diff --git a/lib/core_dom/element_binder_builder.dart b/lib/core_dom/element_binder_builder.dart
index dfa070d71..c1b5e995e 100644
--- a/lib/core_dom/element_binder_builder.dart
+++ b/lib/core_dom/element_binder_builder.dart
@@ -67,6 +67,11 @@ class ElementBinderBuilder {
     var children = annotation.children;
 
     if (annotation.children == Directive.TRANSCLUDE_CHILDREN) {
+      if (template != null) {
+        throw "There could be at most one transcluding directive on a node. The node "
+              "'${ref.element.outerHtml}' has both '${ref.annotation.selector}' and "
+              "'${template.annotation.selector}'.";
+      }
       template = ref;
     } else if (annotation is Component) {
       ComponentFactory factory;
diff --git a/test/core_dom/element_binder_builder_spec.dart b/test/core_dom/element_binder_builder_spec.dart
index 72a45eb8e..7c3b1e30e 100644
--- a/test/core_dom/element_binder_builder_spec.dart
+++ b/test/core_dom/element_binder_builder_spec.dart
@@ -5,73 +5,91 @@ import 'dart:mirrors';
 
 @Component(selector:'component')            class _Component{}
 @Decorator(selector:'[ignore-children]',
-             children: Directive.IGNORE_CHILDREN)
-                                              class _IgnoreChildren{}
+           children: Directive.IGNORE_CHILDREN)
+                                            class _IgnoreChildren{}
 @Decorator(selector:'[structural]',
-             children: Directive.TRANSCLUDE_CHILDREN)
-                                              class _Structural{}
+           children: Directive.TRANSCLUDE_CHILDREN)
+                                            class _Structural{}
 @Decorator(selector:'[directive]')          class _DirectiveAttr{}
 
+@Decorator(selector: '[templates]',
+          children: Directive.TRANSCLUDE_CHILDREN)
+                                            class _Template1{}
+@Decorator(selector: '[templates]',
+          children: Directive.TRANSCLUDE_CHILDREN)
+                                            class _Template2{}
+
 
 directiveFor(i) {
   ClassMirror cm = reflectType(i);
 
 }
-main() => describe('ElementBinderBuilder', () {
-  var b;
-  var directives;
-  var node = null;
-
-  beforeEachModule((Module module) {
-    module
-      ..bind(_DirectiveAttr)
-      ..bind(_Component)
-      ..bind(_IgnoreChildren)
-      ..bind(_Structural);
-  });
+void main() {
+  describe('ElementBinderBuilder', () {
+    ElementBinderBuilder builder;
+    ElementBinder binder;
+    var directives;
+    var node = new DivElement();
+
+    beforeEachModule((Module module) {
+      module..bind(_DirectiveAttr)
+            ..bind(_Component)
+            ..bind(_IgnoreChildren)
+            ..bind(_Structural)
+            ..bind(_Template1)
+            ..bind(_Template2);
 
-  beforeEach((DirectiveMap d, ElementBinderFactory f) {
-    directives = d;
-    b = f.builder(null, null);
-  });
+    });
 
-  addDirective(selector) {
-    directives.forEach((Directive annotation, Type type) {
-      if (annotation.selector == selector)
-        b.addDirective(new DirectiveRef(node, type, annotation, new Key(type), null));
+    beforeEach((DirectiveMap d, ElementBinderFactory f) {
+      directives = d;
+      builder = f.builder(null, null);
     });
-    b = b.binder;
-  }
 
-  it('should add a decorator', () {
-    expect(b.decorators.length).toEqual(0);
+    addDirective(selector) {
+      directives.forEach((Directive annotation, Type type) {
+        if (annotation.selector == selector)
+          builder.addDirective(new DirectiveRef(node, type, annotation, new Key(type), null));
+      });
+      binder = builder.binder;
+    }
 
-    addDirective('[directive]');
+    it('should add a decorator', () {
+      expect(builder.decorators.length).toEqual(0);
 
-    expect(b.decorators.length).toEqual(1);
-    expect(b.componentData).toBeNull();
-    expect(b.childMode).toEqual(Directive.COMPILE_CHILDREN);
+      addDirective('[directive]');
 
-  });
+      expect(binder.decorators.length).toEqual(1);
+      expect(binder.componentData).toBeNull();
+      expect(binder.childMode).toEqual(Directive.COMPILE_CHILDREN);
+
+    });
 
-  it('should add a component', async(() {
-    addDirective('component');
+    it('should add a component', async(() {
+      addDirective('component');
 
-    expect(b.decorators.length).toEqual(0);
-    expect(b.componentData).toBeNotNull();
-  }));
+      expect(binder.decorators.length).toEqual(0);
+      expect(binder.componentData).toBeNotNull();
+    }));
 
-  it('should add a template', () {
-    addDirective('[structural]');
+    it('should add a template', () {
+      addDirective('[structural]');
 
-    expect(b.template).toBeNotNull();
-  });
+      expect(binder.template).toBeNotNull();
+    });
 
-  it('should add a directive that ignores children', () {
-    addDirective('[ignore-children]');
+    it('could have at most one template', () {
+      expect(() => addDirective(('[templates]')))
+          .toThrowWith(message: "There could be at most one transcluding directive on a node. The "
+                                "node '<div></div>' has both '[templates]' and '[templates]'.");
+    });
+
+    it('should add a directive that ignores children', () {
+      addDirective('[ignore-children]');
 
-    expect(b.decorators.length).toEqual(1);
-    expect(b.componentData).toBeNull();
-    expect(b.childMode).toEqual(Directive.IGNORE_CHILDREN);
+      expect(binder.decorators.length).toEqual(1);
+      expect(binder.componentData).toBeNull();
+      expect(binder.childMode).toEqual(Directive.IGNORE_CHILDREN);
+    });
   });
-});
+}
\ No newline at end of file