diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
index 9f25622a924..7b46cd11983 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
@@ -10226,11 +10226,6 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirOldFronte
             runTest("compiler/testData/diagnostics/tests/inference/possibleCycleOnConstraints.kt");
         }
 
-        @TestMetadata("recursiveTypes.kt")
-        public void testRecursiveTypes() throws Exception {
-            runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes.kt");
-        }
-
         @TestMetadata("reportAboutUnresolvedReferenceAsUnresolved.kt")
         public void testReportAboutUnresolvedReferenceAsUnresolved() throws Exception {
             runTest("compiler/testData/diagnostics/tests/inference/reportAboutUnresolvedReferenceAsUnresolved.kt");
@@ -11269,6 +11264,79 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirOldFronte
             }
         }
 
+        @TestMetadata("compiler/testData/diagnostics/tests/inference/recursiveTypes")
+        @TestDataPath("$PROJECT_ROOT")
+        @RunWith(JUnit3RunnerWithInners.class)
+        public static class RecursiveTypes extends AbstractFirOldFrontendDiagnosticsTest {
+            private void runTest(String testDataFilePath) throws Exception {
+                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+            }
+
+            public void testAllFilesPresentInRecursiveTypes() throws Exception {
+                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/tests/inference/recursiveTypes"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+            }
+
+            @TestMetadata("multirecursion.kt")
+            public void testMultirecursion() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt");
+            }
+
+            @TestMetadata("recursiveInIn.kt")
+            public void testRecursiveInIn() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt");
+            }
+
+            @TestMetadata("recursiveInInv.kt")
+            public void testRecursiveInInv() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt");
+            }
+
+            @TestMetadata("recursiveInOut.kt")
+            public void testRecursiveInOut() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt");
+            }
+
+            @TestMetadata("recursiveInvIn.kt")
+            public void testRecursiveInvIn() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt");
+            }
+
+            @TestMetadata("recursiveInvOut.kt")
+            public void testRecursiveInvOut() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt");
+            }
+
+            @TestMetadata("recursiveOutIn.kt")
+            public void testRecursiveOutIn() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt");
+            }
+
+            @TestMetadata("recursiveOutInv.kt")
+            public void testRecursiveOutInv() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt");
+            }
+
+            @TestMetadata("recursiveOutOut.kt")
+            public void testRecursiveOutOut() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt");
+            }
+
+            @TestMetadata("recursiveTypeWithNonStarResult.kt")
+            public void testRecursiveTypeWithNonStarResult() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt");
+            }
+
+            @TestMetadata("recursiveTypes.kt")
+            public void testRecursiveTypes() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt");
+            }
+
+            @TestMetadata("twoTypeConstructors.kt")
+            public void testTwoTypeConstructors() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt");
+            }
+        }
+
         @TestMetadata("compiler/testData/diagnostics/tests/inference/regressions")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
index 5d9b819ede9..e89ed940800 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
@@ -1931,6 +1931,11 @@ public class FirOldFrontendDiagnosticsTestWithStdlibGenerated extends AbstractFi
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/kt4975.kt");
         }
 
+        @TestMetadata("recursiveFlexibleAssertions.kt")
+        public void testRecursiveFlexibleAssertions() throws Exception {
+            runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
+        }
+
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
diff --git a/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/NewCommonSuperTypeCalculator.kt b/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/NewCommonSuperTypeCalculator.kt
index b93355bf582..d0c8274d877 100644
--- a/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/NewCommonSuperTypeCalculator.kt
+++ b/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/NewCommonSuperTypeCalculator.kt
@@ -237,11 +237,13 @@ object NewCommonSuperTypeCalculator {
         contextStubTypesEqualToAnything: AbstractTypeCheckerContext
     ): List<TypeConstructorMarker> {
         val result = collectAllSupertypes(types.first(), contextStubTypesEqualToAnything)
+        // retain all super constructors of the first type that are present in the supertypes of all other types
         for (type in types) {
             if (type === types.first()) continue
 
             result.retainAll(collectAllSupertypes(type, contextStubTypesEqualToAnything))
         }
+        // remove all constructors that have subtype(s) with constructors from the resulting set - they are less precise  
         return result.filterNot { target ->
             result.any { other ->
                 other != target && other.supertypes().any { it.typeConstructor() == target }
@@ -323,7 +325,7 @@ object NewCommonSuperTypeCalculator {
             }
 
             val argument =
-                if (thereIsStar || typeProjections.isEmpty()) {
+                if (thereIsStar || typeProjections.isEmpty() || checkRecursion(types, typeProjections, parameter)) {
                     createStarProjection(parameter)
                 } else {
                     collapseRecursiveArgumentIfPossible(calculateArgument(parameter, typeProjections, depth))
@@ -341,13 +343,68 @@ object NewCommonSuperTypeCalculator {
         return capturedType.typeConstructor().projection()
     }
 
