diff --git a/shell/ash.c b/shell/ash.c
index f1c21188e..5a001b004 100644
--- a/shell/ash.c
+++ b/shell/ash.c
@@ -13265,10 +13265,14 @@ readtoken(void)
 	if (kwd & CHKNL) {
 		while (t == TNL) {
 			parseheredoc();
+			checkkwd = 0;
 			t = xxreadtoken();
 		}
 	}
 
+	kwd |= checkkwd;
+	checkkwd = 0;
+
 	if (t != TWORD || quoteflag) {
 		goto out;
 	}
@@ -13287,7 +13291,7 @@ readtoken(void)
 		}
 	}
 
-	if (checkkwd & CHKALIAS) {
+	if (kwd & CHKALIAS) {
 #if ENABLE_ASH_ALIAS
 		struct alias *ap;
 		ap = lookupalias(wordtext, 1);
@@ -13300,7 +13304,6 @@ readtoken(void)
 #endif
 	}
  out:
-	checkkwd = 0;
 #if DEBUG
 	if (!alreadyseen)
 		TRACE(("token '%s' %s\n", tokname_array[t], t == TWORD ? wordtext : ""));
diff --git a/shell/ash_test/ash-alias/alias_brace.right b/shell/ash_test/ash-alias/alias_brace.right
new file mode 100644
index 000000000..7326d9603
--- /dev/null
+++ b/shell/ash_test/ash-alias/alias_brace.right
@@ -0,0 +1 @@
+Ok
diff --git a/shell/ash_test/ash-alias/alias_brace.tests b/shell/ash_test/ash-alias/alias_brace.tests
new file mode 100755
index 000000000..7571b64ac
--- /dev/null
+++ b/shell/ash_test/ash-alias/alias_brace.tests
@@ -0,0 +1,16 @@
+# Note: bash would need:
+#shopt -s expand_aliases
+# to enable aliases in non-interactive mode
+alias BEGIN={ END=}
+BEGIN
+	cat <<- EOF > /dev/null
+		$(:)
+	EOF
+END
+
+: <<- EOF &&
+	$(:)
+EOF
+BEGIN
+	echo Ok
+END
diff --git a/shell/ash_test/ash-alias/alias_case.right b/shell/ash_test/ash-alias/alias_case.right
new file mode 100644
index 000000000..7326d9603
--- /dev/null
+++ b/shell/ash_test/ash-alias/alias_case.right
@@ -0,0 +1 @@
+Ok
diff --git a/shell/ash_test/ash-alias/alias_case.tests b/shell/ash_test/ash-alias/alias_case.tests
new file mode 100755
index 000000000..ed8275875
--- /dev/null
+++ b/shell/ash_test/ash-alias/alias_case.tests
@@ -0,0 +1,8 @@
+# Note: bash would need:
+#shopt -s expand_aliases
+# to enable aliases in non-interactive mode
+alias a="case x in " b=x
+a
+b) echo BAD;;
+*) echo Ok;;
+esac