diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetCallExpression.java b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetCallExpression.java
index 3d208f266a2..987a7481529 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetCallExpression.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetCallExpression.java
@@ -6,6 +6,7 @@ import com.intellij.util.SmartList;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.JetNodeTypes;
+import org.jetbrains.jet.lexer.JetTokens;
 
 import java.util.Collections;
 import java.util.List;
@@ -49,26 +50,31 @@ public class JetCallExpression extends JetExpression implements JetCallElement {
     @NotNull
     public List<JetExpression> getFunctionLiteralArguments() {
         JetExpression calleeExpression = getCalleeExpression();
+        ASTNode node;
         if (calleeExpression instanceof JetFunctionLiteralExpression) {
-            List<JetExpression> result = new SmartList<JetExpression>();
-            ASTNode treeNext = calleeExpression.getNode().getTreeNext();
-            while (treeNext != null) {
-                PsiElement psi = treeNext.getPsi();
-                if (psi instanceof JetFunctionLiteralExpression) {
-                    result.add((JetFunctionLiteralExpression) psi);
-                }
-                else if (psi instanceof JetLabelQualifiedExpression) {
-                    JetLabelQualifiedExpression labelQualifiedExpression = (JetLabelQualifiedExpression) psi;
-                    JetExpression labeledExpression = labelQualifiedExpression.getLabeledExpression();
+            node = calleeExpression.getNode().getTreeNext();
+        }
+        else {
+            node = getNode().getFirstChildNode();
+        }
+        List<JetExpression> result = new SmartList<JetExpression>();
+        while (node != null) {
+            PsiElement psi = node.getPsi();
+            if (psi instanceof JetFunctionLiteralExpression) {
+                result.add((JetFunctionLiteralExpression) psi);
+            }
+            else if (psi instanceof JetPrefixExpression) {
+                JetPrefixExpression prefixExpression = (JetPrefixExpression) psi;
+                if (JetTokens.LABELS.contains(prefixExpression.getOperationSign().getReferencedNameElementType())) {
+                    JetExpression labeledExpression = prefixExpression.getBaseExpression();
                     if (labeledExpression instanceof JetFunctionLiteralExpression) {
                         result.add(labeledExpression);
                     }
                 }
-                treeNext = treeNext.getTreeNext();
             }
-            return result;
+            node = node.getTreeNext();
         }
-        return findChildrenByType(JetNodeTypes.FUNCTION_LITERAL_EXPRESSION);
+        return result;
     }
 
     @Override
diff --git a/compiler/testData/checkerWithErrorTypes/quick/regressions/kt439.jet b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt439.jet
new file mode 100644
index 00000000000..49bd3b8b550
--- /dev/null
+++ b/compiler/testData/checkerWithErrorTypes/quick/regressions/kt439.jet
@@ -0,0 +1,7 @@
+// KT-439 Support labeled function lliterals in call arguments
+
+inline fun run1<T>(body : fun() : T) : T = body()
+
+fun main1(args : Array<String>) {
+    run1 @l{ 1 } // should not be an error
+}