+    private fun TypeSystemCommonSuperTypesContext.checkRecursion(
+        originalTypesForCst: List<SimpleTypeMarker>,
+        typeArgumentsForSuperConstructorParameter: List<TypeArgumentMarker>,
+        parameter: TypeParameterMarker,
+    ): Boolean {
+        if (parameter.getVariance() == TypeVariance.IN) 
+            return false // arguments for contravariant parameters are intersected, recursion should not be possible
+
+        val originalTypesSet = originalTypesForCst.toSet()
+        val typeArgumentsTypeSet = typeArgumentsForSuperConstructorParameter.map { it.getType().lowerBoundIfFlexible() }.toSet()
+
+        if (originalTypesSet.size != typeArgumentsTypeSet.size)
+            return false
+
+        // only needed in case of captured star projections in argument types
+        val originalTypeConstructorSet by lazy { typeConstructorsWithExpandedStarProjections(originalTypesSet).toSet() }
+
+        for (argumentType in typeArgumentsTypeSet) {
+            if (argumentType in originalTypesSet) continue
+
+            var starProjectionFound = false
+            for (supertype in supertypesIfCapturedStarProjection(argumentType).orEmpty()) {
+                if (supertype.lowerBoundIfFlexible().typeConstructor() !in originalTypeConstructorSet)
+                    return false
+                else starProjectionFound = true
+            }
+
+            if (!starProjectionFound)
+                return false
+        }
+        return true
+    }
+
+    private fun TypeSystemCommonSuperTypesContext.typeConstructorsWithExpandedStarProjections(types: Set<SimpleTypeMarker>) = sequence {
+        for (type in types) {
+            if (isCapturedStarProjection(type)) {
+                for (supertype in supertypesIfCapturedStarProjection(type).orEmpty()) {
+                    yield(supertype.lowerBoundIfFlexible().typeConstructor())
+                }
+            } else {
+                yield(type.typeConstructor())
+            }
+        }
+    }
+
+    private fun TypeSystemCommonSuperTypesContext.isCapturedStarProjection(type: SimpleTypeMarker): Boolean =
+        type.asCapturedType()?.typeConstructor()?.projection()?.isStarProjection() == true
+
+    private fun TypeSystemCommonSuperTypesContext.supertypesIfCapturedStarProjection(type: SimpleTypeMarker): Collection<KotlinTypeMarker>? {
+        val constructor = type.asCapturedType()?.typeConstructor() ?: return null
+        return if (constructor.projection().isStarProjection())
+            constructor.supertypes()
+        else null
+    }
+
     // no star projections in arguments
     private fun TypeSystemCommonSuperTypesContext.calculateArgument(
         parameter: TypeParameterMarker,
         arguments: List<TypeArgumentMarker>,
         depth: Int
     ): TypeArgumentMarker {
-        if (depth >= 0) {
+        if (depth > 0) {
             return createStarProjection(parameter)
         }
 
