diff --git a/compiler/frontend/src/org/jetbrains/kotlin/resolve/DescriptorResolver.java b/compiler/frontend/src/org/jetbrains/kotlin/resolve/DescriptorResolver.java
index 6bbac29d8f4..8b139bded99 100644
--- a/compiler/frontend/src/org/jetbrains/kotlin/resolve/DescriptorResolver.java
+++ b/compiler/frontend/src/org/jetbrains/kotlin/resolve/DescriptorResolver.java
@@ -457,6 +457,20 @@ public class DescriptorResolver {
         }
     }
 
+    public JetType resolveTypeParameterExtendsBound(
+            @NotNull TypeParameterDescriptor typeParameterDescriptor,
+            @NotNull JetTypeReference extendsBound,
+            JetScope scope,
+            BindingTrace trace
+    ) {
+        JetType type = typeResolver.resolveType(scope, extendsBound, trace, false);
+        if (type.getConstructor().equals(typeParameterDescriptor.getTypeConstructor())) {
+            trace.report(Errors.CYCLIC_GENERIC_UPPER_BOUND.on(extendsBound));
+            type = ErrorUtils.createErrorType("Cyclic upper bound: " + type);
+        }
+        return type;
+    }
+
     public void resolveGenericBounds(
             @NotNull JetTypeParameterListOwner declaration,
             @NotNull DeclarationDescriptor descriptor,
@@ -476,11 +490,7 @@ public class DescriptorResolver {
 
             JetTypeReference extendsBound = jetTypeParameter.getExtendsBound();
             if (extendsBound != null) {
-                JetType type = typeResolver.resolveType(scope, extendsBound, trace, false);
-                if (type.getConstructor().equals(typeParameterDescriptor.getTypeConstructor())) {
-                    trace.report(Errors.CYCLIC_GENERIC_UPPER_BOUND.on(extendsBound));
-                    type = ErrorUtils.createErrorType("Cyclic upper bound: " + type);
-                }
+                JetType type = resolveTypeParameterExtendsBound(typeParameterDescriptor, extendsBound, scope, trace);
                 typeParameterDescriptor.addUpperBound(type);
                 deferredUpperBoundCheckerTasks.add(new UpperBoundCheckerTask(extendsBound, type));
             }
diff --git a/compiler/frontend/src/org/jetbrains/kotlin/resolve/TypeResolver.kt b/compiler/frontend/src/org/jetbrains/kotlin/resolve/TypeResolver.kt
index 8b2d1863b2e..d6436ddecc9 100644
--- a/compiler/frontend/src/org/jetbrains/kotlin/resolve/TypeResolver.kt
+++ b/compiler/frontend/src/org/jetbrains/kotlin/resolve/TypeResolver.kt
@@ -216,7 +216,7 @@ public class TypeResolver(
                 if (baseType.isNullable() || innerType is JetNullableType || innerType is JetDynamicType) {
                     c.trace.report(REDUNDANT_NULLABLE.on(nullableType))
                 }
-                else if (!baseType.isBare() && TypeUtils.hasNullableSuperType(baseType.getActualType())) {
+                else if (c.checkBounds && !baseType.isBare() && TypeUtils.hasNullableSuperType(baseType.getActualType())) {
                     c.trace.report(BASE_WITH_NULLABLE_UPPER_BOUND.on(nullableType, baseType.getActualType()))
                 }
                 result = baseType.makeNullable()
diff --git a/compiler/frontend/src/org/jetbrains/kotlin/resolve/lazy/descriptors/LazyTypeParameterDescriptor.java b/compiler/frontend/src/org/jetbrains/kotlin/resolve/lazy/descriptors/LazyTypeParameterDescriptor.java
index 2ac33a31c48..2d6129f077e 100644
--- a/compiler/frontend/src/org/jetbrains/kotlin/resolve/lazy/descriptors/LazyTypeParameterDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/kotlin/resolve/lazy/descriptors/LazyTypeParameterDescriptor.java
@@ -19,6 +19,7 @@ package org.jetbrains.kotlin.resolve.lazy.descriptors;
 import com.google.common.collect.Sets;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.kotlin.descriptors.impl.AbstractLazyTypeParameterDescriptor;
+import org.jetbrains.kotlin.diagnostics.Errors;
 import org.jetbrains.kotlin.lexer.JetTokens;
 import org.jetbrains.kotlin.psi.*;
 import org.jetbrains.kotlin.resolve.BindingContext;
@@ -26,6 +27,7 @@ import org.jetbrains.kotlin.resolve.DescriptorResolver;
 import org.jetbrains.kotlin.resolve.lazy.ForceResolveUtil;
 import org.jetbrains.kotlin.resolve.lazy.LazyClassContext;
 import org.jetbrains.kotlin.resolve.lazy.LazyEntity;
+import org.jetbrains.kotlin.types.ErrorUtils;
 import org.jetbrains.kotlin.types.JetType;
 
 import java.util.Set;
@@ -66,7 +68,9 @@ public class LazyTypeParameterDescriptor extends AbstractLazyTypeParameterDescri
 
         JetTypeReference extendsBound = jetTypeParameter.getExtendsBound();
         if (extendsBound != null) {
-            upperBounds.add(resolveBoundType(extendsBound));
+            JetType boundType = c.getDescriptorResolver().resolveTypeParameterExtendsBound(
+                    this, extendsBound, getContainingDeclaration().getScopeForClassHeaderResolution(), c.getTrace());
+            upperBounds.add(boundType);
         }
 
         resolveUpperBoundsFromWhereClause(upperBounds);
diff --git a/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.kt b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.kt
new file mode 100644
index 00000000000..7745a4f9972
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.kt
@@ -0,0 +1 @@
+class MyClass<T: <!CYCLIC_GENERIC_UPPER_BOUND!>T?<!>>
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.txt b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.txt
new file mode 100644
index 00000000000..b3dc9bfffd8
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.txt
@@ -0,0 +1,8 @@
+package
+
+internal final class MyClass</*0*/ T : [ERROR : Cyclic upper bound: T?]> {
+    public constructor MyClass</*0*/ T : [ERROR : Cyclic upper bound: 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/regressions/itselfAsUpperBoundInClassNotNull.kt b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.kt
new file mode 100644
index 00000000000..47ec80cc903
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.kt
@@ -0,0 +1 @@
+class MyClass<T: <!CYCLIC_GENERIC_UPPER_BOUND!>T<!>>
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.txt b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.txt
new file mode 100644
index 00000000000..ff4c5ac4e07
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.txt
@@ -0,0 +1,8 @@
+package
+
+internal final class MyClass</*0*/ T : [ERROR : Cyclic upper bound: T]> {
+    public constructor MyClass</*0*/ T : [ERROR : Cyclic upper bound: 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/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java
index f39ed158222..de4ce2d3559 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java
@@ -10260,6 +10260,18 @@ public class JetDiagnosticsTestGenerated extends AbstractJetDiagnosticsTest {
                 doTest(fileName);
             }
 
+            @TestMetadata("itselfAsUpperBoundInClass.kt")
+            public void testItselfAsUpperBoundInClass() throws Exception {
+                String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClass.kt");
+                doTest(fileName);
+            }
+
+            @TestMetadata("itselfAsUpperBoundInClassNotNull.kt")
+            public void testItselfAsUpperBoundInClassNotNull() throws Exception {
+                String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundInClassNotNull.kt");
+                doTest(fileName);
+            }
+
             @TestMetadata("itselfAsUpperBoundLocal.kt")
             public void testItselfAsUpperBoundLocal() throws Exception {
                 String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/regressions/itselfAsUpperBoundLocal.kt");