diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/VariableFixationFinder.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/VariableFixationFinder.kt
index 91bb087104c..3583da575f2 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/VariableFixationFinder.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/VariableFixationFinder.kt
@@ -70,7 +70,7 @@ class VariableFixationFinder(
         isReified(variable) -> TypeVariableFixationReadiness.READY_FOR_FIXATION_REIFIED
         inferenceCompatibilityModeEnabled -> {
             when {
-                variableHasLowerProperConstraint(variable) -> TypeVariableFixationReadiness.READY_FOR_FIXATION_LOWER
+                variableHasLowerNonNothingProperConstraint(variable) -> TypeVariableFixationReadiness.READY_FOR_FIXATION_LOWER
                 else -> TypeVariableFixationReadiness.READY_FOR_FIXATION_UPPER
             }
         }
@@ -159,12 +159,13 @@ class VariableFixationFinder(
     private fun Context.isReified(variable: TypeConstructorMarker): Boolean =
         notFixedTypeVariables[variable]?.typeVariable?.let { isReified(it) } ?: false
 
-    private fun Context.variableHasLowerProperConstraint(variable: TypeConstructorMarker): Boolean =
-        notFixedTypeVariables[variable]?.constraints?.let { constraints ->
-            constraints.any {
-                it.kind.isLower() && isProperArgumentConstraint(it)
-            }
-        } ?: false
+    private fun Context.variableHasLowerNonNothingProperConstraint(variable: TypeConstructorMarker): Boolean {
+        val constraints = notFixedTypeVariables[variable]?.constraints ?: return false
+
+        return constraints.any {
+            it.kind.isLower() && isProperArgumentConstraint(it) && !it.type.typeConstructor().isNothingConstructor()
+        }
+    }
 }
 
 inline fun TypeSystemInferenceExtensionContext.isProperTypeForFixation(
diff --git a/compiler/testData/diagnostics/tests/inference/lambdaParameterTypeInElvis.kt b/compiler/testData/diagnostics/tests/inference/lambdaParameterTypeInElvis.kt
index 1c4ce614a63..8924f9b4924 100644
--- a/compiler/testData/diagnostics/tests/inference/lambdaParameterTypeInElvis.kt
+++ b/compiler/testData/diagnostics/tests/inference/lambdaParameterTypeInElvis.kt
@@ -10,5 +10,5 @@ fun <R : Some> Some.doWithPredicate(predicate: (R) -> Unit): R? = TODO()
 
 fun test(derived: Some) {
     val expected: Some = derived.doWithPredicate { it.method() } ?: TODO()
-    val expected2: Some = <!IMPLICIT_NOTHING_TYPE_ARGUMENT_IN_RETURN_POSITION!>elvis<!>(derived.doWithPredicate { it.<!UNRESOLVED_REFERENCE!>method<!>() }, TODO())
+    val expected2: Some = elvis(derived.doWithPredicate { it.method() }, TODO())
 }