A system enables efficient flow control in computer network. In the preferred embodiment, when an entity detects an impending full condition, it cuts short its transmission of the current frame that is being sent, and immediately sends a pause signal. The entity also deliberately corrupts the error detection signature of the cut-off frame to ensure that whatever portion of it that may have been sent is discarded. After sending the pause signal, the entity re-sends the cut-off frame in its entirety. Upon receiving a pause signal, the receiving entity cuts short the current frame being transmitted to the entity that sent the pause signal. The receiving entity also corrupts the correction value of this cut-off frame. The receiving entity suspends its transmission of frames to the entity that sent the pause signal for a period of time. When the pause period expires, the receiving entity re-sends the cut-off frame in its entirety, and resumes the transmission of frames.