The theory, as exposed in the standard is that:
server_version
This field will contain the lower of that suggested by the client
in the client hello and the highest supported by the server.
In the ClientHello
message, the client announces a single version, and this means "I support all versions up to that version". For instance, if the client says "TLS 1.1" then the client is somehow promising that it can handle SSL 3.0, TLS 1.0 and TLS 1.1. The server is then supposed to pick the most recent protocol version that both client and server support.
However, client implementations know that we do not live in a perfect world, and some servers get it wrong sometimes, so they do connections in a loop. For instance, the client first announces "TLS 1.2", but if the handshake fails for some reason which might be due to flaky support by the server, the client may try again, announcing only "TLS 1.1" or "TLS 1.0". Not all clients do that, but this is common for Web browsers. As @dave explains, a TLS 1.2 ClientHello
may be larger than a previous version and make poorly written servers trip on it, so the "try again with a lower version" behaviour is, alas, necessary.
As explained above, the client only announces a range, so the client cannot express a support "with holes", e.g. supporting TLS 1.0 and 1.2 but not 1.1 (not that it makes a lot of sense). Similarly, the client sends both its "maximum supported protocol version" and its ordered list of supported cipher suites, so the client cannot express in a single ClientHello
a preference such as: "let's do TLS 1.2 and AES-CBC, but if we have to use TLS 1.0 then I would prefer RC4 because I am in mortal fear of the BEAST attack". If a client wants to enforce such preferences, then it must do the "multiple connections" trick.
To sum up, the normal paradigm of SSL is: the client suggests, the server chooses. But if the client wants to force the server into using some specific protocol version and/or cipher suite, then it can, through re-connections, and existing Web browsers do play such games occasionally.