diff --git a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosisCompilerTestFE10TestdataTestGenerated.java b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosisCompilerTestFE10TestdataTestGenerated.java
index 11802f5456f..26b7692b913 100644
--- a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosisCompilerTestFE10TestdataTestGenerated.java
+++ b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosisCompilerTestFE10TestdataTestGenerated.java
@@ -14276,6 +14276,12 @@ public class DiagnosisCompilerTestFE10TestdataTestGenerated extends AbstractDiag
                 runTest("compiler/testData/diagnostics/tests/inference/smartCastFork.kt");
             }
 
+            @Test
+            @TestMetadata("smartCastForkForExpectType.kt")
+            public void testSmartCastForkForExpectType() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt");
+            }
+
             @Test
             @TestMetadata("specialCallsWithCallableReferences.kt")
             public void testSpecialCallsWithCallableReferences() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
index 7f818c757e7..72997bd2a26 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
@@ -14276,6 +14276,12 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirDiagnosti
                 runTest("compiler/testData/diagnostics/tests/inference/smartCastFork.kt");
             }
 
+            @Test
+            @TestMetadata("smartCastForkForExpectType.kt")
+            public void testSmartCastForkForExpectType() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt");
+            }
+
             @Test
             @TestMetadata("specialCallsWithCallableReferences.kt")
             public void testSpecialCallsWithCallableReferences() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
index f1617953378..465c6affc41 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
@@ -14276,6 +14276,12 @@ public class FirOldFrontendDiagnosticsWithLightTreeTestGenerated extends Abstrac
                 runTest("compiler/testData/diagnostics/tests/inference/smartCastFork.kt");
             }
 
+            @Test
+            @TestMetadata("smartCastForkForExpectType.kt")
+            public void testSmartCastForkForExpectType() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt");
+            }
+
             @Test
             @TestMetadata("specialCallsWithCallableReferences.kt")
             public void testSpecialCallsWithCallableReferences() throws Exception {
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/ResolutionStages.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/ResolutionStages.kt
index 7b4372db378..52f9e085bd3 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/ResolutionStages.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/ResolutionStages.kt
@@ -683,10 +683,8 @@ internal object ConstraintSystemForks : ResolutionStage() {
     override suspend fun check(candidate: Candidate, callInfo: CallInfo, sink: CheckerSink, context: ResolutionContext) {
         if (candidate.system.hasContradiction) return
 
-        candidate.system.processForkConstraints()
-
-        if (candidate.system.hasContradiction) {
-            sink.yieldDiagnostic(candidate.system.errors.firstOrNull()?.let(::InferenceError) ?: InapplicableCandidate)
+        candidate.system.checkIfForksMightBeSuccessfullyResolved()?.let { csError ->
+            sink.yieldDiagnostic(InferenceError(csError))
         }
     }
 }
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
index 8c6f50b3840..e4b87c9c963 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
@@ -11,7 +11,10 @@ import org.jetbrains.kotlin.resolve.calls.components.PostponedArgumentsAnalyzerC
 import org.jetbrains.kotlin.resolve.calls.inference.*
 import org.jetbrains.kotlin.resolve.calls.inference.components.*
 import org.jetbrains.kotlin.resolve.checkers.EmptyIntersectionTypeInfo
-import org.jetbrains.kotlin.types.*
+import org.jetbrains.kotlin.types.AbstractTypeApproximator
+import org.jetbrains.kotlin.types.AbstractTypeChecker
+import org.jetbrains.kotlin.types.TypeApproximatorConfiguration
+import org.jetbrains.kotlin.types.isDefinitelyEmpty
 import org.jetbrains.kotlin.types.model.*
 import org.jetbrains.kotlin.utils.SmartList
 import org.jetbrains.kotlin.utils.SmartSet
@@ -372,6 +375,37 @@ class NewConstraintSystemImpl(
         }
     }
 
