spin_lock(&dquot->dq_dqb_lock);
        if (!sb_has_quota_limits_enabled(sb, dquot->dq_id.type) ||
            test_bit(DQ_FAKE_B, &dquot->dq_flags))
-               goto add;
+               goto finish;
 
        tspace = dquot->dq_dqb.dqb_curspace + dquot->dq_dqb.dqb_rsvspace
                + space + rsv_space;
 
-       if (flags & DQUOT_SPACE_NOFAIL)
-               goto add;
-
        if (dquot->dq_dqb.dqb_bhardlimit &&
            tspace > dquot->dq_dqb.dqb_bhardlimit &&
             !ignore_hardlimit(dquot)) {
                if (flags & DQUOT_SPACE_WARN)
                        prepare_warning(warn, dquot, QUOTA_NL_BHARDWARN);
                ret = -EDQUOT;
-               goto out;
+               goto finish;
        }
 
        if (dquot->dq_dqb.dqb_bsoftlimit &&
                if (flags & DQUOT_SPACE_WARN)
                        prepare_warning(warn, dquot, QUOTA_NL_BSOFTLONGWARN);
                ret = -EDQUOT;
-               goto out;
+               goto finish;
        }
 
        if (dquot->dq_dqb.dqb_bsoftlimit &&
                         * be always printed
                         */
                        ret = -EDQUOT;
-                       goto out;
+                       goto finish;
                }
        }
-add:
-       dquot->dq_dqb.dqb_rsvspace += rsv_space;
-       dquot->dq_dqb.dqb_curspace += space;
-out:
+finish:
+       /*
+        * We have to be careful and go through warning generation & grace time
+        * setting even if DQUOT_SPACE_NOFAIL is set. That's why we check it
+        * only here...
+        */
+       if (flags & DQUOT_SPACE_NOFAIL)
+               ret = 0;
+       if (!ret) {
+               dquot->dq_dqb.dqb_rsvspace += rsv_space;
+               dquot->dq_dqb.dqb_curspace += space;
+       }
        spin_unlock(&dquot->dq_dqb_lock);
        return ret;
 }