diff --git a/compiler/resolution/src/org/jetbrains/kotlin/contracts/model/functors/IsFunctor.kt b/compiler/resolution/src/org/jetbrains/kotlin/contracts/model/functors/IsFunctor.kt
index e3ff55ad804..648125c9207 100644
--- a/compiler/resolution/src/org/jetbrains/kotlin/contracts/model/functors/IsFunctor.kt
+++ b/compiler/resolution/src/org/jetbrains/kotlin/contracts/model/functors/IsFunctor.kt
@@ -29,22 +29,17 @@ class IsFunctor(val type: KotlinType, val isNegated: Boolean) : AbstractReducing
 
     fun invokeWithArguments(arg: Computation): List<ESEffect> {
         return if (arg is ESValue)
-            invokeWithValue(arg, null)
+            invokeWithValue(arg)
         else
-            arg.effects.flatMap {
-                if (it !is ConditionalEffect || it.simpleEffect !is ESReturns || it.simpleEffect.value == ESConstant.WILDCARD)
-                    listOf(it)
-                else
-                    invokeWithValue(it.simpleEffect.value, it.condition)
-            }
+            emptyList()
     }
 
-    private fun invokeWithValue(value: ESValue, additionalCondition: ESExpression?): List<ConditionalEffect> {
+    private fun invokeWithValue(value: ESValue): List<ConditionalEffect> {
         val trueIs = ESIs(value, this)
         val falseIs = ESIs(value, IsFunctor(type, isNegated.not()))
 
-        val trueResult = ConditionalEffect(trueIs.and(additionalCondition), ESReturns(true.lift()))
-        val falseResult = ConditionalEffect(falseIs.and(additionalCondition), ESReturns(false.lift()))
+        val trueResult = ConditionalEffect(trueIs, ESReturns(true.lift()))
+        val falseResult = ConditionalEffect(falseIs, ESReturns(false.lift()))
         return listOf(trueResult, falseResult)
     }
 }
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.kt b/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.kt
index 892df9c1bb4..719b21a4480 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.kt
+++ b/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.kt
@@ -6,6 +6,6 @@ import kotlin.contracts.*
 
 fun f3(value: String?) {
     if (<!USELESS_IS_CHECK!>!value.isNullOrEmpty() is Boolean<!>) {
-        <!DEBUG_INFO_SMARTCAST!>value<!>.length
+        value<!UNSAFE_CALL!>.<!>length
     }
 }
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.txt b/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.txt
index 267a3e4b146..7780a7bf0ea 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.txt
+++ b/compiler/testData/diagnostics/testsWithStdLib/contracts/smartcasts/valueOfContractedFunctionIngored.txt
@@ -1,4 +1,3 @@
 package
 
-public fun myIf(/*0*/ cond: kotlin.Boolean): kotlin.Any
-public fun test(/*0*/ x: kotlin.Any?): kotlin.Unit
+public fun f3(/*0*/ value: kotlin.String?): kotlin.Unit
diff --git a/compiler/tests-spec/testData/diagnostics/notLinked/contracts/analysis/smartcasts/neg/15.kt b/compiler/tests-spec/testData/diagnostics/notLinked/contracts/analysis/smartcasts/neg/15.kt
index 41e89f4f24f..e559b576d4d 100644
--- a/compiler/tests-spec/testData/diagnostics/notLinked/contracts/analysis/smartcasts/neg/15.kt
+++ b/compiler/tests-spec/testData/diagnostics/notLinked/contracts/analysis/smartcasts/neg/15.kt
@@ -7,7 +7,6 @@
  * SECTIONS: contracts, analysis, smartcasts
  * NUMBER: 15
  * DESCRIPTION: Check smartcasts working if type checking for contract function is used
- * UNEXPECTED BEHAVIOUR
  * ISSUES: KT-27241
  */
 
@@ -40,20 +39,20 @@ import contracts.*
 // TESTCASE NUMBER: 1
 fun case_1(value: Any) {
     if (contracts.case_1_2(contracts.case_1_1(value is Char))) {
-        println(<!DEBUG_INFO_SMARTCAST!>value<!>.category)
+        println(value.<!UNRESOLVED_REFERENCE_WRONG_RECEIVER!>category<!>)
     }
 }
 
 // TESTCASE NUMBER: 2
 fun case_2(value: Any) {
     if (contracts.case_2(value is Char) is Boolean) {
-        println(<!DEBUG_INFO_SMARTCAST!>value<!>.category)
+        println(value.<!UNRESOLVED_REFERENCE_WRONG_RECEIVER!>category<!>)
     }
 }
 
 // TESTCASE NUMBER: 3
 fun case_3(value: String?) {
     if (<!USELESS_IS_CHECK!>!value.isNullOrEmpty() is Boolean<!>) {
-        <!DEBUG_INFO_SMARTCAST!>value<!>.length
+        value<!UNSAFE_CALL!>.<!>length
     }
 }