diff --git a/org.eclipse.jgit.test/tst/org/eclipse/jgit/api/PullCommandTest.java b/org.eclipse.jgit.test/tst/org/eclipse/jgit/api/PullCommandTest.java
index ff7066e8b..a526fdaa7 100644
--- a/org.eclipse.jgit.test/tst/org/eclipse/jgit/api/PullCommandTest.java
+++ b/org.eclipse.jgit.test/tst/org/eclipse/jgit/api/PullCommandTest.java
@@ -58,6 +58,7 @@ import java.util.concurrent.Callable;
 import org.eclipse.jgit.api.CreateBranchCommand.SetupUpstreamMode;
 import org.eclipse.jgit.api.MergeResult.MergeStatus;
 import org.eclipse.jgit.api.errors.NoHeadException;
+import org.eclipse.jgit.junit.JGitTestUtil;
 import org.eclipse.jgit.junit.RepositoryTestCase;
 import org.eclipse.jgit.lib.Constants;
 import org.eclipse.jgit.lib.ObjectId;
@@ -184,6 +185,40 @@ public class PullCommandTest extends RepositoryTestCase {
 				.getRepositoryState());
 	}
 
+	@Test
+	public void testPullWithUntrackedStash() throws Exception {
+		target.pull().call();
+
+		// change the source file
+		writeToFile(sourceFile, "Source change");
+		source.add().addFilepattern("SomeFile.txt").call();
+		source.commit().setMessage("Source change in remote").call();
+
+		// write untracked file
+		writeToFile(new File(dbTarget.getWorkTree(), "untracked.txt"),
+				"untracked");
+		RevCommit stash = target.stashCreate().setIndexMessage("message here")
+				.setIncludeUntracked(true).call();
+		assertNotNull(stash);
+		assertTrue(target.status().call().isClean());
+
+		// pull from source
+		assertTrue(target.pull().call().isSuccessful());
+		assertEquals("[SomeFile.txt, mode:100644, content:Source change]",
+				indexState(dbTarget, CONTENT));
+		assertFalse(JGitTestUtil.check(dbTarget, "untracked.txt"));
+		assertEquals("Source change",
+				JGitTestUtil.read(dbTarget, "SomeFile.txt"));
+
+		// apply the stash
+		target.stashApply().setStashRef(stash.getName()).call();
+		assertEquals("[SomeFile.txt, mode:100644, content:Source change]",
+				indexState(dbTarget, CONTENT));
+		assertEquals("untracked", JGitTestUtil.read(dbTarget, "untracked.txt"));
+		assertEquals("Source change",
+				JGitTestUtil.read(dbTarget, "SomeFile.txt"));
+	}
+
 	@Test
 	public void testPullLocalConflict() throws Exception {
 		target.branchCreate().setName("basedOnMaster").setStartPoint(
@@ -576,4 +611,4 @@ public class PullCommandTest extends RepositoryTestCase {
 				fis.close();
 		}
 	}
-}
+}
\ No newline at end of file
diff --git a/org.eclipse.jgit/src/org/eclipse/jgit/api/StashApplyCommand.java b/org.eclipse.jgit/src/org/eclipse/jgit/api/StashApplyCommand.java
index 1699b9f3d..b8ee1ec0b 100644
--- a/org.eclipse.jgit/src/org/eclipse/jgit/api/StashApplyCommand.java
+++ b/org.eclipse.jgit/src/org/eclipse/jgit/api/StashApplyCommand.java
@@ -223,8 +223,13 @@ public class StashApplyCommand extends GitCommand<ObjectId> {
 					ResolveMerger untrackedMerger = (ResolveMerger) strategy
 							.newMerger(repo, true);
 					untrackedMerger.setCommitNames(new String[] {
-							"stashed HEAD", "HEAD", "untracked files" }); //$NON-NLS-1$//$NON-NLS-2$//$NON-NLS-3$
-					untrackedMerger.setBase(stashHeadCommit);
+							"null", "HEAD", "untracked files" }); //$NON-NLS-1$//$NON-NLS-2$//$NON-NLS-3$
+					// There is no common base for HEAD & untracked files
+					// because the commit for untracked files has no parent. If
+					// we use stashHeadCommit as common base (as in the other
+					// merges) we potentially report conflicts for files
+					// which are not even member of untracked files commit
+					untrackedMerger.setBase(null);
 					boolean ok = untrackedMerger.merge(headCommit,
 							untrackedCommit);
 					if (ok)