diff --git a/gcc/cp/ChangeLog b/gcc/cp/ChangeLog
index 317161bf1cc..4fa45af5663 100644
--- a/gcc/cp/ChangeLog
+++ b/gcc/cp/ChangeLog
@@ -1,3 +1,8 @@
+1998-10-16  Mark Mitchell  <mark@markmitchell.com>
+
+	* pt.c (for_each_template_parm): Don't examine uninstantiated
+	default arguments.
+
 1998-10-16  Dave Brolley  <brolley@cygnus.com>
 
         * lex.c (real_yylex): Fix unaligned access of wchar_t.
diff --git a/gcc/cp/pt.c b/gcc/cp/pt.c
index c3e2d2ebdc2..852634c622a 100644
--- a/gcc/cp/pt.c
+++ b/gcc/cp/pt.c
@@ -3766,10 +3766,29 @@ for_each_template_parm (t, fn, data)
       return for_each_template_parm (TREE_VALUE
 				     (TYPE_TEMPLATE_INFO (t)),
 				     fn, data);
-    case FUNCTION_TYPE:
-      if (for_each_template_parm (TYPE_ARG_TYPES (t), fn, data))
+    case METHOD_TYPE:
+      if (for_each_template_parm (TYPE_METHOD_BASETYPE (t), fn, data))
 	return 1;
+      /* Fall through.  */
+
+    case FUNCTION_TYPE:
+      /* Check the parameter types.  Since default arguments are not
+	 instantiated until they are needed, the TYPE_ARG_TYPES may
+	 contain expressions that involve template parameters.  But,
+	 no-one should be looking at them yet.  And, once they're
+	 instantiated, they don't contain template parameters, so
+	 there's no point in looking at them then, either.  */
+      {
+	tree parm;
+
+	for (parm = TYPE_ARG_TYPES (t); parm; parm = TREE_CHAIN (parm))
+	  if (for_each_template_parm (TREE_VALUE (parm), fn, data))
+	    return 1;
+      }
+
+      /* Check the return type, too.  */
       return for_each_template_parm (TREE_TYPE (t), fn, data);
+
     case ARRAY_TYPE:
       if (for_each_template_parm (TYPE_DOMAIN (t), fn, data))
 	return 1;
@@ -3778,12 +3797,6 @@ for_each_template_parm (t, fn, data)
       if (for_each_template_parm (TYPE_OFFSET_BASETYPE (t), fn, data))
 	return 1;
       return for_each_template_parm (TREE_TYPE (t), fn, data);
-    case METHOD_TYPE:
-      if (for_each_template_parm (TYPE_METHOD_BASETYPE (t), fn, data))
-	return 1;
-      if (for_each_template_parm (TYPE_ARG_TYPES (t), fn, data))
-	return 1;
-      return for_each_template_parm (TREE_TYPE (t), fn, data);
 
       /* decl nodes */
     case TYPE_DECL:
diff --git a/gcc/testsuite/g++.old-deja/g++.pt/defarg5.C b/gcc/testsuite/g++.old-deja/g++.pt/defarg5.C
new file mode 100644
index 00000000000..6a68bad8251
--- /dev/null
+++ b/gcc/testsuite/g++.old-deja/g++.pt/defarg5.C
@@ -0,0 +1,24 @@
+// Build don't link:
+
+template <int dim>
+class Point {
+  public:
+    Point (Point<dim> &);
+    Point<dim> & operator = (Point<dim> &);
+};
+
+
+
+template <int dim>
+class bar{
+  public:
+    void foo (Point<dim> p = Point<dim>());
+};
+
+
+
+template <>
+void bar<2>::foo (Point<2> p) {
+  const int dim = 2;
+  Point<dim> q = p;
+};