A Google AdWords Help thread reports that there is a bug with applying for keyword exceptions within the AdWords advertiser console.
When an advertiser is notified that "This ad requires review before it can run," and they submit the reviewal process, it simply just sends them back to the form.
Here is what the advertiser said:
If I check the box and click save, the same form shows up again. I can check the box and submit ad infinitum.
Laura from Google is trying to get to the bottom of the bug but she is not sure why it is happening yet. It seems like the bug is still not fixed.
Oh, and bonus points for those who get the reason I used the image I did.
Forum discussion at Google AdWords Help.

Comments:
Ian Williams
08/19/2011 03:35 pm
Its when two mirrors are facing each other, repeating the repeated image, right? e.g. an infinite loop
Barry Schwartz
08/19/2011 04:38 pm
No
Denver Web Success
08/20/2011 01:51 pm
I ran into a recursive problem just the other day. I'd created a recusive routine to display menus, sub-menus, sub-sub-menus, etc. What I didn't think about was what would happen if the client assigned a parent level to one of the sub-levels... infinite loop. I felt quite an idiot!