diff --git a/compiler/frontend/src/org/jetbrains/kotlin/types/CommonSupertypes.java b/compiler/frontend/src/org/jetbrains/kotlin/types/CommonSupertypes.java
index 8259a439970..4cfd5b09d13 100644
--- a/compiler/frontend/src/org/jetbrains/kotlin/types/CommonSupertypes.java
+++ b/compiler/frontend/src/org/jetbrains/kotlin/types/CommonSupertypes.java
@@ -256,8 +256,8 @@ public class CommonSupertypes {
 
         if (recursionDepth >= maxDepth) {
             // If recursion is too deep, we cut it by taking <out Any?> as an ultimate supertype argument
-            // Example: class A : Base<A>; class B : Base<B>, commonSuperType(A, B) = Base<out Any?>
-            return new TypeProjectionImpl(OUT_VARIANCE, DescriptorUtilsKt.getBuiltIns(parameterDescriptor).getNullableAnyType());
+            // Example: class A : Base<A>; class B : Base<B>, commonSuperType(A, B) = Base<*>
+            return TypeUtils.makeStarProjection(parameterDescriptor);
         }
 
         Set<KotlinType> ins = new HashSet<KotlinType>();
@@ -312,14 +312,13 @@ public class CommonSupertypes {
             assert !ins.isEmpty() : "In projections is empty for parameter " + parameterDescriptor + ", type projections " + typeProjections;
             KotlinType intersection = TypeIntersector.intersectTypes(KotlinTypeChecker.DEFAULT, ins);
             if (intersection == null) {
-                return new TypeProjectionImpl(OUT_VARIANCE, findCommonSupertype(parameterDescriptor.getUpperBounds(), recursionDepth + 1, maxDepth));
+                return TypeUtils.makeStarProjection(parameterDescriptor);
             }
             Variance projectionKind = variance == IN_VARIANCE ? Variance.INVARIANT : IN_VARIANCE;
             return new TypeProjectionImpl(projectionKind, intersection);
         }
         else {
-            Variance projectionKind = variance == OUT_VARIANCE ? Variance.INVARIANT : OUT_VARIANCE;
-            return new TypeProjectionImpl(projectionKind, findCommonSupertype(parameterDescriptor.getUpperBounds(), recursionDepth + 1, maxDepth));
+            return TypeUtils.makeStarProjection(parameterDescriptor);
         }
     }
 
