diff --git a/shell/ash.c b/shell/ash.c
index bffb4a245..a885514d3 100644
--- a/shell/ash.c
+++ b/shell/ash.c
@@ -8408,6 +8408,8 @@ evaltree(union node *n, int flags)
 		evalfn = evalloop;
 		goto calleval;
 	case NSUBSHELL:
+		evalfn = evalsubshell;
+		goto checkexit;
 	case NBACKGND:
 		evalfn = evalsubshell;
 		goto calleval;
diff --git a/shell/ash_test/ash-misc/errexit1.right b/shell/ash_test/ash-misc/errexit1.right
new file mode 100644
index 000000000..d86bac9de
--- /dev/null
+++ b/shell/ash_test/ash-misc/errexit1.right
@@ -0,0 +1 @@
+OK
diff --git a/shell/ash_test/ash-misc/errexit1.tests b/shell/ash_test/ash-misc/errexit1.tests
new file mode 100755
index 000000000..7b4a15634
--- /dev/null
+++ b/shell/ash_test/ash-misc/errexit1.tests
@@ -0,0 +1,5 @@
+set -e
+(true)
+echo OK
+(false)
+echo FAIL