diff --git a/java/java-psi-api/src/com/intellij/psi/LambdaUtil.java b/java/java-psi-api/src/com/intellij/psi/LambdaUtil.java
index f2982adfb75a..327a486d8d79 100644
--- a/java/java-psi-api/src/com/intellij/psi/LambdaUtil.java
+++ b/java/java-psi-api/src/com/intellij/psi/LambdaUtil.java
@@ -311,7 +311,12 @@ public class LambdaUtil {
         return ((PsiArrayType)psiType).getComponentType();
       }
     } else if (parent instanceof PsiTypeCastExpression) {
-      final PsiType castType = ((PsiTypeCastExpression)parent).getType();
+      //ensure no capture is performed to target type of cast expression, from 15.16 Cast Expressions:
+      //Casts can be used to explicitly "tag" a lambda expression or a method reference expression with a particular target type. 
+      //To provide an appropriate degree of flexibility, the target type may be a list of types denoting an intersection type, 
+      // provided the intersection induces a functional interface (§9.8).
+      final PsiTypeElement castTypeElement = ((PsiTypeCastExpression)parent).getCastType();
+      final PsiType castType = castTypeElement != null ? castTypeElement.getType() : null;
       if (castType instanceof PsiIntersectionType) {
         final PsiType conjunct = extractFunctionalConjunct((PsiIntersectionType)castType);
         if (conjunct != null) return conjunct;
diff --git a/java/java-tests/testData/codeInsight/daemonCodeAnalyzer/lambda/newLambda/EnsureNoCaptureIsPerformedOverTargetTypeOfCastExpressionWhichMarksFunctionalExpression.java b/java/java-tests/testData/codeInsight/daemonCodeAnalyzer/lambda/newLambda/EnsureNoCaptureIsPerformedOverTargetTypeOfCastExpressionWhichMarksFunctionalExpression.java
new file mode 100644
index 000000000000..a98171eca9a9
--- /dev/null
+++ b/java/java-tests/testData/codeInsight/daemonCodeAnalyzer/lambda/newLambda/EnsureNoCaptureIsPerformedOverTargetTypeOfCastExpressionWhichMarksFunctionalExpression.java
@@ -0,0 +1,7 @@
+import java.util.function.Supplier;
+
+class Test {
+  public static void casts(Runnable e) {
+    Object o = (Supplier<?  extends Runnable>) () -> e;
+  }
+}
\ No newline at end of file
diff --git a/java/java-tests/testSrc/com/intellij/codeInsight/daemon/lambda/NewLambdaHighlightingTest.java b/java/java-tests/testSrc/com/intellij/codeInsight/daemon/lambda/NewLambdaHighlightingTest.java
index 8e6db15c9bff..7afe53b19d15 100644
--- a/java/java-tests/testSrc/com/intellij/codeInsight/daemon/lambda/NewLambdaHighlightingTest.java
+++ b/java/java-tests/testSrc/com/intellij/codeInsight/daemon/lambda/NewLambdaHighlightingTest.java
@@ -20,8 +20,6 @@ import com.intellij.codeInspection.deadCode.UnusedDeclarationInspection;
 import com.intellij.openapi.projectRoots.JavaSdkVersion;
 import com.intellij.openapi.projectRoots.Sdk;
 import com.intellij.testFramework.IdeaTestUtil;
-import junit.framework.Test;
-import junit.framework.TestSuite;
 import org.jetbrains.annotations.NonNls;
 
 public class NewLambdaHighlightingTest extends LightDaemonAnalyzerTestCase {
@@ -193,6 +191,10 @@ public class NewLambdaHighlightingTest extends LightDaemonAnalyzerTestCase {
     doTest(false);
   }
 
+  public void testEnsureNoCaptureIsPerformedOverTargetTypeOfCastExpressionWhichMarksFunctionalExpression() throws Exception {
+    doTest();
+  }
+
   private void doTest() {
     doTest(false);
   }