+    /**
+     * Checks if current state of forked constraints is not contradictory.
+     *
+     * That function is expected to be pure, i.e. it should leave the system in the same state it was found before the call.
+     *
+     * @return null if for each fork we found a possible branch that doesn't contradict with all other constraints
+     * @return non-nullable error if there's a contradiction we didn't manage to resolve
+     */
+    fun checkIfForksMightBeSuccessfullyResolved(): ConstraintSystemError? {
+        if (constraintsFromAllForkPoints.isEmpty()) return null
+
+        val allForkPointsData = constraintsFromAllForkPoints.toList()
+        constraintsFromAllForkPoints.clear()
+
+        var result: ConstraintSystemError? = null
+        runTransaction {
+            for ((position, forkPointData) in allForkPointsData) {
+                if (!processForkPointData(forkPointData, position)) {
+                    result = NoSuccessfulFork(position)
+                    break
+                }
+            }
+
+            false
+        }
+
+        constraintsFromAllForkPoints.addAll(allForkPointsData)
+
+        return result
+    }
+
     /**
      * @return true if there is a successful constraints set for the fork
      */
diff --git a/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.fir.kt b/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.fir.kt
new file mode 100644
index 00000000000..fdafdd25251
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.fir.kt
@@ -0,0 +1,28 @@
+// SKIP_TXT
+
+interface Slice<V>
+
+interface A
+interface B : A
+interface C : A
+
+val SL0: Slice<A> = TODO()
+val SL1: Slice<B> = TODO()
+val SL2: Slice<C> = TODO()
+
+fun <X> foo(s: Slice<X>): X? {
+    if (s.hashCode() == 0) {
+        return bar(s)
+    }
+
+    if (s === SL0) {
+        return bar(s)
+    }
+
+    if (s === SL1 || s === SL2) {
+        return bar(s)
+    }
+    return null
+}
+
+fun <Y> bar(w: Slice<Y>): Y? = null
diff --git a/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt b/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt
new file mode 100644
index 00000000000..6ce581f5f98
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt
@@ -0,0 +1,28 @@
+// SKIP_TXT
+
+interface Slice<V>
+
+interface A
+interface B : A
+interface C : A
+
+val SL0: Slice<A> = TODO()
+val SL1: Slice<B> = TODO()
+val SL2: Slice<C> = TODO()
+
+fun <X> foo(s: Slice<X>): X? {
+    if (s.hashCode() == 0) {
+        return bar(s)
+    }
+
+    if (s === SL0) {
+        return <!TYPE_MISMATCH, TYPE_MISMATCH!>bar(<!DEBUG_INFO_SMARTCAST!>s<!>)<!>
+    }
+
+    if (s === SL1 || s === SL2) {
+        return bar(s)
+    }
+    return null
+}
+
+fun <Y> bar(w: Slice<Y>): Y? = null
diff --git a/compiler/testData/diagnostics/tests/inference/tooEagerSmartcast.fir.kt b/compiler/testData/diagnostics/tests/inference/tooEagerSmartcast.fir.kt
index 7abe51b59f4..65e32ca6a0b 100644
--- a/compiler/testData/diagnostics/tests/inference/tooEagerSmartcast.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/tooEagerSmartcast.fir.kt
@@ -19,7 +19,7 @@ fun <X> InvBase<X>.myLastInv(): X = TODO()
 
 fun <T> fooInv(x: InvBase<T>) {
     if (x is InvDerived<*>) {
-        val l: T = <!INITIALIZER_TYPE_MISMATCH, TYPE_MISMATCH!>x.myLastInv()<!> // required T, found Cap(*). Only in NI
+        val l: T = x.myLastInv() // required T, found Cap(*). Only in NI
     }
 }
 
diff --git a/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java b/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
index 88880fe4b26..afeb692a1f5 100644
--- a/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
+++ b/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
@@ -14282,6 +14282,12 @@ public class DiagnosticTestGenerated extends AbstractDiagnosticTest {
                 runTest("compiler/testData/diagnostics/tests/inference/smartCastFork.kt");
             }
 
+            @Test
+            @TestMetadata("smartCastForkForExpectType.kt")
+            public void testSmartCastForkForExpectType() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/smartCastForkForExpectType.kt");
+            }
+
             @Test
             @TestMetadata("specialCallsWithCallableReferences.kt")
             public void testSpecialCallsWithCallableReferences() throws Exception {