diff --git a/jps/model-serialization/src/org/jetbrains/jps/model/serialization/module/JpsModuleRootModelSerializer.java b/jps/model-serialization/src/org/jetbrains/jps/model/serialization/module/JpsModuleRootModelSerializer.java
index 2f281130f0ff..183ad94d0b8f 100644
--- a/jps/model-serialization/src/org/jetbrains/jps/model/serialization/module/JpsModuleRootModelSerializer.java
+++ b/jps/model-serialization/src/org/jetbrains/jps/model/serialization/module/JpsModuleRootModelSerializer.java
@@ -17,6 +17,7 @@ package org.jetbrains.jps.model.serialization.module;
 
 import com.intellij.openapi.util.io.FileUtil;
 import com.intellij.openapi.util.text.StringUtil;
+import com.intellij.util.text.UniqueNameGenerator;
 import org.jdom.Element;
 import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jps.model.JpsCompositeElement;
@@ -29,16 +30,14 @@ import org.jetbrains.jps.model.java.JpsJavaSdkType;
 import org.jetbrains.jps.model.java.JpsJavaSdkTypeWrapper;
 import org.jetbrains.jps.model.library.JpsLibrary;
 import org.jetbrains.jps.model.library.JpsLibraryReference;
-import org.jetbrains.jps.model.library.sdk.JpsSdkType;
 import org.jetbrains.jps.model.library.sdk.JpsSdkReference;
+import org.jetbrains.jps.model.library.sdk.JpsSdkType;
 import org.jetbrains.jps.model.module.*;
 import org.jetbrains.jps.model.serialization.JpsModelSerializerExtension;
 import org.jetbrains.jps.model.serialization.library.JpsLibraryTableSerializer;
 import org.jetbrains.jps.model.serialization.library.JpsSdkTableSerializer;
 
-import java.util.ArrayList;
-import java.util.Collections;
-import java.util.List;
+import java.util.*;
 
 import static com.intellij.openapi.util.JDOMUtil.getChildren;
 
@@ -89,7 +88,7 @@ public class JpsModuleRootModelSerializer {
     final JpsDependenciesList dependenciesList = module.getDependenciesList();
     dependenciesList.clear();
     final JpsElementFactory elementFactory = JpsElementFactory.getInstance();
-    int moduleLibraryNum = 0;
+    UniqueNameGenerator nameGenerator = new UniqueNameGenerator();
     for (Element orderEntry : getChildren(rootModelComponent, ORDER_ENTRY_TAG)) {
       String type = orderEntry.getAttributeValue(TYPE_ATTRIBUTE);
       if (SOURCE_FOLDER_TYPE.equals(type)) {
@@ -120,14 +119,14 @@ public class JpsModuleRootModelSerializer {
         final Element moduleLibraryElement = orderEntry.getChild(LIBRARY_TAG);
         String name = moduleLibraryElement.getAttributeValue(NAME_ATTRIBUTE);
         if (name == null) {
-          name = GENERATED_LIBRARY_NAME_PREFIX + (moduleLibraryNum++);
+          name = GENERATED_LIBRARY_NAME_PREFIX;
         }
-        final JpsLibrary library = JpsLibraryTableSerializer.loadLibrary(moduleLibraryElement, name);
+        String uniqueName = nameGenerator.generateUniqueName(name);
+        final JpsLibrary library = JpsLibraryTableSerializer.loadLibrary(moduleLibraryElement, uniqueName);
         module.addModuleLibrary(library);
 
