue.Contains(2))
+				throw new Exception("NetQueue Contains failure 2");
+
 			if (queue.Count != 3)
 				throw new Exception("NetQueue failed");
 			if (queue.TryDequeue() != 1)