Why doesn't this compile?

Wtf.java

public class Wtf {
    public static abstract class Foo<V> { // Removing this type parameter allows it to compile
        public <T> T bad(Class<T> fooClass) {
            return null;
        }
    }

    public static class Bar {
    }

    public static class Baz extends Foo {
        public <T> T good(Class<T> fooClass) {
            return null;
        }

        public void go() {
            Bar badBar = bad(Bar.class); // This won't compile
            Bar goodBar = good(Bar.class); // But this will
        }
    }
}

javac 1.7.0_75 to compile java sources
Errors occurred while compiling module 'Wtf'
Compilation completed with 1 error and 0 warnings in 1 sec
src/com/example/Wtf.java
Error:(22, 29) java: incompatible types
required: com.example.Wtf.Bar
found: java.lang.Object
src/com/example/Wtf.java uses unchecked or unsafe operations.
Recompile with -Xlint:unchecked for details.

Answer: http://stackoverflow.com/questions/21284913/java-generics-incompatible-types-bug-in-compiler