diff --git a/compiler/testData/diagnostics/tests/regressions/kt5326.kt b/compiler/testData/diagnostics/tests/regressions/kt5326.kt
new file mode 100644
index 00000000000..ddb458e3265
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/kt5326.kt
@@ -0,0 +1,11 @@
+class A<T> {
+    fun size() = 0
+}
+
+class Foo<T>(<!UNUSED_PARAMETER!>i<!>: Int)
+
+public fun Foo<E>(c: A<E>) {
+    val <!UNUSED_VARIABLE!>a<!> = Foo<E>(c.size())       // Check no overload resolution ambiguity
+    val <!UNUSED_VARIABLE!>b<!>: Foo<E> = Foo(c.size())  // OK
+    val <!NAME_SHADOWING, UNUSED_VARIABLE!>c<!>: Foo<Int> = Foo(c.size()) // OK
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/regressions/kt5326.txt b/compiler/testData/diagnostics/tests/regressions/kt5326.txt
new file mode 100644
index 00000000000..26e9f00df88
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/regressions/kt5326.txt
@@ -0,0 +1,18 @@
+package
+
+public fun </*0*/ E> Foo(/*0*/ c: A<E>): kotlin.Unit
+
+internal final class A</*0*/ T> {
+    public constructor A</*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
+    internal final fun size(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+internal final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>(/*0*/ i: kotlin.Int)
+    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 c2d72b1543a..0c5514a0981 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/JetDiagnosticsTestGenerated.java
@@ -10704,6 +10704,12 @@ public class JetDiagnosticsTestGenerated extends AbstractJetDiagnosticsTest {
                 doTest(fileName);
             }
 
+            @TestMetadata("kt5326.kt")
+            public void testKt5326() throws Exception {
+                String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/regressions/kt5326.kt");
+                doTest(fileName);
+            }
+
             @TestMetadata("kt549.kt")
             public void testKt549() throws Exception {
                 String fileName = JetTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/regressions/kt549.kt");