diff --git a/gcc/cp/ChangeLog b/gcc/cp/ChangeLog
index a405a9114eb..9b6bcdcbd88 100644
--- a/gcc/cp/ChangeLog
+++ b/gcc/cp/ChangeLog
@@ -1,5 +1,8 @@
 2002-09-16  Nathan Sidwell  <nathan@codesourcery.com>
 
+	PR c++/7718
+	* pt.c (tsubst_decl): Remove assert.
+
 	Remove DR 295 implementation.
 	* pt.c (check_cv_quals_for_unify): Disable function & method cases.
 	* tree.c (cp_build_qualified_type_real): Likewise. Don't warn
diff --git a/gcc/cp/pt.c b/gcc/cp/pt.c
index 86b3fc20d8e..64696bcdbc9 100644
--- a/gcc/cp/pt.c
+++ b/gcc/cp/pt.c
@@ -5694,8 +5694,6 @@ tsubst_decl (t, args, type, complain)
   tree r = NULL_TREE;
   tree in_decl = t;
 
-  my_friendly_assert (complain & tf_error, 20011214);
-  
   /* Set the filename and linenumber to improve error-reporting.  */
   saved_lineno = lineno;
   saved_filename = input_filename;
diff --git a/gcc/testsuite/ChangeLog b/gcc/testsuite/ChangeLog
index e399a34b141..63b882ffbae 100644
--- a/gcc/testsuite/ChangeLog
+++ b/gcc/testsuite/ChangeLog
@@ -1,9 +1,17 @@
+2002-09-16  Nathan Sidwell  <nathan@codesourcery.com>
+
+	* g++.dg/template/subst1.C: New test.
+	
 2002-09-16  Steve Ellcey  <sje@cup.hp.com>
 
 	* gcc.dg/20020312-2.c: Change __parisc__ to __hppa__.
 
 2002-09-16  Nathan Sidwell  <nathan@codesourcery.com>
 
+	* g++.dg/template/qualttp20.C: Adjust expected errors.
+	* g++.old-deja/g++.jason/report.C: Likewise.
+	* g++.old-deja/g++.other/qual1.C: Likewise.
+
 	* g++.dg/lookup/scoped2.C: New test.
 
 	* g++.dg/ext/asm3.C: New test.
diff --git a/gcc/testsuite/g++.dg/template/subst1.C b/gcc/testsuite/g++.dg/template/subst1.C
new file mode 100644
index 00000000000..827af23d21e
--- /dev/null
+++ b/gcc/testsuite/g++.dg/template/subst1.C
@@ -0,0 +1,27 @@
+// { dg-do compile }
+
+// Copyright (C) 2002 Free Software Foundation, Inc.
+// Contributed by Nathan Sidwell 16 Sep 2002 <nathan@codesourcery.com>
+
+// PR 7718. ICE.
+
+template <typename OBJECT>
+void default_initializer(const OBJECT &) { }
+
+
+template <typename OBJECT, void init_function(const OBJECT &)>
+class cContainer {
+  public:
+  template <typename INITIALIZER>
+  void Add(const INITIALIZER &initializer) {
+    init_function(initializer);
+  }
+};
+
+int main() {
+  cContainer<int, default_initializer<int> > c;
+  
+  c.Add<int>(42);
+  
+  return 0;
+}