@@ -377,6 +434,7 @@ object NewCommonSuperTypeCalculator {
 
         // CS(Out<X>, Out<Y>) = Out<CS(X, Y)>
         // CS(In<X>, In<Y>) = In<X & Y>
+        // CS(Inv<X>, Inv<Y>) = Inv<out CS(X, Y)>)
         if (asOut) {
             val argumentTypes = arguments.map { it.getType() }
             val parameterIsNotInv = parameter.getVariance() != TypeVariance.INV
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.fir.kt
new file mode 100644
index 00000000000..ef8999183f0
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.fir.kt
@@ -0,0 +1,20 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface I1<A : I1<A>>
+interface I2<C : I2<C>>
+
+interface I3<E: I3<E>> : I2<E>, I1<E>
+interface I4<E: I4<E>> : I2<E>, I1<E>
+
+class C1<F> : I3<C1<F>>
+class C2 : I4<C2>
+
+class Box<T>
+
+fun test(c1: C1<Box<Box<Box<Int>>>>, c2: C2) {
+    val v = select(c1, c2)
+    <!DEBUG_INFO_EXPRESSION_TYPE("I2<*> & I1<*>")!>v<!>
+}
+
+fun <S> select(vararg args: S): S = TODO()
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt
new file mode 100644
index 00000000000..d17bcac6064
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt
@@ -0,0 +1,20 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface I1<A : I1<A>>
+interface I2<C : I2<C>>
+
+interface I3<E: I3<E>> : I2<E>, I1<E>
+interface I4<E: I4<E>> : I2<E>, I1<E>
+
+class C1<F> : I3<C1<F>>
+class C2 : I4<C2>
+
+class Box<T>
+
+fun test(c1: C1<Box<Box<Box<Int>>>>, c2: C2) {
+    val v = select(c1, c2)
+    <!DEBUG_INFO_EXPRESSION_TYPE("{I1<*> & I2<*>}")!>v<!>
+}
+
+fun <S> select(vararg args: S): S = TODO()
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.txt
new file mode 100644
index 00000000000..0696f9c986b
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.txt
@@ -0,0 +1,49 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun test(/*0*/ c1: C1<Box<Box<Box<kotlin.Int>>>>, /*1*/ c2: C2): kotlin.Unit
+
+public final class Box</*0*/ T> {
+    public constructor Box</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class C1</*0*/ F> : I3<C1<F>> {
+    public constructor C1</*0*/ F>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class C2 : I4<C2> {
+    public constructor C2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I1</*0*/ A : I1<A>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2</*0*/ C : I2<C>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3</*0*/ E : I3<E>> : I2<E>, I1<E> {
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4</*0*/ E : I4<E>> : I2<E>, I1<E> {
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.fir.kt
new file mode 100644
index 00000000000..2ef2e82a797
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.fir.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj3, I2 & I3>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj4, I2 & I4>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt
new file mode 100644
index 00000000000..10d8e59bb06
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj3}, {I2 & I3}>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj4}, {I2 & I4}>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.txt
new file mode 100644
index 00000000000..d95955a88d8
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ in A : Rec<A, B>, /*1*/ in B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.fir.kt
new file mode 100644
index 00000000000..5b2e2eb0069
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.fir.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj3, out I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj4, out kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt
new file mode 100644
index 00000000000..f1daaa2a3b1
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj3}, out I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj4}, out kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.txt
new file mode 100644
index 00000000000..eb8bff20cb0
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ in A : Rec<A, B>, /*1*/ B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.fir.kt
new file mode 100644
index 00000000000..7055b967bf7
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.fir.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, out B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj3, I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<Obj2 & Obj4, kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt
new file mode 100644
index 00000000000..6988369235b
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<in A: Rec<A, B>, out B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj3}, I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<{Obj2 & Obj4}, kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.txt
new file mode 100644
index 00000000000..c80fd43e80c
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ in A : Rec<A, B>, /*1*/ out B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.fir.kt
new file mode 100644
index 00000000000..95639d3df71
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.fir.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I2 & I3>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I2 & I4>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt
new file mode 100644
index 00000000000..83d60a02f60
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, {I2 & I3}>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, {I2 & I4}>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.txt
new file mode 100644
index 00000000000..24626edf9f2
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ A : Rec<A, B>, /*1*/ in B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt
new file mode 100644
index 00000000000..3cb070bfc99
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt
@@ -0,0 +1,22 @@
+// FIR_IDENTICAL
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+
+interface Rec<A: Rec<A, B>, out B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.txt
new file mode 100644
index 00000000000..1cf1c889795
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ A : Rec<A, B>, /*1*/ out B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.fir.kt
new file mode 100644
index 00000000000..5546e0c9b9d
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.fir.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<out A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I2 & I3>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I2 & I4>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt
new file mode 100644
index 00000000000..6586ccc486a
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt
@@ -0,0 +1,22 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+interface Rec<out A: Rec<A, B>, in B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, {I2 & I3}>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, {I2 & I4}>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.txt
new file mode 100644
index 00000000000..4297b8f01a6
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ out A : Rec<A, B>, /*1*/ in B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt
new file mode 100644
index 00000000000..4d13cb6206c
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt
@@ -0,0 +1,22 @@
+// FIR_IDENTICAL
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+
+interface Rec<out A: Rec<A, B>, B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, out I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, out kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.txt
new file mode 100644
index 00000000000..a7f86b2d7ff
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ out A : Rec<A, B>, /*1*/ B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt
new file mode 100644
index 00000000000..6df86885132
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt
@@ -0,0 +1,22 @@
+// FIR_IDENTICAL
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+
+interface Rec<out A: Rec<A, B>, out B>
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+interface I4
+
+object Obj2 : Rec<Obj2, I2>
+object Obj3 : Rec<Obj3, I3>
+object Obj4 : Rec<Obj4, I4>
+
+fun testOutOut() {
+    val cst1 = select(Obj2, Obj3)
+    val cst2 = select(Obj2, Obj4)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, I1>")!>cst1<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*, kotlin.Any>")!>cst2<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.txt
new file mode 100644
index 00000000000..f6200f93930
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.txt
@@ -0,0 +1,55 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun testOutOut(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I4 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj2 : Rec<Obj2, I2> {
+    private constructor Obj2()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj3 : Rec<Obj3, I3> {
+    private constructor Obj3()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object Obj4 : Rec<Obj4, I4> {
+    private constructor Obj4()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ out A : Rec<A, B>, /*1*/ out B> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt
new file mode 100644
index 00000000000..e1552577295
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt
@@ -0,0 +1,13 @@
+// FIR_IDENTICAL
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+
+interface A<T: A<T>>
+interface C<T> : A<C<T>>
+interface D<T> : A<C<T>>
+
+fun <S> select(vararg args: S): S = TODO()
+
+fun test(c: C<String>, d: D<String>) {
+    val v = select(c, d)
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<C<kotlin.String>>")!>v<!>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.txt
new file mode 100644
index 00000000000..9e4c2d061ce
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.txt
@@ -0,0 +1,22 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun test(/*0*/ c: C<kotlin.String>, /*1*/ d: D<kotlin.String>): kotlin.Unit
+
+public interface A</*0*/ T : A<T>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface C</*0*/ T> : A<C<T>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface D</*0*/ T> : A<C<T>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.fir.kt
similarity index 93%
rename from compiler/testData/diagnostics/tests/inference/recursiveTypes.fir.kt
rename to compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.fir.kt
index b8aabee4db1..4869738a094 100644
--- a/compiler/testData/diagnostics/tests/inference/recursiveTypes.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.fir.kt
@@ -1,5 +1,4 @@
 // !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
-// !WITH_NEW_INFERENCE
 
 interface RecursiveGeneric<T : RecursiveGeneric<T, U>, U>
 
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt
similarity index 95%
rename from compiler/testData/diagnostics/tests/inference/recursiveTypes.kt
rename to compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt
index fb744d676c3..a89b0cfad78 100644
--- a/compiler/testData/diagnostics/tests/inference/recursiveTypes.kt
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt
@@ -1,5 +1,4 @@
 // !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
-// !WITH_NEW_INFERENCE
 