diff --git a/compiler/testData/codegen/box/regressions/commonSupertypeContravariant.kt b/compiler/testData/codegen/box/regressions/commonSupertypeContravariant.kt
new file mode 100644
index 00000000000..8fb7e750367
--- /dev/null
+++ b/compiler/testData/codegen/box/regressions/commonSupertypeContravariant.kt
@@ -0,0 +1,11 @@
+interface In<in E>
+
+class En<T> : In<T>
+class A : In<A>
+fun <T> select(x: T, y: T): T = x ?: y
+
+// This test just checks that no internal error happens in backend
+// Return type should be In<*> nor In<out Any?>
+fun foobar(e: En<*>) = select(A(), e)
+
+fun box() = "OK"
diff --git a/compiler/testData/codegen/box/regressions/commonSupertypeContravariant2.kt b/compiler/testData/codegen/box/regressions/commonSupertypeContravariant2.kt
new file mode 100644
index 00000000000..959eaf527aa
--- /dev/null
+++ b/compiler/testData/codegen/box/regressions/commonSupertypeContravariant2.kt
@@ -0,0 +1,9 @@
+interface In<in E>
+class A : In<A>
+class B : In<B>
+fun <T> select(x: T, y: T) = x ?: y
+
+// This test just checks that no internal error happens in backend
+fun foobar(a: A, b: B) = select(a, b)
+
+fun box() = "OK"
diff --git a/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.kt b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.kt
new file mode 100644
index 00000000000..bd96b300d41
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.kt
@@ -0,0 +1,8 @@
+interface In<in E>
+
+class En<T> : In<T>
+class A : In<A>
+fun <T> select(x: T, y: T): T = x ?: y
+
+// Return type should be In<*> nor In<out Any?>
+fun foobar(e: En<*>) = select(A(), e)
diff --git a/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.txt b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.txt
new file mode 100644
index 00000000000..72f4b8c32ac
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.txt
@@ -0,0 +1,24 @@
+package
+
+public fun foobar(/*0*/ e: En<*>): In<*>
+public fun </*0*/ T> select(/*0*/ x: T, /*1*/ y: T): T
+
+public final class A : In<A> {
+    public constructor A()
+    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
+}
+
+public final class En</*0*/ T> : In<T> {
+    public constructor En</*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
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface In</*0*/ in E> {
+    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/generics/commonSupertypeContravariant2.kt b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.kt
new file mode 100644
index 00000000000..27abc740e87
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.kt
@@ -0,0 +1,7 @@
+interface In<in E>
+class A : In<A>
+class B : In<B>
+fun <T> select(x: T, y: T) = x ?: y
+
+// Return type should be In<*> nor In<out Any?>
+fun foobar(a: A, b: B) = select(a, b)
diff --git a/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.txt b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.txt
new file mode 100644
index 00000000000..6ea7febbbc0
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.txt
@@ -0,0 +1,24 @@
+package
+
+public fun foobar(/*0*/ a: A, /*1*/ b: B): In<*>
+public fun </*0*/ T> select(/*0*/ x: T, /*1*/ y: T): T
+
+public final class A : In<A> {
+    public constructor A()
+    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
+}
+
+public final class B : In<B> {
+    public constructor B()
+    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
+}
+
+public interface In</*0*/ in E> {
+    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/DiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
index 2b4dd840015..413f225a279 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
@@ -6939,6 +6939,18 @@ public class DiagnosticsTestGenerated extends AbstractDiagnosticsTest {
                 doTest(fileName);
             }
 
+            @TestMetadata("commonSupertypeContravariant.kt")
+            public void testCommonSupertypeContravariant() throws Exception {
+                String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant.kt");
+                doTest(fileName);
+            }
+
+            @TestMetadata("commonSupertypeContravariant2.kt")
+            public void testCommonSupertypeContravariant2() throws Exception {
+                String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/generics/commonSupertypeContravariant2.kt");
+                doTest(fileName);
+            }
+
             @TestMetadata("genericsInType.kt")
             public void testGenericsInType() throws Exception {
                 String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/diagnostics/tests/generics/genericsInType.kt");
diff --git a/compiler/tests/org/jetbrains/kotlin/codegen/BlackBoxCodegenTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/codegen/BlackBoxCodegenTestGenerated.java
index 96dbcc15366..f6e80f0581f 100644
--- a/compiler/tests/org/jetbrains/kotlin/codegen/BlackBoxCodegenTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/codegen/BlackBoxCodegenTestGenerated.java
@@ -11833,6 +11833,18 @@ public class BlackBoxCodegenTestGenerated extends AbstractBlackBoxCodegenTest {
             doTest(fileName);
         }
 
+        @TestMetadata("commonSupertypeContravariant.kt")
+        public void testCommonSupertypeContravariant() throws Exception {
+            String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/codegen/box/regressions/commonSupertypeContravariant.kt");
+            doTest(fileName);
+        }
+
+        @TestMetadata("commonSupertypeContravariant2.kt")
+        public void testCommonSupertypeContravariant2() throws Exception {
+            String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/codegen/box/regressions/commonSupertypeContravariant2.kt");
+            doTest(fileName);
+        }
+
         @TestMetadata("doubleMerge.kt")
         public void testDoubleMerge() throws Exception {
             String fileName = KotlinTestUtils.navigationMetadata("compiler/testData/codegen/box/regressions/doubleMerge.kt");