         final JpsLibraryDependency dependency = dependenciesList.addLibraryDependency(library);
         loadModuleDependencyProperties(dependency, orderEntry);
-        moduleLibraryNum++;
       }
       else if (MODULE_TYPE.equals(type)) {
         String name = orderEntry.getAttributeValue(MODULE_NAME_ATTRIBUTE);
diff --git a/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.iml b/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.iml
new file mode 100644
index 000000000000..fcefc008fcc5
--- /dev/null
+++ b/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.iml
@@ -0,0 +1,28 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<module type="JAVA_MODULE" version="4">
+  <component name="NewModuleRootManager" inherit-compiler-output="true">
+    <exclude-output />
+    <content url="file://$MODULE_DIR$" />
+    <orderEntry type="inheritedJdk" />
+    <orderEntry type="sourceFolder" forTests="false" />
+    <orderEntry type="module-library">
+      <library name="xxx">
+        <CLASSES>
+          <root url="file://$MODULE_DIR$/data/lib1" />
+        </CLASSES>
+        <JAVADOC />
+        <SOURCES />
+      </library>
+    </orderEntry>
+    <orderEntry type="module-library">
+      <library name="xxx">
+        <CLASSES>
+          <root url="file://$MODULE_DIR$/data/lib2" />
+        </CLASSES>
+        <JAVADOC />
+        <SOURCES />
+      </library>
+    </orderEntry>
+  </component>
+</module>
+
diff --git a/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.ipr b/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.ipr
new file mode 100644
index 000000000000..356fca8c2362
--- /dev/null
+++ b/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.ipr
@@ -0,0 +1,12 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<project version="4">
+  <component name="ProjectModuleManager">
+    <modules>
+      <module fileurl="file://$PROJECT_DIR$/duplicatedModuleLibrary.iml" filepath="$PROJECT_DIR$/duplicatedModuleLibrary.iml" />
+    </modules>
+  </component>
+  <component name="ProjectRootManager" version="2" languageLevel="JDK_1_6" assert-keyword="true" jdk-15="true" project-jdk-name="1.4" project-jdk-type="JavaSDK">
+    <output url="file://$PROJECT_DIR$/out" />
+  </component>
+</project>
+
diff --git a/jps/model-serialization/testSrc/org/jetbrains/jps/model/serialization/JpsProjectSerializationTest.java b/jps/model-serialization/testSrc/org/jetbrains/jps/model/serialization/JpsProjectSerializationTest.java
index 99004411f88b..3ed4336709c4 100644
--- a/jps/model-serialization/testSrc/org/jetbrains/jps/model/serialization/JpsProjectSerializationTest.java
+++ b/jps/model-serialization/testSrc/org/jetbrains/jps/model/serialization/JpsProjectSerializationTest.java
@@ -28,6 +28,7 @@ import org.jetbrains.jps.model.java.JpsJavaDependencyScope;
 import org.jetbrains.jps.model.java.JpsJavaExtensionService;
 import org.jetbrains.jps.model.java.JpsJavaSdkType;
 import org.jetbrains.jps.model.library.JpsLibrary;
+import org.jetbrains.jps.model.library.JpsOrderRootType;
 import org.jetbrains.jps.model.library.sdk.JpsSdkReference;
 import org.jetbrains.jps.model.module.*;
 import org.jetbrains.jps.model.serialization.library.JpsLibraryTableSerializer;
@@ -120,6 +121,20 @@ public class JpsProjectSerializationTest extends JpsSerializationTestCase {
     assertEquals(JpsJavaDependencyScope.COMPILE, extension.getScope());
   }
 
+  public void testDuplicatedModuleLibrary() {
+    loadProject("/jps/model-serialization/testData/duplicatedModuleLibrary/duplicatedModuleLibrary.ipr");
+    JpsModule module = assertOneElement(myProject.getModules());
+    List<JpsDependencyElement> dependencies = module.getDependenciesList().getDependencies();
+    assertEquals(4, dependencies.size());
+    JpsLibrary lib1 = assertInstanceOf(dependencies.get(2), JpsLibraryDependency.class).getLibrary();
+    assertNotNull(lib1);
+    assertSameElements(lib1.getRootUrls(JpsOrderRootType.COMPILED), getUrl("data/lib1"));
+    JpsLibrary lib2 = assertInstanceOf(dependencies.get(3), JpsLibraryDependency.class).getLibrary();
+    assertNotSame(lib1, lib2);
+    assertNotNull(lib2);
+    assertSameElements(lib2.getRootUrls(JpsOrderRootType.COMPILED), getUrl("data/lib2"));
+  }
+
   public void testLoadEncoding() {
     loadProject(SAMPLE_PROJECT_PATH);
     JpsEncodingConfigurationService service = JpsEncodingConfigurationService.getInstance();