 interface RecursiveGeneric<T : RecursiveGeneric<T, U>, U>
 
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.txt
similarity index 100%
rename from compiler/testData/diagnostics/tests/inference/recursiveTypes.txt
rename to compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.txt
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.fir.kt
new file mode 100644
index 00000000000..b1018e3d951
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.fir.kt
@@ -0,0 +1,18 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface Rec<T : Rec<T>>
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+
+object O1 : Rec<O1>, I2
+object O2 : Rec<O2>, I3
+
+fun test() {
+    val cst = select(O1, O2)
+    <!DEBUG_INFO_EXPRESSION_TYPE("Rec<*> & I1")!>cst<!>
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt
new file mode 100644
index 00000000000..1b3f3bf4e63
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt
@@ -0,0 +1,18 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER -UNUSED_EXPRESSION
+// !LANGUAGE: +NewInference
+
+fun <S> select(vararg args: S): S = TODO()
+
+interface Rec<T : Rec<T>>
+
+interface I1
+interface I2 : I1
+interface I3 : I1
+
+object O1 : Rec<O1>, I2
+object O2 : Rec<O2>, I3
+
+fun test() {
+    val cst = select(O1, O2)
+    <!DEBUG_INFO_EXPRESSION_TYPE("{I1 & Rec<*>}")!>cst<!>
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.txt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.txt
new file mode 100644
index 00000000000..7e5175f579b
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.txt
@@ -0,0 +1,42 @@
+package
+
+public fun </*0*/ S> select(/*0*/ vararg args: S /*kotlin.Array<out S>*/): S
+public fun test(): kotlin.Unit
+
+public interface I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I2 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I3 : I1 {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object O1 : Rec<O1>, I2 {
+    private constructor O1()
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public object O2 : Rec<O2>, I3 {
+    private constructor O2()
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Rec</*0*/ T : Rec<T>> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.fir.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.fir.kt
new file mode 100644
index 00000000000..2d3225d00fb
--- /dev/null
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.fir.kt
@@ -0,0 +1,79 @@
+// !LANGUAGE: +NewInference
+// !DIAGNOSTICS: -UNUSED_PARAMETER, -UNUSED_EXPRESSION
+// Issue: KT-35844
+
+// ---------------------- AssertJ declarations --------------------------
+// FILE: AbstractAssert.java
+public abstract class AbstractAssert<SELF extends AbstractAssert<SELF, ACTUAL>, ACTUAL> {}
+
+// FILE: EnumerableAssert.java
+public interface EnumerableAssert<SELF extends EnumerableAssert<SELF, ELEMENT>, ELEMENT> {}
+
+// FILE: ObjectEnumerableAssert.java
+public interface ObjectEnumerableAssert<SELF extends ObjectEnumerableAssert<SELF, ELEMENT>, ELEMENT>
+extends EnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: IndexedObjectEnumerableAssert.java
+public interface IndexedObjectEnumerableAssert<SELF extends IndexedObjectEnumerableAssert<SELF, ELEMENT>, ELEMENT>
+extends ObjectEnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: AbstractIterableAssert.java
+public abstract class AbstractIterableAssert<
+        SELF extends AbstractIterableAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>,
+ACTUAL extends Iterable<? extends ELEMENT>,
+ELEMENT,
+ELEMENT_ASSERT extends AbstractAssert<ELEMENT_ASSERT, ELEMENT>>
+extends AbstractAssert<SELF, ACTUAL> implements ObjectEnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: AbstractListAssert.java
+public abstract class AbstractListAssert<
+        SELF extends AbstractListAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>,
+ACTUAL extends List<? extends ELEMENT>,
+ELEMENT,
+ELEMENT_ASSERT extends AbstractAssert<ELEMENT_ASSERT, ELEMENT>>
+extends AbstractIterableAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>
+implements IndexedObjectEnumerableAssert<SELF, ELEMENT> {
+    SELF isNotEmpty() {
+        return null;
+    }
+}
+
+// FILE: ListAssert.java
+public class ListAssert<ELEMENT> extends AbstractListAssert<ListAssert<ELEMENT>, List<? extends ELEMENT>, ELEMENT, ObjectAssert<ELEMENT>> {}
+
+// FILE: AbstractCharSequenceAssert.java
+public abstract class AbstractCharSequenceAssert<SELF extends AbstractCharSequenceAssert<SELF, ACTUAL>, ACTUAL extends CharSequence>
+extends AbstractAssert<SELF, ACTUAL> implements EnumerableAssert<SELF, Character> {}
+
+// FILE: AbstractStringAssert.java
+public class AbstractStringAssert<SELF extends AbstractStringAssert<SELF>> extends AbstractCharSequenceAssert<SELF, String> {
+    public SELF isEqualTo(String expected) {
+        return null;
+    }
+}
+
+// FILE: StringAssert.java
+public class StringAssert extends AbstractStringAssert<StringAssert> {}
+
+// FILE: Assertions.java
+public class Assertions {
+    public static <ELEMENT> ListAssert<ELEMENT> assertThat(java.util.List<? extends ELEMENT> actual) {
+        return null;
+    }
+
+    public static AbstractStringAssert<?> assertThat(String actual) {
+        return null;
+    }
+}
+// ---------------------- AssertJ declarations end --------------------------
+
+// FILE: test.kt
+fun test() {
+    val assertion = when {
+        true -> Assertions.assertThat(listOf("foo")).isNotEmpty
