diff --git a/src/util/nodeset_loader/ua_nodeset_loader_apply.c b/src/util/nodeset_loader/ua_nodeset_loader_apply.c
index 02e49450d..2dde27149 100644
--- a/src/util/nodeset_loader/ua_nodeset_loader_apply.c
+++ b/src/util/nodeset_loader/ua_nodeset_loader_apply.c
@@ -246,7 +246,7 @@ handleVariableNode(NodeSet *nodeset, const NL_VariableNode *node, UA_NodeId pare
         ret = decodeVariableValue(nodeset, (const NL_Node *)node, &node->value, &attr.dataType,
                                   attr.valueRank, attr.arrayDimensionsSize, attr.arrayDimensions,
                                   &attr.value);
-        if(ret == UA_STATUSCODE_BADOUTOFMEMORY)
+        if(ret != UA_STATUSCODE_GOOD)
             goto cleanup;
 #else
         UA_LOG_WARNING(nodeset->logger, UA_LOGCATEGORY_SERVER,
@@ -328,7 +328,7 @@ handleVariableTypeNode(NodeSet *nodeset, const NL_VariableTypeNode *node, UA_Nod
         ret = decodeVariableValue(nodeset, (const NL_Node *)node, &node->value, &attr.dataType,
                                   attr.valueRank, attr.arrayDimensionsSize, attr.arrayDimensions,
                                   &attr.value);
-        if(ret == UA_STATUSCODE_BADOUTOFMEMORY)
+        if(ret != UA_STATUSCODE_GOOD)
             goto cleanup;
 #else
         UA_LOG_WARNING(nodeset->logger, UA_LOGCATEGORY_SERVER,
diff --git a/tests/nodeset-loader/check_nodeset_loader_input.c b/tests/nodeset-loader/check_nodeset_loader_input.c
index 38e3517c6..bd182bd08 100644
--- a/tests/nodeset-loader/check_nodeset_loader_input.c
+++ b/tests/nodeset-loader/check_nodeset_loader_input.c
@@ -506,6 +506,28 @@ START_TEST(Server_rejectNegativeUnsignedInitialValue) {
 }
 END_TEST
 
+START_TEST(Server_rejectMalformedInitialValue) {
+    /* A malformed supplied value must not become a default value, even when
+     * defaults are allowed for variables that omit their initial value. */
+    UA_Server_getConfig(server)->allowEmptyVariables = UA_RULEHANDLING_DEFAULT;
+    static const char *const nodes[] = {
+        ("<UAVariable NodeId=\"ns=1;i=1\" BrowseName=\"1:InvalidValue\" DataType=\"i=6\">"
+         "<Value><Int32>12x</Int32></Value><References>"
+         "<Reference ReferenceType=\"i=35\" IsForward=\"false\">i=85</Reference>"
+         "<Reference ReferenceType=\"i=40\">i=63</Reference>"
+         "</References></UAVariable>"),
+        ("<UAVariableType NodeId=\"ns=1;i=1\" BrowseName=\"1:InvalidValue\" DataType=\"i=6\">"
+         "<Value><Int32>12x</Int32></Value><References>"
+         "<Reference ReferenceType=\"i=45\" IsForward=\"false\">i=63</Reference>"
+         "</References></UAVariableType>")
+    };
+    UA_UInt16 nsIndex = loadValidationNodes(nodes[_i]);
+    UA_NodeClass nodeClass = UA_NODECLASS_UNSPECIFIED;
+    ck_assert_uint_eq(UA_Server_readNodeClass(server,
+        UA_NODEID_NUMERIC(nsIndex, 1), &nodeClass), UA_STATUSCODE_BADNODEIDUNKNOWN);
+}
+END_TEST
+
 static Suite *
 testSuite_Client(void) {
     Suite *s = suite_create("Server Nodeset Loader");
@@ -528,6 +550,7 @@ testSuite_Client(void) {
     tcase_add_test(tc_validation, Server_rejectUnresolvableDataTypeDefinitions);
     tcase_add_loop_test(tc_validation, Server_validateDataTypeFieldLimits, 0, 4);
     tcase_add_loop_test(tc_validation, Server_rejectNegativeUnsignedInitialValue, 0, 2);
+    tcase_add_loop_test(tc_validation, Server_rejectMalformedInitialValue, 0, 2);
     suite_add_tcase(s, tc_validation);
     return s;
 }