diff --git a/bin/sh/eval.c b/bin/sh/eval.c
index 9d67b9eeaa28..25793c1672b3 100644
--- a/bin/sh/eval.c
+++ b/bin/sh/eval.c
@@ -140,7 +140,7 @@ evalcmd(int argc, char **argv)
                         STPUTC('\0', concat);
                         p = grabstackstr(concat);
                 }
-                evalstring(p, builtin_flags & EV_TESTED);
+                evalstring(p, builtin_flags);
         } else
                 exitstatus = 0;
         return exitstatus;
@@ -908,6 +908,7 @@ evalcommand(union node *cmd, int flags, struct backcmd *backcmd)
 				dup2(pip[1], 1);
 				close(pip[1]);
 			}
+			flags &= ~EV_BACKCMD;
 		}
 		flags |= EV_EXIT;
 	}
diff --git a/tools/regression/bin/sh/expansion/cmdsubst11.0 b/tools/regression/bin/sh/expansion/cmdsubst11.0
new file mode 100644
index 000000000000..f1af547421f9
--- /dev/null
+++ b/tools/regression/bin/sh/expansion/cmdsubst11.0
@@ -0,0 +1,5 @@
+# $FreeBSD$
+
+# Not required by POSIX but useful for efficiency.
+
+[ $$ = $(eval '${SH} -c echo\ \$PPID') ]