The given code is subject to livelock. In a livelock scenario, processes continuously change their state in response to other processes without making any progress. Here, there are two threads for the two Worker instances, w1 and w2, each trying to work with each other. Both workers call the isReady() method on the other and potentially enter an endless loop due to the continuous waiting and checking if the resource owner is different from themselves. Both threads may keep passing ownership of the resource back and forth without making any progress, resulting in a livelock situation. A deadlock, suggested by option B, would imply that both threads are stuck waiting for each other indefinitely, but here they keep changing their states. Hence, the correct answer is that the code is subject to livelock. The code does not throw an IllegalMonitorStateException, and it does compile, so the other options are incorrect.