diff --git a/python/ide/src/com/jetbrains/python/newProject/actions/AbstractProjectSettingsStep.java b/python/ide/src/com/jetbrains/python/newProject/actions/AbstractProjectSettingsStep.java
index 9f8169e3c986..55d633f546d0 100644
--- a/python/ide/src/com/jetbrains/python/newProject/actions/AbstractProjectSettingsStep.java
+++ b/python/ide/src/com/jetbrains/python/newProject/actions/AbstractProjectSettingsStep.java
@@ -125,7 +125,7 @@ abstract public class AbstractProjectSettingsStep extends AbstractActionWithPane
     myCreateButton.setPreferredSize(new Dimension(mainPanel.getPreferredSize().width, 40));
     myErrorLabel = new JLabel("");
     myErrorLabel.setForeground(JBColor.RED);
-    bottomPanel.add(myErrorLabel, BorderLayout.SOUTH);
+    bottomPanel.add(myErrorLabel, BorderLayout.NORTH);
     bottomPanel.add(myCreateButton, BorderLayout.CENTER);
     mainPanel.add(bottomPanel, BorderLayout.SOUTH);