diff --git a/src/path.c b/src/path.c
index 81b4d51df..8f861e68e 100644
--- a/src/path.c
+++ b/src/path.c
@@ -1066,8 +1066,10 @@ int git_path_direach(
 		git_buf_truncate(path, wd_len); /* restore path */
 
 		/* Only set our own error if the callback did not set one already */
-		if (error != 0 && !giterr_last()) {
-			giterr_set_after_callback(error);
+		if (error != 0) {
+			if (!giterr_last())
+				giterr_set_after_callback(error);
+
 			break;
 		}
 	}
diff --git a/tests/odb/foreach.c b/tests/odb/foreach.c
index 75448a2f7..12b81b4f1 100644
--- a/tests/odb/foreach.c
+++ b/tests/odb/foreach.c
@@ -71,15 +71,35 @@ static int foreach_stop_cb(const git_oid *oid, void *data)
 	return (*nobj == 1000) ? -321 : 0;
 }
 
+static int foreach_stop_first_cb(const git_oid *oid, void *data)
+{
+	int *nobj = data;
+	(*nobj)++;
+
+	GIT_UNUSED(oid);
+
+	return -123;
+}
+
 void test_odb_foreach__interrupt_foreach(void)
 {
 	int nobj = 0;
+	git_oid id;
 
 	cl_git_pass(git_repository_open(&_repo, cl_fixture("testrepo.git")));
 	git_repository_odb(&_odb, _repo);
 
 	cl_assert_equal_i(-321, git_odb_foreach(_odb, foreach_stop_cb, &nobj));
 	cl_assert(nobj == 1000);
+
+	git_odb_free(_odb);
+	git_repository_free(_repo);
+
+	cl_git_pass(git_repository_init(&_repo, "onlyloose.git", true));
+	git_repository_odb(&_odb, _repo);
+
+	cl_git_pass(git_odb_write(&id, _odb, "", 0, GIT_OBJ_BLOB));
+	cl_assert_equal_i(-123, git_odb_foreach(_odb, foreach_stop_first_cb, &nobj));
 }
 
 void test_odb_foreach__files_in_objects_dir(void)