diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
index 1db48c9188c..f2fa84c13c3 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/Errors.java
@@ -385,7 +385,7 @@ public interface Errors {
     DiagnosticFactory0<JetExpression> DANGLING_FUNCTION_LITERAL_ARGUMENT_SUSPECTED = DiagnosticFactory0.create(WARNING);
 
     DiagnosticFactory1<PsiElement, TypeParameterDescriptor> TYPE_PARAMETER_AS_REIFIED = DiagnosticFactory1.create(ERROR);
-    DiagnosticFactory1<PsiElement, JetType> REIFIED_TYPE_NOTHING_SUBSTITUTION = DiagnosticFactory1.create(ERROR);
+    DiagnosticFactory1<PsiElement, JetType> REIFIED_TYPE_FORBIDDEN_SUBSTITUTION = DiagnosticFactory1.create(ERROR);
 
     // Type inference
 
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/rendering/DefaultErrorMessages.java b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/rendering/DefaultErrorMessages.java
index 85c0a8050c1..39b1fd562c5 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/rendering/DefaultErrorMessages.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/diagnostics/rendering/DefaultErrorMessages.java
@@ -486,7 +486,7 @@ public class DefaultErrorMessages {
 
         MAP.put(TYPE_PARAMETER_AS_REIFIED, "Cannot use ''{0}'' as reified type parameter. Use a class instead.", NAME);
         MAP.put(REIFIED_TYPE_PARAMETER_NO_INLINE, "Only type parameters of inline functions can be reified");
-        MAP.put(REIFIED_TYPE_NOTHING_SUBSTITUTION, "Cannot use ''{0}'' as reified type parameter", RENDER_TYPE);
+        MAP.put(REIFIED_TYPE_FORBIDDEN_SUBSTITUTION, "Cannot use ''{0}'' as reified type parameter", RENDER_TYPE);
 
         MAP.put(SUPERTYPES_FOR_ANNOTATION_CLASS, "Annotation class cannot have supertypes");
         MAP.put(MISSING_VAL_ON_ANNOTATION_PARAMETER, "'val' keyword is missing on annotation parameter");
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/calls/ReifiedTypeParameterSubstitutionCheck.java b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/calls/ReifiedTypeParameterSubstitutionCheck.java
index 4079392d62d..7668e3a1f63 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/resolve/calls/ReifiedTypeParameterSubstitutionCheck.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/resolve/calls/ReifiedTypeParameterSubstitutionCheck.java
@@ -26,6 +26,7 @@ import org.jetbrains.jet.lang.psi.JetExpression;
 import org.jetbrains.jet.lang.resolve.calls.context.BasicCallResolutionContext;
 import org.jetbrains.jet.lang.resolve.calls.model.ResolvedCall;
 import org.jetbrains.jet.lang.types.JetType;
+import org.jetbrains.jet.lang.types.TypesPackage;
 import org.jetbrains.jet.lang.types.lang.KotlinBuiltIns;
 
 import java.util.Map;
@@ -49,8 +50,8 @@ public class ReifiedTypeParameterSubstitutionCheck implements CallResolverExtens
                             Errors.TYPE_PARAMETER_AS_REIFIED.on(getCallElement(context), parameter)
                     );
                 }
-                else if (KotlinBuiltIns.getInstance().isNothingOrNullableNothing(argument)) {
-                    context.trace.report(Errors.REIFIED_TYPE_NOTHING_SUBSTITUTION.on(getCallElement(context), argument));
+                else if (KotlinBuiltIns.getInstance().isNothingOrNullableNothing(argument) || TypesPackage.isDynamic(argument)) {
+                    context.trace.report(Errors.REIFIED_TYPE_FORBIDDEN_SUBSTITUTION.on(getCallElement(context), argument));
                 }
             }
         }
diff --git a/compiler/testData/diagnostics/tests/dynamicTypes/reified.kt b/compiler/testData/diagnostics/tests/dynamicTypes/reified.kt
new file mode 100644
index 00000000000..2bdb3feb1a8
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/dynamicTypes/reified.kt
@@ -0,0 +1,15 @@
+// !DIAGNOSTICS: -UNUSED_PARAMETER
+
+// MODULE[js]: m1
+// FILE: k.kt
+
+fun <reified T> foo(t: T) {}
+class C<reified T>(t: T)
+
+fun test(d: dynamic) {
+    <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>foo<!><dynamic>(d)
+    <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>foo<!>(d)
+
+    <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>C<!><dynamic>(d)
+    <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>C<!>(d)
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/dynamicTypes/reified.txt b/compiler/testData/diagnostics/tests/dynamicTypes/reified.txt
new file mode 100644
index 00000000000..017c9b122a2
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/dynamicTypes/reified.txt
@@ -0,0 +1,11 @@
+package
+
+internal fun </*0*/ reified T> foo(/*0*/ t: T): kotlin.Unit
+internal fun test(/*0*/ d: dynamic): kotlin.Unit
+
+internal final class C</*0*/ reified T> {
+    public constructor C</*0*/ reified T>(/*0*/ t: 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/reified/reifiedNothingSubstitution.kt b/compiler/testData/diagnostics/testsWithStdLib/reified/reifiedNothingSubstitution.kt
index 13751a433b8..076a03f79cf 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/reified/reifiedNothingSubstitution.kt
+++ b/compiler/testData/diagnostics/testsWithStdLib/reified/reifiedNothingSubstitution.kt
@@ -3,12 +3,12 @@
 inline fun<reified T> foo(block: () -> T): String = block().toString()
 
 fun box() {
-    val a = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>array<!>(null!!)
-    val b = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>Array<!><Nothing?>(5) { null!! }
-    val c = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>foo<!>() { null!! }
+    val a = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>array<!>(null!!)
+    val b = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>Array<!><Nothing?>(5) { null!! }
+    val c = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>foo<!>() { null!! }
     val d = foo<Any> { null!! }
-    val e = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>foo<!> { "1" as Nothing }
-    val e1 = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>foo<!> { "1" as Nothing? }
+    val e = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>foo<!> { "1" as Nothing }
+    val e1 = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>foo<!> { "1" as Nothing? }
 
-    val f = <!REIFIED_TYPE_NOTHING_SUBSTITUTION!>javaClass<!><Nothing>()
+    val f = <!REIFIED_TYPE_FORBIDDEN_SUBSTITUTION!>javaClass<!><Nothing>()
 }
diff --git a/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
index 4c6661c1687..b1952205fa8 100644
--- a/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
@@ -3836,6 +3836,12 @@ public class JetDiagnosticsTestGenerated extends AbstractJetDiagnosticsTest {
                 doTest(fileName);
             }
 
+            @TestMetadata("reified.kt")
+            public void testReified() throws Exception {
+                String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/dynamicTypes/reified.kt");
+                doTest(fileName);
+            }
+
             @TestMetadata("smartCast.kt")
             public void testSmartCast() throws Exception {
                 String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/dynamicTypes/smartCast.kt");