diff --git a/idea/src/org/jetbrains/kotlin/idea/intentions/JoinDeclarationAndAssignmentIntention.kt b/idea/src/org/jetbrains/kotlin/idea/intentions/JoinDeclarationAndAssignmentIntention.kt
index b42c17fe018..81910e6e710 100644
--- a/idea/src/org/jetbrains/kotlin/idea/intentions/JoinDeclarationAndAssignmentIntention.kt
+++ b/idea/src/org/jetbrains/kotlin/idea/intentions/JoinDeclarationAndAssignmentIntention.kt
@@ -78,6 +78,8 @@ class JoinDeclarationAndAssignmentIntention : SelfTargetingOffsetIndependentInte
         val initializer = assignment.right ?: return
         val newInitializer = element.setInitializer(initializer)!!
 
+        if (element.hasModifier(KtTokens.LATEINIT_KEYWORD)) element.removeModifier(KtTokens.LATEINIT_KEYWORD)
+
         val initializerBlock = assignment.parent.parent as? KtAnonymousInitializer
         assignment.delete()
         if (initializerBlock != null && (initializerBlock.body as? KtBlockExpression)?.isEmpty() == true) {
diff --git a/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt b/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt
new file mode 100644
index 00000000000..94f4aef1878
--- /dev/null
+++ b/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt
@@ -0,0 +1,5 @@
+fun foo(a: String, b: String) {
+    lateinit var c: String<caret>
+    c = a
+    c = b
+}
\ No newline at end of file
diff --git a/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt.after b/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt.after
new file mode 100644
index 00000000000..fd6204f8b92
--- /dev/null
+++ b/idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt.after
@@ -0,0 +1,4 @@
+fun foo(a: String, b: String) {
+    var c<selection>: String</selection><caret> = a
+    c = b
+}
\ No newline at end of file
diff --git a/idea/tests/org/jetbrains/kotlin/idea/intentions/IntentionTestGenerated.java b/idea/tests/org/jetbrains/kotlin/idea/intentions/IntentionTestGenerated.java
index a19157ec334..425999ebfe2 100644
--- a/idea/tests/org/jetbrains/kotlin/idea/intentions/IntentionTestGenerated.java
+++ b/idea/tests/org/jetbrains/kotlin/idea/intentions/IntentionTestGenerated.java
@@ -9848,6 +9848,12 @@ public class IntentionTestGenerated extends AbstractIntentionTest {
             doTest(fileName);
         }
 
+        @TestMetadata("hasLateinit.kt")
+        public void testHasLateinit() throws Exception {
+            String fileName = KotlinTestUtils.navigationMetadata("idea/testData/intentions/joinDeclarationAndAssignment/hasLateinit.kt");
+            doTest(fileName);
+        }
+
         @TestMetadata("incorrectConditionalAssignment.kt")
         public void testIncorrectConditionalAssignment() throws Exception {
             String fileName = KotlinTestUtils.navigationMetadata("idea/testData/intentions/joinDeclarationAndAssignment/incorrectConditionalAssignment.kt");