+        else -> Assertions.assertThat("bar").isEqualTo("bar")
+    }
+    // TODO: FIR
+    // {AbstractAssert<*, out Any!>! & EnumerableAssert<*, {Comparable<*> & java.io.Serializable!}>!} with unfolded flexible nullability
+    <!DEBUG_INFO_EXPRESSION_TYPE("AbstractAssert<out AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!> & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>..AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!>? & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>?, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!> & EnumerableAssert<out AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!> & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>..AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!>? & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>?, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>..AbstractAssert<out AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!> & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>..AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!>? & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>?, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!>? & EnumerableAssert<out AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!> & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>..AbstractAssert<*, out ERROR CLASS: Unresolved: <error>..ERROR CLASS: Unresolved: <error>!>? & EnumerableAssert<*, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>?, out kotlin.Comparable<kotlin.String & kotlin.Char> & java.io.Serializable..kotlin.Comparable<kotlin.String & kotlin.Char>? & java.io.Serializable?>?")!>assertion<!>
+}
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt
new file mode 100644
index 00000000000..95d690a2c86
--- /dev/null
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt
@@ -0,0 +1,79 @@
+// !LANGUAGE: +NewInference
+// !DIAGNOSTICS: -UNUSED_PARAMETER, -UNUSED_EXPRESSION
+// Issue: KT-35844
+
+// ---------------------- AssertJ declarations --------------------------
+// FILE: AbstractAssert.java
+public abstract class AbstractAssert<SELF extends AbstractAssert<SELF, ACTUAL>, ACTUAL> {}
+
+// FILE: EnumerableAssert.java
+public interface EnumerableAssert<SELF extends EnumerableAssert<SELF, ELEMENT>, ELEMENT> {}
+
+// FILE: ObjectEnumerableAssert.java
+public interface ObjectEnumerableAssert<SELF extends ObjectEnumerableAssert<SELF, ELEMENT>, ELEMENT>
+extends EnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: IndexedObjectEnumerableAssert.java
+public interface IndexedObjectEnumerableAssert<SELF extends IndexedObjectEnumerableAssert<SELF, ELEMENT>, ELEMENT>
+extends ObjectEnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: AbstractIterableAssert.java
+public abstract class AbstractIterableAssert<
+        SELF extends AbstractIterableAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>,
+ACTUAL extends Iterable<? extends ELEMENT>,
+ELEMENT,
+ELEMENT_ASSERT extends AbstractAssert<ELEMENT_ASSERT, ELEMENT>>
+extends AbstractAssert<SELF, ACTUAL> implements ObjectEnumerableAssert<SELF, ELEMENT> {}
+
+// FILE: AbstractListAssert.java
+public abstract class AbstractListAssert<
+        SELF extends AbstractListAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>,
+ACTUAL extends List<? extends ELEMENT>,
+ELEMENT,
+ELEMENT_ASSERT extends AbstractAssert<ELEMENT_ASSERT, ELEMENT>>
+extends AbstractIterableAssert<SELF, ACTUAL, ELEMENT, ELEMENT_ASSERT>
+implements IndexedObjectEnumerableAssert<SELF, ELEMENT> {
+    SELF isNotEmpty() {
+        return null;
+    }
+}
+
+// FILE: ListAssert.java
+public class ListAssert<ELEMENT> extends AbstractListAssert<ListAssert<ELEMENT>, List<? extends ELEMENT>, ELEMENT, ObjectAssert<ELEMENT>> {}
+
+// FILE: AbstractCharSequenceAssert.java
+public abstract class AbstractCharSequenceAssert<SELF extends AbstractCharSequenceAssert<SELF, ACTUAL>, ACTUAL extends CharSequence>
+extends AbstractAssert<SELF, ACTUAL> implements EnumerableAssert<SELF, Character> {}
+
+// FILE: AbstractStringAssert.java
+public class AbstractStringAssert<SELF extends AbstractStringAssert<SELF>> extends AbstractCharSequenceAssert<SELF, String> {
+    public SELF isEqualTo(String expected) {
+        return null;
+    }
+}
+
+// FILE: StringAssert.java
+public class StringAssert extends AbstractStringAssert<StringAssert> {}
+
+// FILE: Assertions.java
+public class Assertions {
+    public static <ELEMENT> ListAssert<ELEMENT> assertThat(java.util.List<? extends ELEMENT> actual) {
+        return null;
+    }
+
+    public static AbstractStringAssert<?> assertThat(String actual) {
+        return null;
+    }
+}
+// ---------------------- AssertJ declarations end --------------------------
+
+// FILE: test.kt
+fun test() {
+    val assertion = when {
+        true -> Assertions.assertThat(listOf("foo")).isNotEmpty
+        else -> Assertions.assertThat("bar").isEqualTo("bar")
+    }
+    // TODO: FIR
+    // {AbstractAssert<*, out Any!>! & EnumerableAssert<*, {Comparable<*> & java.io.Serializable!}>!} with unfolded flexible nullability
+    <!DEBUG_INFO_EXPRESSION_TYPE("({AbstractAssert<*, out (kotlin.Any..kotlin.Any?)> & EnumerableAssert<*, out ({Comparable<*> & java.io.Serializable}..{Comparable<*>? & java.io.Serializable?})>}..{AbstractAssert<*, out (kotlin.Any..kotlin.Any?)>? & EnumerableAssert<*, out ({Comparable<*> & java.io.Serializable}..{Comparable<*>? & java.io.Serializable?})>?})")!>assertion<!>
+}
