diff --git a/python/src/com/jetbrains/python/documentation/DocStringParameterReference.java b/python/src/com/jetbrains/python/documentation/DocStringParameterReference.java
index 5f7a2ee2bb0f..968d41368d37 100644
--- a/python/src/com/jetbrains/python/documentation/DocStringParameterReference.java
+++ b/python/src/com/jetbrains/python/documentation/DocStringParameterReference.java
@@ -17,14 +17,17 @@ package com.jetbrains.python.documentation;
 
 import com.google.common.collect.Lists;
 import com.intellij.lang.annotation.HighlightSeverity;
+import com.intellij.openapi.util.Pair;
 import com.intellij.openapi.util.TextRange;
 import com.intellij.psi.PsiElement;
 import com.intellij.psi.PsiReference;
 import com.intellij.psi.PsiReferenceBase;
 import com.intellij.psi.util.PsiTreeUtil;
 import com.intellij.util.ArrayUtil;
+import com.intellij.util.IncorrectOperationException;
 import com.intellij.util.containers.HashSet;
 import com.jetbrains.python.PyNames;
+import com.jetbrains.python.PythonStringUtil;
 import com.jetbrains.python.psi.*;
 import com.jetbrains.python.psi.impl.ParamHelper;
 import com.jetbrains.python.psi.types.TypeEvalContext;
@@ -37,10 +40,10 @@ import java.util.Set;
 /**
  * @author yole
  */
-public class DocStringParameterReference extends PsiReferenceBase<PsiElement> implements PsiReferenceEx {
+public class DocStringParameterReference extends PsiReferenceBase<PyStringLiteralExpression> implements PsiReferenceEx {
   private final StructuredDocStringBase.ReferenceType myType;
 
-  public DocStringParameterReference(PsiElement element, TextRange range, StructuredDocStringBase.ReferenceType refType) {
+  public DocStringParameterReference(PyStringLiteralExpression element, TextRange range, StructuredDocStringBase.ReferenceType refType) {
     super(element, range);
     myType = refType;
   }
@@ -159,4 +162,18 @@ public class DocStringParameterReference extends PsiReferenceBase<PsiElement> im
     }
     return null;
   }
+
+  @Override
+  public PsiElement handleElementRename(String newElementName) throws IncorrectOperationException {
+    TextRange range = getRangeInElement();
+    Pair<String, String> quotes = PythonStringUtil.getQuotes(range.substring(myElement.getText()));
+
+    if (quotes != null) {
+      range = TextRange.create(range.getStartOffset() + quotes.first.length(), range.getEndOffset() - quotes.second.length());
+    }
+
+    String newName = range.replace(myElement.getText(), newElementName);
+    myElement.updateText(newName);
+    return myElement;
+  }
 }
diff --git a/python/src/com/jetbrains/python/documentation/DocStringReferenceProvider.java b/python/src/com/jetbrains/python/documentation/DocStringReferenceProvider.java
index d1d8033b15b0..9eea80c884dc 100644
--- a/python/src/com/jetbrains/python/documentation/DocStringReferenceProvider.java
+++ b/python/src/com/jetbrains/python/documentation/DocStringReferenceProvider.java
@@ -59,22 +59,22 @@ public class DocStringReferenceProvider extends PsiReferenceProvider {
         // XXX: It does not work with multielement docstrings
         StructuredDocString docString = DocStringUtil.parse(text);
         if (docString != null) {
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getTagArguments(StructuredDocStringBase.PARAM_TAGS),
                                             StructuredDocStringBase.ReferenceType.PARAMETER));
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getTagArguments(StructuredDocStringBase.PARAM_TYPE_TAGS),
                                             StructuredDocStringBase.ReferenceType.PARAMETER_TYPE));
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getKeywordArgumentSubstrings(), StructuredDocStringBase.ReferenceType.KEYWORD));
 
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getTagArguments("var"),
                                             StructuredDocStringBase.ReferenceType.VARIABLE));
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getTagArguments("cvar"),
                                             StructuredDocStringBase.ReferenceType.CLASS_VARIABLE));
-          result.addAll(referencesFromNames(element, offset, docString,
+          result.addAll(referencesFromNames(expr, offset, docString,
                                             docString.getTagArguments("ivar"),
                                             StructuredDocStringBase.ReferenceType.INSTANCE_VARIABLE));
           result.addAll(returnTypes(element, docString, offset));
@@ -96,7 +96,7 @@ public class DocStringReferenceProvider extends PsiReferenceProvider {
     }
     return result;
   }
-  private static List<PsiReference> referencesFromNames(PsiElement element,
+  private static List<PsiReference> referencesFromNames(PyStringLiteralExpression element,
                                                         int offset,
                                                         StructuredDocString docString,
                                                         List<Substring> paramNames,
diff --git a/python/src/com/jetbrains/python/psi/impl/PyStringLiteralExpressionManipulator.java b/python/src/com/jetbrains/python/psi/impl/PyStringLiteralExpressionManipulator.java
index 2d76c28406a4..f98acdefe193 100644
--- a/python/src/com/jetbrains/python/psi/impl/PyStringLiteralExpressionManipulator.java
+++ b/python/src/com/jetbrains/python/psi/impl/PyStringLiteralExpressionManipulator.java
@@ -19,6 +19,7 @@ import com.intellij.openapi.util.Pair;
 import com.intellij.openapi.util.TextRange;
 import com.intellij.psi.AbstractElementManipulator;
 import com.jetbrains.python.PythonStringUtil;
+import com.jetbrains.python.psi.PyElementGenerator;
 
 /**
  * @author traff
@@ -33,8 +34,9 @@ public class PyStringLiteralExpressionManipulator extends AbstractElementManipul
     }
 
     String newName = range.replace(element.getText(), newContent);
-    element.updateText(newName);
-    return element;
+
+    return (PyStringLiteralExpressionImpl)element
+      .replace(PyElementGenerator.getInstance(element.getProject()).createStringLiteralAlreadyEscaped(newName));
   }
 
   @Override