diff --git a/java/java-impl/src/com/intellij/ide/JavaLanguageCodeStyleSettingsProvider.java b/java/java-impl/src/com/intellij/ide/JavaLanguageCodeStyleSettingsProvider.java
index f5e385f6a1f4..1e3336eaac6c 100644
--- a/java/java-impl/src/com/intellij/ide/JavaLanguageCodeStyleSettingsProvider.java
+++ b/java/java-impl/src/com/intellij/ide/JavaLanguageCodeStyleSettingsProvider.java
@@ -102,6 +102,7 @@ public class JavaLanguageCodeStyleSettingsProvider extends LanguageCodeStyleSett
                                    "MODIFIER_LIST_WRAP",
                                    "KEEP_SIMPLE_BLOCKS_IN_ONE_LINE",
                                    "KEEP_SIMPLE_METHODS_IN_ONE_LINE",
+                                   "KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE",
                                    "KEEP_SIMPLE_CLASSES_IN_ONE_LINE",
                                    "KEEP_MULTIPLE_EXPRESSIONS_IN_ONE_LINE",
                                    "FOR_STATEMENT_WRAP",
@@ -396,7 +397,8 @@ public class JavaLanguageCodeStyleSettingsProvider extends LanguageCodeStyleSett
     "    try (MyResource r1 = getResource();\n" +
     "      MyResource r2 = null) {\n" +
     "      doSomething();\n" +
-    "    }" +
+    "    }\n" +
+    "    Runnable r = () -> {};\n" +
     "  }\n" +
     "    public static void test() \n" +
     "        throws Exception { \n" +
diff --git a/java/java-impl/src/com/intellij/psi/formatter/java/JavaSpacePropertyProcessor.java b/java/java-impl/src/com/intellij/psi/formatter/java/JavaSpacePropertyProcessor.java
index 595246bf1306..27999a62ea6c 100644
--- a/java/java-impl/src/com/intellij/psi/formatter/java/JavaSpacePropertyProcessor.java
+++ b/java/java-impl/src/com/intellij/psi/formatter/java/JavaSpacePropertyProcessor.java
@@ -910,9 +910,16 @@ public class JavaSpacePropertyProcessor extends JavaElementVisitor {
     if (block.getParent() instanceof PsiMethod) {
       return shouldHandleAsSimpleMethod((PsiMethod)block.getParent());
     }
+    else if (block.getParent() instanceof PsiLambdaExpression) {
+      return shouldHandleAsSimpleLambda((PsiLambdaExpression)block.getParent());
+    }
     else {
       return shouldHandleAsSimpleBlock(block.getNode());
-   }
+    }
+  }
+
+  private boolean shouldHandleAsSimpleLambda(PsiLambdaExpression lambda) {
+    return mySettings.KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE && !lambda.textContains('\n');
   }
 
   @Override
diff --git a/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterSpaceTest.java b/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterSpaceTest.java
index 4f2cd4064565..552635e79071 100644
--- a/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterSpaceTest.java
+++ b/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterSpaceTest.java
@@ -334,7 +334,7 @@ public class JavaFormatterSpaceTest extends AbstractJavaFormatterTest {
   }
 
   public void testSpacesInsideLambda() {
-    getSettings().KEEP_SIMPLE_BLOCKS_IN_ONE_LINE = true;
+    getSettings().KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE = true;
     getSettings().SPACE_AROUND_LAMBDA_ARROW = true;
 
     doMethodTest("()->{}",
diff --git a/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterWrapTest.java b/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterWrapTest.java
index 040648043d7c..85097c372e85 100644
--- a/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterWrapTest.java
+++ b/java/java-tests/testSrc/com/intellij/psi/formatter/java/JavaFormatterWrapTest.java
@@ -646,4 +646,15 @@ public class JavaFormatterWrapTest extends AbstractJavaFormatterTest {
     );
   }
   