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.txt b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.txt
new file mode 100644
index 00000000000..9cfc7047c51
--- /dev/null
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.txt
@@ -0,0 +1,85 @@
+package
+
+public fun test(): kotlin.Unit
+
+public abstract class AbstractAssert</*0*/ SELF : AbstractAssert<SELF!, ACTUAL!>!, /*1*/ ACTUAL : kotlin.Any!> {
+    public constructor AbstractAssert</*0*/ SELF : AbstractAssert<SELF!, ACTUAL!>!, /*1*/ ACTUAL : kotlin.Any!>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public abstract class AbstractCharSequenceAssert</*0*/ SELF : AbstractCharSequenceAssert<SELF!, ACTUAL!>!, /*1*/ ACTUAL : kotlin.CharSequence!> : AbstractAssert<SELF!, ACTUAL!>, EnumerableAssert<SELF!, kotlin.Char!> {
+    public constructor AbstractCharSequenceAssert</*0*/ SELF : AbstractCharSequenceAssert<SELF!, ACTUAL!>!, /*1*/ ACTUAL : kotlin.CharSequence!>()
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public abstract class AbstractIterableAssert</*0*/ SELF : AbstractIterableAssert<SELF!, ACTUAL!, ELEMENT!, ELEMENT_ASSERT!>!, /*1*/ ACTUAL : kotlin.collections.(Mutable)Iterable<ELEMENT!>!, /*2*/ ELEMENT : kotlin.Any!, /*3*/ ELEMENT_ASSERT : AbstractAssert<ELEMENT_ASSERT!, ELEMENT!>!> : AbstractAssert<SELF!, ACTUAL!>, ObjectEnumerableAssert<SELF!, ELEMENT!> {
+    public constructor AbstractIterableAssert</*0*/ SELF : AbstractIterableAssert<SELF!, ACTUAL!, ELEMENT!, ELEMENT_ASSERT!>!, /*1*/ ACTUAL : kotlin.collections.(Mutable)Iterable<ELEMENT!>!, /*2*/ ELEMENT : kotlin.Any!, /*3*/ ELEMENT_ASSERT : AbstractAssert<ELEMENT_ASSERT!, ELEMENT!>!>()
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public abstract class AbstractListAssert</*0*/ SELF : AbstractListAssert<SELF!, ACTUAL!, ELEMENT!, ELEMENT_ASSERT!>!, /*1*/ ACTUAL : List!, /*2*/ ELEMENT : kotlin.Any!, /*3*/ ELEMENT_ASSERT : AbstractAssert<ELEMENT_ASSERT!, ELEMENT!>!> : AbstractIterableAssert<SELF!, ACTUAL!, ELEMENT!, ELEMENT_ASSERT!>, IndexedObjectEnumerableAssert<SELF!, ELEMENT!> {
+    public constructor AbstractListAssert</*0*/ SELF : AbstractListAssert<SELF!, ACTUAL!, ELEMENT!, ELEMENT_ASSERT!>!, /*1*/ ACTUAL : List!, /*2*/ ELEMENT : kotlin.Any!, /*3*/ ELEMENT_ASSERT : AbstractAssert<ELEMENT_ASSERT!, ELEMENT!>!>()
+    public open override /*2*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*2*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public/*package*/ open fun isNotEmpty(): SELF!
+    public open override /*2*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public open class AbstractStringAssert</*0*/ SELF : AbstractStringAssert<SELF!>!> : AbstractCharSequenceAssert<SELF!, kotlin.String!> {
+    public constructor AbstractStringAssert</*0*/ SELF : AbstractStringAssert<SELF!>!>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open fun isEqualTo(/*0*/ expected: kotlin.String!): SELF!
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public open class Assertions {
+    public constructor Assertions()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+
+    // Static members
+    public open fun </*0*/ ELEMENT : kotlin.Any!> assertThat(/*0*/ actual: (kotlin.collections.MutableList<out ELEMENT!>..kotlin.collections.List<ELEMENT!>?)): ListAssert<ELEMENT!>!
+    public open fun assertThat(/*0*/ actual: kotlin.String!): AbstractStringAssert<*>!
+}
+
+public interface EnumerableAssert</*0*/ SELF : EnumerableAssert<SELF!, ELEMENT!>!, /*1*/ ELEMENT : kotlin.Any!> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface IndexedObjectEnumerableAssert</*0*/ SELF : IndexedObjectEnumerableAssert<SELF!, ELEMENT!>!, /*1*/ ELEMENT : kotlin.Any!> : ObjectEnumerableAssert<SELF!, ELEMENT!> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public open class ListAssert</*0*/ ELEMENT : kotlin.Any!> : AbstractListAssert<ListAssert<ELEMENT!>!, List!, ELEMENT!, ObjectAssert!> {
+    public constructor ListAssert</*0*/ ELEMENT : kotlin.Any!>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public/*package*/ open override /*1*/ /*fake_override*/ fun isNotEmpty(): ListAssert<ELEMENT!>!
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface ObjectEnumerableAssert</*0*/ SELF : ObjectEnumerableAssert<SELF!, ELEMENT!>!, /*1*/ ELEMENT : kotlin.Any!> : EnumerableAssert<SELF!, ELEMENT!> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public open class StringAssert : AbstractStringAssert<StringAssert!> {
+    public constructor StringAssert()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun isEqualTo(/*0*/ expected: kotlin.String!): StringAssert!
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.fir.kt b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.fir.kt
index 952d6557540..2f18357064a 100644
--- a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.fir.kt
+++ b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.fir.kt
@@ -45,8 +45,8 @@ fun case_2() {
     val x = select(Case2_1(), Case2_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*>> & Interface3? & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*>>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*>> & Interface3? & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*>>?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<*> & Interface3? & InterfaceWithTypeParameter1<*>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<*> & Interface3? & InterfaceWithTypeParameter1<*>?")!>x<!>.ip1test1()
     }
 }
 
