diff --git a/fs/quota/dquot.c b/fs/quota/dquot.c
index 50b0556a124f2508531ce9e6fc61721aeb179cc8..52ad15192e724c00db1a6a3e2d49d0842b62ce6a 100644
--- a/fs/quota/dquot.c
+++ b/fs/quota/dquot.c
@@ -1297,21 +1297,18 @@ static int dquot_add_space(struct dquot *dquot, qsize_t space,
 	spin_lock(&dquot->dq_dqb_lock);
 	if (!sb_has_quota_limits_enabled(sb, dquot->dq_id.type) ||
 	    test_bit(DQ_FAKE_B, &dquot->dq_flags))
-		goto add;
+		goto finish;
 
 	tspace = dquot->dq_dqb.dqb_curspace + dquot->dq_dqb.dqb_rsvspace
 		+ space + rsv_space;
 
-	if (flags & DQUOT_SPACE_NOFAIL)
-		goto add;
-
 	if (dquot->dq_dqb.dqb_bhardlimit &&
 	    tspace > dquot->dq_dqb.dqb_bhardlimit &&
             !ignore_hardlimit(dquot)) {
 		if (flags & DQUOT_SPACE_WARN)
 			prepare_warning(warn, dquot, QUOTA_NL_BHARDWARN);
 		ret = -EDQUOT;
-		goto out;
+		goto finish;
 	}
 
 	if (dquot->dq_dqb.dqb_bsoftlimit &&
@@ -1322,7 +1319,7 @@ static int dquot_add_space(struct dquot *dquot, qsize_t space,
 		if (flags & DQUOT_SPACE_WARN)
 			prepare_warning(warn, dquot, QUOTA_NL_BSOFTLONGWARN);
 		ret = -EDQUOT;
-		goto out;
+		goto finish;
 	}
 
 	if (dquot->dq_dqb.dqb_bsoftlimit &&
@@ -1338,13 +1335,21 @@ static int dquot_add_space(struct dquot *dquot, qsize_t space,
 			 * be always printed
 			 */
 			ret = -EDQUOT;
-			goto out;
+			goto finish;
 		}
 	}
-add:
-	dquot->dq_dqb.dqb_rsvspace += rsv_space;
-	dquot->dq_dqb.dqb_curspace += space;
-out:
+finish:
+	/*
+	 * We have to be careful and go through warning generation & grace time
+	 * setting even if DQUOT_SPACE_NOFAIL is set. That's why we check it
+	 * only here...
+	 */
+	if (flags & DQUOT_SPACE_NOFAIL)
+		ret = 0;
+	if (!ret) {
+		dquot->dq_dqb.dqb_rsvspace += rsv_space;
+		dquot->dq_dqb.dqb_curspace += space;
+	}
 	spin_unlock(&dquot->dq_dqb_lock);
 	return ret;
 }