diff --git a/java/java-impl-refactorings/src/com/intellij/refactoring/extractMethod/newImpl/inplace/InplaceExtractUtils.kt b/java/java-impl-refactorings/src/com/intellij/refactoring/extractMethod/newImpl/inplace/InplaceExtractUtils.kt
index 64d21a63d948..2b08663b1a78 100644
--- a/java/java-impl-refactorings/src/com/intellij/refactoring/extractMethod/newImpl/inplace/InplaceExtractUtils.kt
+++ b/java/java-impl-refactorings/src/com/intellij/refactoring/extractMethod/newImpl/inplace/InplaceExtractUtils.kt
@@ -97,14 +97,13 @@ object InplaceExtractUtils {
     if (!checkIdentifierName(editor, file, variableRange)) {
       return false
     }
-    val reference = PsiTreeUtil.findElementOfClassAtOffset(file, variableRange.startOffset, PsiReferenceExpression::class.java, false)
-    if (reference != null && reference.multiResolve(false).size != 1) {
+    val identifier = PsiTreeUtil.findElementOfClassAtOffset(file, variableRange.startOffset, PsiIdentifier::class.java, false)
+    val parent = identifier?.parent
+    if (parent is PsiReferenceExpression && parent.multiResolve(false).size != 1) {
       showErrorHint(editor, variableRange.endOffset, JavaRefactoringBundle.message("extract.method.error.method.conflict"))
       return false
     }
-    val member = PsiTreeUtil.findElementOfClassAtOffset(file, variableRange.startOffset, PsiMember::class.java, false)
-    val parentClass = member?.containingClass
-    if (member is PsiMethod && parentClass != null && parentClass.findMethodsBySignature(member, true).size > 1) {
+    if (parent is PsiMethod && parent.containingClass?.findMethodsBySignature(parent, true).orEmpty().size > 1) {
       showErrorHint(editor, variableRange.endOffset, JavaRefactoringBundle.message("extract.method.error.method.conflict"))
       return false
     }
diff --git a/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda.java b/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda.java
new file mode 100644
index 000000000000..5b8560f4a2de
--- /dev/null
+++ b/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda.java
@@ -0,0 +1,21 @@
+package org.example;
+
+import java.io.File;
+import java.util.Collection;
+
+class Parent {
+    public boolean test(Collection<File> files) {
+        return false;
+    }
+}
+
+class Child extends Parent {
+
+  @Override
+    public boolean test(Collection<File> files) {
+        return files.stream().allMatch(file -> {
+            String name = file.getName();
+            return <selection>name.endsWith("jar") || name.endsWith("tar")</selection>;
+        });
+    }
+}
\ No newline at end of file
diff --git a/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda_after.java b/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda_after.java
new file mode 100644
index 000000000000..4ad7add8cddd
--- /dev/null
+++ b/java/java-tests/testData/refactoring/extractMethodAndDuplicatesInplace/CheckNameExtractedFromLambda_after.java
@@ -0,0 +1,25 @@
+package org.example;
+
+import java.io.File;
+import java.util.Collection;
+
+class Parent {
+    public boolean test(Collection<File> files) {
+        return false;
+    }
+}
+
+class Child extends Parent {
+
+  @Override
+    public boolean test(Collection<File> files) {
+        return files.stream().allMatch(file -> {
+            String name = file.getName();
+            return isaBoolean(name);
+        });
+    }
+
+    private static boolean isaBoolean(String name) {
+        return name.endsWith("jar") || name.endsWith("tar");
+    }
+}
\ No newline at end of file
diff --git a/java/java-tests/testSrc/com/intellij/java/refactoring/ExtractMethodAndDuplicatesInplaceTest.kt b/java/java-tests/testSrc/com/intellij/java/refactoring/ExtractMethodAndDuplicatesInplaceTest.kt
index c456126f8b20..f96393e546bf 100644
--- a/java/java-tests/testSrc/com/intellij/java/refactoring/ExtractMethodAndDuplicatesInplaceTest.kt
+++ b/java/java-tests/testSrc/com/intellij/java/refactoring/ExtractMethodAndDuplicatesInplaceTest.kt
@@ -509,6 +509,12 @@ class ExtractMethodAndDuplicatesInplaceTest: LightJavaCodeInsightTestCase() {
     doTest()
   }
 
+  fun testCheckNameExtractedFromLambda(){
+    doTest {
+      nextTemplateVariable()
+    }
+  }
+
   fun testRefactoringListener(){
     templateTest {
       configureByFile("$BASE_PATH/${getTestName(false)}.java")