diff --git a/tests/test-merge8 b/tests/test-merge8
new file mode 100755
--- /dev/null
+++ b/tests/test-merge8
@@ -0,0 +1,19 @@
+#!/bin/sh
+
+# Test for changeset ba7c74081861
+# (update dirstate correctly for non-branchmerge updates)
+hg init a
+cd a
+echo a > a
+hg add a
+hg commit -m a
+cd ..
+hg clone a b
+cd a
+hg mv a b
+hg commit -m move
+echo b >> b
+hg commit -m b
+cd ../b
+hg pull ../a
+hg update