A system for transaction recovery in a multitenant application server environment, comprising: one or more computers, including an application server environment executing thereon, that operates according to a domain configuration used at runtime to define an application server domain that enables deployment and execution of software applications and includes a plurality of partitions (250; 260), wherein the plurality of partitions are able to use a same resource, wherein each partition of the plurality of partitions is associated with a partition configuration, provides an administrative and runtime subdivision of the domain, includes one or more resource groups (1120; 1130) defined by one or more resource group templates, and can be associated with a tenant, wherein a said partition of the plurality of partitions includes: a transaction manager within in the application server environment instantiated into said partition; a plurality of resource managers associated with said partition, the plurality of resource managers being used in a transaction; and a determiner resource manager associated with and specific to said partition, the determiner resource manager being used in the transaction, and wherein the transaction manager is configured to process the transaction by: sending a prepare message to the determiner resource manager only after receiving acknowledgement of successful prepare actions on the plurality of resource managers; sending a commit message to the determiner resource manager only after receiving acknowledgement of successful commit actions on the plurality of resource managers; and upon a failure, retrieving a list of in-doubt transactions from each of the plurality of resource managers and the determiner resource manager, and recovering all in-doubt transactions without using a transaction log; wherein if a transaction within the said partition fails, the system allows other transactions associated with another partition of the plurality of partitions to run using the same resource. one or more computers, including an application server environment executing thereon, that operates according to a domain configuration used at runtime to define an application server domain that enables deployment and execution of software applications and includes a plurality of partitions (250; 260), wherein the plurality of partitions are able to use a same resource, wherein each partition of the plurality of partitions is associated with a partition configuration, provides an administrative and runtime subdivision of the domain, includes one or more resource groups (1120; 1130) defined by one or more resource group templates, and can be associated with a tenant, wherein a said partition of the plurality of partitions includes: a transaction manager within in the application server environment instantiated into said partition; a plurality of resource managers associated with said partition, the plurality of resource managers being used in a transaction; and a determiner resource manager associated with and specific to said partition, the determiner resource manager being used in the transaction, and a transaction manager within in the application server environment instantiated into said partition; a plurality of resource managers associated with said partition, the plurality of resource managers being used in a transaction; and a determiner resource manager associated with and specific to said partition, the determiner resource manager being used in the transaction, and wherein the transaction manager is configured to process the transaction by: sending a prepare message to the determiner resource manager only after receiving acknowledgement of successful prepare actions on the plurality of resource managers; sending a commit message to the determiner resource manager only after receiving acknowledgement of successful commit actions on the plurality of resource managers; and upon a failure, retrieving a list of in-doubt transactions from each of the plurality of resource managers and the determiner resource manager, and recovering all in-doubt transactions without using a transaction log; wherein if a transaction within the said partition fails, the system allows other transactions associated with another partition of the plurality of partitions to run using the same resource. sending a prepare message to the determiner resource manager only after receiving acknowledgement of successful prepare actions on the plurality of resource managers; sending a commit message to the determiner resource manager only after receiving acknowledgement of successful commit actions on the plurality of resource managers; and upon a failure, retrieving a list of in-doubt transactions from each of the plurality of resource managers and the determiner resource manager, and recovering all in-doubt transactions without using a transaction log; wherein if a transaction within the said partition fails, the system allows other transactions associated with another partition of the plurality of partitions to run using the same resource.