Fix to address regression caused by PR 30897
    With the inclusion of PR 30897, creating service for host network
    fails in 18.02. Modified IsPreDefinedNetwork check and return
    NetworkNameError instead of errdefs.Forbidden to address this issue

Signed-off-by: selansen <elango.siva@docker.com>
(cherry picked from commit 7cf8b20762cc9491f52ff3f3d94c880378183696)
Signed-off-by: Sebastiaan van Stijn <github@gone.nl>

daemon/cluster/executor/container/adapter.go

diff --git a/daemon/cluster/executor/container/adapter.go b/daemon/cluster/executor/container/adapter.go
index 0520fa0..9535ee5 100644
--- a/daemon/cluster/executor/container/adapter.go
+++ b/daemon/cluster/executor/container/adapter.go
@@ -18,6 +18,7 @@
 	containertypes "github.com/docker/docker/api/types/container"
 	"github.com/docker/docker/api/types/events"
 	containerpkg "github.com/docker/docker/container"
+	"github.com/docker/docker/daemon"
 	"github.com/docker/docker/daemon/cluster/convert"
 	executorpkg "github.com/docker/docker/daemon/cluster/executor"
 	"github.com/docker/libnetwork"
@@ -153,7 +154,11 @@
 			if _, ok := err.(libnetwork.NetworkNameError); ok {
 				continue
 			}
-
+			// We will continue if CreateManagedNetwork returns PredefinedNetworkError error.
+			// Other callers still can treat it as Error.
+			if _, ok := err.(daemon.PredefinedNetworkError); ok {
+				continue
+			}
 			return err
 		}
 	}

daemon/network.go

diff --git a/daemon/network.go b/daemon/network.go
index 2c2a96b..e5dcd06 100644
--- a/daemon/network.go
+++ b/daemon/network.go
@@ -24,6 +24,16 @@
 	"golang.org/x/net/context"
 )
 
+// PredefinedNetworkError is returned when user tries to create predefined network that already exists.
+type PredefinedNetworkError string
+
+func (pnr PredefinedNetworkError) Error() string {
+	return fmt.Sprintf("operation is not permitted on predefined %s network ", string(pnr))
+}
+
+// Forbidden denotes the type of this error
+func (pnr PredefinedNetworkError) Forbidden() {}
+
 // NetworkControllerEnabled checks if the networking stack is enabled.
 // This feature depends on OS primitives and it's disabled in systems like Windows.
 func (daemon *Daemon) NetworkControllerEnabled() bool {
@@ -267,9 +277,8 @@
 }
 
 func (daemon *Daemon) createNetwork(create types.NetworkCreateRequest, id string, agent bool) (*types.NetworkCreateResponse, error) {
-	if runconfig.IsPreDefinedNetwork(create.Name) && !agent {
-		err := fmt.Errorf("%s is a pre-defined network and cannot be created", create.Name)
-		return nil, errdefs.Forbidden(err)
+	if runconfig.IsPreDefinedNetwork(create.Name) {
+		return nil, PredefinedNetworkError(create.Name)
 	}
 
 	var warning string

integration/network/service_test.go

diff --git a/integration/network/service_test.go b/integration/network/service_test.go
new file mode 100644
index 0000000..684b29c
--- /dev/null
+++ b/integration/network/service_test.go
@@ -0,0 +1,70 @@
+package network // import "github.com/docker/docker/integration/network"
+
+import (
+	"runtime"
+	"testing"
+	"time"
+
+	"github.com/docker/docker/api/types"
+	"github.com/docker/docker/api/types/filters"
+	"github.com/docker/docker/api/types/swarm"
+	"github.com/docker/docker/client"
+	"github.com/gotestyourself/gotestyourself/poll"
+	"github.com/stretchr/testify/require"
+	"golang.org/x/net/context"
+)
+
+func TestServiceWithPredefinedNetwork(t *testing.T) {
+	defer setupTest(t)()
+	d := newSwarm(t)
+	defer d.Stop(t)
+	client, err := client.NewClientWithOpts(client.WithHost((d.Sock())))
+	require.NoError(t, err)
+
+	hostName := "host"
+	var instances uint64 = 1
+	serviceName := "TestService"
+	serviceSpec := swarmServiceSpec(serviceName, instances)
+	serviceSpec.TaskTemplate.Networks = append(serviceSpec.TaskTemplate.Networks, swarm.NetworkAttachmentConfig{Target: hostName})
+
+	serviceResp, err := client.ServiceCreate(context.Background(), serviceSpec, types.ServiceCreateOptions{
+		QueryRegistry: false,
+	})
+	require.NoError(t, err)
+
+	pollSettings := func(config *poll.Settings) {
+		if runtime.GOARCH == "arm64" || runtime.GOARCH == "arm" {
+			config.Timeout = 50 * time.Second
+			config.Delay = 100 * time.Millisecond
+		}
+	}
+
+	serviceID := serviceResp.ID
+	poll.WaitOn(t, serviceRunningCount(client, serviceID, instances), pollSettings)
+
+	_, _, err = client.ServiceInspectWithRaw(context.Background(), serviceID, types.ServiceInspectOptions{})
+	require.NoError(t, err)
+
+	err = client.ServiceRemove(context.Background(), serviceID)
+	require.NoError(t, err)
+
+	poll.WaitOn(t, serviceIsRemoved(client, serviceID), pollSettings)
+	poll.WaitOn(t, noTasks(client), pollSettings)
+
+}
+
+func serviceRunningCount(client client.ServiceAPIClient, serviceID string, instances uint64) func(log poll.LogT) poll.Result {
+	return func(log poll.LogT) poll.Result {
+		filter := filters.NewArgs()
+		filter.Add("service", serviceID)
+		services, err := client.ServiceList(context.Background(), types.ServiceListOptions{})
+		if err != nil {
+			return poll.Error(err)
+		}
+
+		if len(services) != int(instances) {
+			return poll.Continue("Service count at %d waiting for %d", len(services), instances)
+		}
+		return poll.Success()
+	}
+}