+  public void test_KeepSimpleLambdasInOneLine() {
+    getSettings().KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE = true;
+    doMethodTest("      execute(  () -> {});", 
+                 "execute(() -> {});");
+    
+    getSettings().KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE = false;
+    doMethodTest("execute(() -> {});", 
+                 "execute(() -> {\n" +
+                 "});");
+  }
+  
 }
diff --git a/platform/lang-api/src/com/intellij/psi/codeStyle/CodeStyleSettingsCustomizable.java b/platform/lang-api/src/com/intellij/psi/codeStyle/CodeStyleSettingsCustomizable.java
index 20536dd9b72e..6b5dce536cdb 100644
--- a/platform/lang-api/src/com/intellij/psi/codeStyle/CodeStyleSettingsCustomizable.java
+++ b/platform/lang-api/src/com/intellij/psi/codeStyle/CodeStyleSettingsCustomizable.java
@@ -144,6 +144,7 @@ public interface CodeStyleSettingsCustomizable {
     KEEP_SIMPLE_BLOCKS_IN_ONE_LINE,
     KEEP_SIMPLE_METHODS_IN_ONE_LINE,
     KEEP_SIMPLE_CLASSES_IN_ONE_LINE,
+    KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE,
     KEEP_MULTIPLE_EXPRESSIONS_IN_ONE_LINE,
     FOR_STATEMENT_WRAP,
     FOR_STATEMENT_LPAREN_ON_NEXT_LINE,
diff --git a/platform/lang-api/src/com/intellij/psi/codeStyle/CommonCodeStyleSettings.java b/platform/lang-api/src/com/intellij/psi/codeStyle/CommonCodeStyleSettings.java
index 4eff030072f7..438567bfbac1 100644
--- a/platform/lang-api/src/com/intellij/psi/codeStyle/CommonCodeStyleSettings.java
+++ b/platform/lang-api/src/com/intellij/psi/codeStyle/CommonCodeStyleSettings.java
@@ -828,6 +828,7 @@ public class CommonCodeStyleSettings {
 
   public boolean KEEP_SIMPLE_BLOCKS_IN_ONE_LINE = false;
   public boolean KEEP_SIMPLE_METHODS_IN_ONE_LINE = false;
+  public boolean KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE = false;
   public boolean KEEP_SIMPLE_CLASSES_IN_ONE_LINE = false;
   public boolean KEEP_MULTIPLE_EXPRESSIONS_IN_ONE_LINE = false;
 
diff --git a/platform/lang-api/src/com/intellij/psi/codeStyle/presentation/CodeStyleSettingPresentation.java b/platform/lang-api/src/com/intellij/psi/codeStyle/presentation/CodeStyleSettingPresentation.java
index 4d65bd83f49f..1b002b412a78 100644
--- a/platform/lang-api/src/com/intellij/psi/codeStyle/presentation/CodeStyleSettingPresentation.java
+++ b/platform/lang-api/src/com/intellij/psi/codeStyle/presentation/CodeStyleSettingPresentation.java
@@ -307,6 +307,8 @@ public class CodeStyleSettingPresentation {
                                        ApplicationBundle.message("wrapping.keep.simple.blocks.in.one.line")),
       new CodeStyleSettingPresentation("KEEP_SIMPLE_METHODS_IN_ONE_LINE",
                                        ApplicationBundle.message("wrapping.keep.simple.methods.in.one.line")),
+      new CodeStyleSettingPresentation("KEEP_SIMPLE_LAMBDAS_IN_ONE_LINE",
+                                       ApplicationBundle.message("wrapping.keep.simple.lambdas.in.one.line")),
       new CodeStyleSettingPresentation("KEEP_SIMPLE_CLASSES_IN_ONE_LINE",
                                        ApplicationBundle.message("wrapping.keep.simple.classes.in.one.line"))
     ));
diff --git a/platform/platform-resources-en/src/messages/ApplicationBundle.properties b/platform/platform-resources-en/src/messages/ApplicationBundle.properties
index a3cccc8bcdc6..a79aae59ad57 100644
--- a/platform/platform-resources-en/src/messages/ApplicationBundle.properties
+++ b/platform/platform-resources-en/src/messages/ApplicationBundle.properties
@@ -146,6 +146,7 @@ wrapping.keep.line.breaks=Line breaks
 wrapping.keep.comment.at.first.column=Comment at first column
 wrapping.keep.simple.classes.in.one.line=Simple classes in one line
 wrapping.keep.simple.methods.in.one.line=Simple methods in one line
+wrapping.keep.simple.lambdas.in.one.line=Simple lambdas in one line
 wrapping.keep.multiple.expressions.in.one.line=Multiple expressions in one line
 wrapping.keep.simple.blocks.in.one.line=Simple blocks in one line