@@ -58,9 +58,9 @@ fun case_3() {
     val x = select(Case3_1(), Case3_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & Interface3? & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & Interface3? & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & Interface3? & InterfaceWithTypeParameter1<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & Interface3? & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & Interface3? & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & Interface3? & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>.ip1test2()
     }
 }
 
@@ -72,9 +72,9 @@ fun case_4() {
     val x = select(Case4_1(), Case4_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*> & InterfaceWithTypeParameter1<*>? & InterfaceWithTypeParameter2<*>?")!>x<!>.ip1test2()
     }
 }
 
@@ -100,9 +100,9 @@ fun case_6() {
     val x = select(Case6_1<Int>(), Case6_2<Float>(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>>?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<*>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>>>?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>>?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>> & InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out kotlin.Number & kotlin.Comparable<kotlin.Int & kotlin.Float>>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>>>?")!>x<!>.ip1test2()
     }
 }
 
@@ -114,8 +114,8 @@ fun case_7() {
     val x = select(Case7_1<Int, Float>(), Case7_2<Char, String>(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<*> & java.io.Serializable>, out Inv<out kotlin.Comparable<*> & java.io.Serializable>> & InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<*> & java.io.Serializable>, out Inv<out kotlin.Comparable<*> & java.io.Serializable>>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<*> & java.io.Serializable>, out Inv<out kotlin.Comparable<*> & java.io.Serializable>> & InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<*> & java.io.Serializable>, out Inv<out kotlin.Comparable<*> & java.io.Serializable>>?")!>x<!>.ip2test()
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable>, out Inv<out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>> & InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable>, out Inv<out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable>, out Inv<out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>> & InterfaceWithTwoTypeParameters<out Inv<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable>, out Inv<out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>>?")!>x<!>.ip2test()
     }
 }
 
@@ -127,24 +127,24 @@ fun case_8() {
     val x = select(Case8_1<Int, Float>(), Case8_2<Char, String>(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>.test1()
-        val y = <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>.test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>.test1()
+        val y = <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>x<!>.test2()
         if (y != null) {
-            <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>?")!>y<!>
-            <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>?")!>y<!>.test1()
-            val z = <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<*> & java.io.Serializable, out kotlin.Comparable<*> & java.io.Serializable>?")!>y<!>.test2()
+            <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>y<!>
+            <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>y<!>.test1()
+            val z = <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable> & ClassWithTwoTypeParameters<out kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable, out kotlin.Comparable<kotlin.Float & kotlin.Char> & java.io.Serializable>?")!>y<!>.test2()
             if (z != null) {
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.equals(null)
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.propT
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.propAny
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.propNullableT
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.propNullableAny
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.funT()
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.funAny()
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.funNullableT()
-                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<*> & java.io.Serializable & kotlin.Comparable<*>? & java.io.Serializable?")!>z<!>.funNullableAny()
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.equals(null)
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.propT
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.propAny
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.propNullableT
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.propNullableAny
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.funT()
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.funAny()
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.funNullableT()
+                <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Comparable<kotlin.Int & kotlin.String> & java.io.Serializable & kotlin.Comparable<kotlin.Int & kotlin.String>? & java.io.Serializable?")!>z<!>.funNullableAny()
             }
         }
     }
diff --git a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.kt b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.kt
index 73be68723a3..83d373a4560 100644
--- a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.kt
+++ b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/15.kt
@@ -45,8 +45,8 @@ fun case_2() {
     val x = select(Case2_1(), Case2_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*>}>} & {Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*>}>}?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*>}>} & {Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*>}>}?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<*>} & {Interface3 & InterfaceWithTypeParameter1<*>}?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<*>} & {Interface3 & InterfaceWithTypeParameter1<*>}?")!>x<!>.ip1test1()
     }
 }
 
@@ -58,9 +58,9 @@ fun case_3() {
     val x = select(Case3_1(), Case3_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {Interface3 & InterfaceWithTypeParameter1<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {Interface3 & InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>.ip1test2()
     }
 }
 
@@ -72,9 +72,9 @@ fun case_4() {
     val x = select(Case4_1(), Case4_2(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>} & {InterfaceWithTypeParameter1<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}> & InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>}?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>} & {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}?")!>x<!>.ip1test2()
     }
 }
 
@@ -100,9 +100,9 @@ fun case_6() {
     val x = select(Case6_1<Int>(), Case6_2<Float>(), null)
 
     if (x != null) {
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>}?")!>x<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>}?")!>x<!>.ip1test1()
-        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<*> & InterfaceWithTypeParameter2<*>}>>}?")!>x<!>.ip1test2()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>?}")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>?}")!>x<!>.ip1test1()
+        <!DEBUG_INFO_EXPRESSION_TYPE("{InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>> & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>} & {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<out {Comparable<*> & Number}>>? & InterfaceWithTypeParameter2<out InterfaceWithTypeParameter2<out {InterfaceWithTypeParameter1<out InterfaceWithTypeParameter2<*>> & InterfaceWithTypeParameter2<*>}>>?}")!>x<!>.ip1test2()
     }
 }
 
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
index 3fa5e2df98b..8ccb0ce7052 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
@@ -10233,11 +10233,6 @@ public class DiagnosticsTestGenerated extends AbstractDiagnosticsTestWithFirVali
                 runTest("compiler/testData/diagnostics/tests/inference/possibleCycleOnConstraints.kt");
             }
 
-            @TestMetadata("recursiveTypes.kt")
-            public void testRecursiveTypes() throws Exception {
-                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes.kt");
-            }
-
             @TestMetadata("reportAboutUnresolvedReferenceAsUnresolved.kt")
             public void testReportAboutUnresolvedReferenceAsUnresolved() throws Exception {
                 runTest("compiler/testData/diagnostics/tests/inference/reportAboutUnresolvedReferenceAsUnresolved.kt");
@@ -11276,6 +11271,79 @@ public class DiagnosticsTestGenerated extends AbstractDiagnosticsTestWithFirVali
                 }
             }
 
