Linear models and synchronous response are generally adequate to describe and analyze rotors supported by hydrodynamic bearings. Hence, stiffness and damping coefficients can provide a good model for a wide range of situations. However, in some cases, this approach does not suffice to describe the dynamic behavior of the rotor-bearing system. Moreover, unstable motion occurs due to precessional orbits in the rotor-bearing system. This instability is called “oil whirl” or “oil whip”. The oil whirl phenomenon occurs when the journal bearings are lightly loaded and the shaft is whirling at a frequency close to one-half of rotor angular speed. When the angular speed of the rotor reaches approximately twice the natural frequency (first critical speed), the oil whip phenomenon occurs and remains even if the rotor angular speed increases. Its frequency and vibration mode correspond to the first critical speed. The main purpose of this paper is to validate a complete nonlinear solution to simulate the fluid-induced instability during run-up and run-down. A flexible rotor with a central disk under unbalanced excitation is modeled. A nonlinear hydrodynamic model is considered for short bearing and laminar flow. The effects of unbalance, journal-bearing parameters and rotor arrangement (vertical or horizontal) on the instability threshold are verified. The model simulations are compared with measurements at a real vertical power plant and a horizontal test rig.