diff --git a/pkgs/racket-pkgs/racket-test/tests/racket/letrec.rktl b/pkgs/racket-pkgs/racket-test/tests/racket/letrec.rktl
new file mode 100644
index 0000000000..24d51afaed
--- /dev/null
+++ b/pkgs/racket-pkgs/racket-test/tests/racket/letrec.rktl
@@ -0,0 +1,91 @@
+
+
+(load-relative "loadtest.rktl")
+
+(Section 'letrec)
+
+;; =============================================================================
+
+(define letrec-exn? exn:fail:contract:variable?)
+
+(test 5 'const (letrec ([x 5]) 5))
+(test 5 'var-ref (letrec ([x 5]) x))
+
+(test #t 'lambda (procedure? (letrec ([x (lambda () 5)]) x)))
+(test #t 'lambda-rest-args (procedure? (letrec ([x (lambda l l)]) x)))
+(test 5 'lambda-called (letrec ([x (lambda () 5)]) (x)))
+(test (list 5) 'lambda-rest-args-called (letrec ([x (lambda l l)] [y (x 5)]) y))
+
+(err/rt-test (letrec ([x x]) x) letrec-exn?)
+(err/rt-test (letrec ([x y] [y 5]) y) letrec-exn?)
+
+(test #t 'begin
+      (procedure?
+       (letrec ([x (begin (lambda () y)
+                          (lambda () z))]
+                [y 5]
+                [z 6])
+         x)))
+
+(err/rt-test 
+ (letrec ([x ((lambda l z) 5)] [z 5]) x)
+ letrec-exn?)
+
+(test 5 'nested (letrec ([x (letrec ([y 6]) 5)]) x))
+(test 5 'nested-more (letrec ([x (letrec ([y 5]) y)]) x))
+(test 5 'nested-even-more (letrec ([x 5] [y (letrec ([z x]) z)]) y))
+
+(err/rt-test
+ (letrec ([q (lambda () s)] [r (q)] [s 5]) r)
+ letrec-exn?)
+
+(test 5 'reordered (letrec ([s 5] [q (lambda () s)] [r (q)]) r))
+
+(test 5 'set! (letrec ([x 0]
+                       [f (lambda (v) (set! x v))])
+                (begin (f 5) x)))
+
+(err/rt-test
+ (letrec ([f (lambda () (letrec ([x x]) 5))]
+          [g (f)])
+   g)
+ letrec-exn?)
+
+(test #t 'checked-but-ok
+      (procedure?
+       (letrec ([y (lambda () (letrec ([x x]) x))])
+         y)))
+
+(err/rt-test
+ (letrec ([a (letrec ([y (lambda () x)]) (lambda () (y)))] [x (a)]) x)
+ letrec-exn?)
+
+(err/rt-test
+ (letrec ([a (letrec ([x (lambda () (y))] [y (lambda () a)]) (x))]) a)
+ letrec-exn?)
+
+(err/rt-test
+ (letrec ([w (lambda () r)]
+          [z (lambda () 5)]
+          [x (set! z w)]
+          [y (set! x (z))]
+          [r 5])
+   x)
+ letrec-exn?)
+
+(err/rt-test
+ (letrec-values ([(x y) (values (lambda () z) (lambda () z))] [(z) (y)]) z)
+ letrec-exn?)
+
+(test #t 'checked-but-ok
+      (procedure?
+       (let ([proc (letrec ([x (letrec ([v (lambda () x)]) v)]) x)])
+         (proc))))
+
+(err/rt-test
+ (letrec ([x (letrec ([v (lambda () y)]) v)]
+          [y (x)])
+   y)
+ letrec-exn?)
+
+(report-errs)
diff --git a/pkgs/racket-pkgs/racket-test/tests/racket/optimize.rktl b/pkgs/racket-pkgs/racket-test/tests/racket/optimize.rktl
index 732faa85e6..1c79ac0429 100644
--- a/pkgs/racket-pkgs/racket-test/tests/racket/optimize.rktl
+++ b/pkgs/racket-pkgs/racket-test/tests/racket/optimize.rktl
@@ -920,6 +920,7 @@
 
 ;; Don't optimize away use before definition:
 (test-comp '(letrec ([x (begin x 5)]) x) '5 #f)
+(test-comp '(letrec ([x (letrec ([y 5]) x 6)]) x) '6 #f)
 
 (test-comp '(let ([x 5]) (set! x 2)) '(let ([x 5]) (set! x x) (set! x 2)))