+            @TestMetadata("compiler/testData/diagnostics/tests/inference/recursiveTypes")
+            @TestDataPath("$PROJECT_ROOT")
+            @RunWith(JUnit3RunnerWithInners.class)
+            public static class RecursiveTypes extends AbstractDiagnosticsTestWithFirValidation {
+                private void runTest(String testDataFilePath) throws Exception {
+                    KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+                }
+
+                public void testAllFilesPresentInRecursiveTypes() throws Exception {
+                    KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/tests/inference/recursiveTypes"), Pattern.compile("^(.*)\\.kts?$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+                }
+
+                @TestMetadata("multirecursion.kt")
+                public void testMultirecursion() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt");
+                }
+
+                @TestMetadata("recursiveInIn.kt")
+                public void testRecursiveInIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt");
+                }
+
+                @TestMetadata("recursiveInInv.kt")
+                public void testRecursiveInInv() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt");
+                }
+
+                @TestMetadata("recursiveInOut.kt")
+                public void testRecursiveInOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt");
+                }
+
+                @TestMetadata("recursiveInvIn.kt")
+                public void testRecursiveInvIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt");
+                }
+
+                @TestMetadata("recursiveInvOut.kt")
+                public void testRecursiveInvOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt");
+                }
+
+                @TestMetadata("recursiveOutIn.kt")
+                public void testRecursiveOutIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt");
+                }
+
+                @TestMetadata("recursiveOutInv.kt")
+                public void testRecursiveOutInv() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt");
+                }
+
+                @TestMetadata("recursiveOutOut.kt")
+                public void testRecursiveOutOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt");
+                }
+
+                @TestMetadata("recursiveTypeWithNonStarResult.kt")
+                public void testRecursiveTypeWithNonStarResult() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt");
+                }
+
+                @TestMetadata("recursiveTypes.kt")
+                public void testRecursiveTypes() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt");
+                }
+
+                @TestMetadata("twoTypeConstructors.kt")
+                public void testTwoTypeConstructors() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt");
+                }
+            }
+
             @TestMetadata("compiler/testData/diagnostics/tests/inference/regressions")
             @TestDataPath("$PROJECT_ROOT")
             @RunWith(JUnit3RunnerWithInners.class)
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
index 6e26eb2267d..21be62be8d7 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
@@ -2946,6 +2946,11 @@ public class DiagnosticsTestWithStdLibGenerated extends AbstractDiagnosticsTestW
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/kt4975.kt");
         }
 
+        @TestMetadata("recursiveFlexibleAssertions.kt")
+        public void testRecursiveFlexibleAssertions() throws Exception {
+            runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
+        }
+
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
index 2cd3a0c4643..2f69c8b98a4 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
@@ -2946,6 +2946,11 @@ public class DiagnosticsTestWithStdLibUsingJavacGenerated extends AbstractDiagno
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/kt4975.kt");
         }
 
+        @TestMetadata("recursiveFlexibleAssertions.kt")
+        public void testRecursiveFlexibleAssertions() throws Exception {
+            runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
+        }
+
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
index 1b7864a8909..b262053f52f 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
@@ -10228,11 +10228,6 @@ public class DiagnosticsUsingJavacTestGenerated extends AbstractDiagnosticsUsing
                 runTest("compiler/testData/diagnostics/tests/inference/possibleCycleOnConstraints.kt");
             }
 
-            @TestMetadata("recursiveTypes.kt")
-            public void testRecursiveTypes() throws Exception {
-                runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes.kt");
-            }
-
             @TestMetadata("reportAboutUnresolvedReferenceAsUnresolved.kt")
             public void testReportAboutUnresolvedReferenceAsUnresolved() throws Exception {
                 runTest("compiler/testData/diagnostics/tests/inference/reportAboutUnresolvedReferenceAsUnresolved.kt");
@@ -11271,6 +11266,79 @@ public class DiagnosticsUsingJavacTestGenerated extends AbstractDiagnosticsUsing
                 }
             }
 
+            @TestMetadata("compiler/testData/diagnostics/tests/inference/recursiveTypes")
+            @TestDataPath("$PROJECT_ROOT")
+            @RunWith(JUnit3RunnerWithInners.class)
+            public static class RecursiveTypes extends AbstractDiagnosticsUsingJavacTest {
+                private void runTest(String testDataFilePath) throws Exception {
+                    KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+                }
+
+                public void testAllFilesPresentInRecursiveTypes() throws Exception {
+                    KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/tests/inference/recursiveTypes"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+                }
+
+                @TestMetadata("multirecursion.kt")
+                public void testMultirecursion() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/multirecursion.kt");
+                }
+
+                @TestMetadata("recursiveInIn.kt")
+                public void testRecursiveInIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInIn.kt");
+                }
+
+                @TestMetadata("recursiveInInv.kt")
+                public void testRecursiveInInv() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInInv.kt");
+                }
+
+                @TestMetadata("recursiveInOut.kt")
+                public void testRecursiveInOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInOut.kt");
+                }
+
+                @TestMetadata("recursiveInvIn.kt")
+                public void testRecursiveInvIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvIn.kt");
+                }
+
+                @TestMetadata("recursiveInvOut.kt")
+                public void testRecursiveInvOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveInvOut.kt");
+                }
+
+                @TestMetadata("recursiveOutIn.kt")
+                public void testRecursiveOutIn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutIn.kt");
+                }
+
+                @TestMetadata("recursiveOutInv.kt")
+                public void testRecursiveOutInv() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutInv.kt");
+                }
+
+                @TestMetadata("recursiveOutOut.kt")
+                public void testRecursiveOutOut() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveOutOut.kt");
+                }
+
+                @TestMetadata("recursiveTypeWithNonStarResult.kt")
+                public void testRecursiveTypeWithNonStarResult() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypeWithNonStarResult.kt");
+                }
+
+                @TestMetadata("recursiveTypes.kt")
+                public void testRecursiveTypes() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/recursiveTypes.kt");
+                }
+
+                @TestMetadata("twoTypeConstructors.kt")
+                public void testTwoTypeConstructors() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/recursiveTypes/twoTypeConstructors.kt");
+                }
+            }
+
             @TestMetadata("compiler/testData/diagnostics/tests/inference/regressions")
             @TestDataPath("$PROJECT_ROOT")
             @RunWith(JUnit3RunnerWithInners.class)