We recently had a problem with a Java server application where the application was throwing Errors which were not caught because Error is a separate subclass of Throwable an
In general it would be reasonable to try to catch Errors if only so that can be properly reported.
However, I believe there are cases when it would be appropriate to catch an Error and not report it. I'm referring to UnsatisfiedLinkError. In JAI the library uses some native libraries to implement most of the operators for performance reasons, however if the library fails to load (doesnt exist, wrong format, unsupported platform) the library will still function because it will fall back into a java only mode.