diff --git a/src/main/java/lua/CallFrame.java b/src/main/java/lua/CallFrame.java
index 2c76b143..8f4f0858 100644
--- a/src/main/java/lua/CallFrame.java
+++ b/src/main/java/lua/CallFrame.java
@@ -5,6 +5,7 @@ package lua;
 
 import lua.io.Closure;
 import lua.io.Proto;
+import lua.io.UpVal;
 import lua.value.LBoolean;
 import lua.value.LInteger;
 import lua.value.LNil;
@@ -121,7 +122,7 @@ public class CallFrame {
 			}
 			case StackState.OP_GETUPVAL: {
 				b = StackState.GETARG_B(i);
-				this.stack[base + a] = cl.upVals[b].value;
+				this.stack[base + a] = cl.upVals[b].getValue();
 				continue;
 			}
 			case StackState.OP_GETGLOBAL: {
@@ -148,7 +149,7 @@ public class CallFrame {
 			}
 			case StackState.OP_SETUPVAL: {
 				b = StackState.GETARG_B(i);
-				cl.upVals[b].value = this.stack[base + a];
+				cl.upVals[b].setValue( this.stack[base + a] );
 				continue;
 			}
 			case StackState.OP_SETTABLE: {
@@ -272,6 +273,8 @@ public class CallFrame {
 				if (b != 0) // else use previous instruction set top
 					top = base + a + b;
 
+				close( base ); // Close open upvals
+
 				// make or set up the call
 				this.stack[base + a].luaStackCall(this, base + a, top, c - 1);
 
@@ -298,6 +301,7 @@ public class CallFrame {
 				b = StackState.GETARG_B(i); // number of return vals
 				if (b != 0) // else use previous top
 					top = base + a + b - 1;
+				close( base ); // close open upvals
 				n = top - (base + a); // number to copy down
 				System.arraycopy(this.stack, base + a, this.stack,
 						base - 1, n);
@@ -379,7 +383,7 @@ public class CallFrame {
 				continue;
 			}
 			case StackState.OP_CLOSE: {
-				// for java, no need to do anything!
+				close( a ); // close upvals higher in the stack than position a
 				continue;
 			}
 			case StackState.OP_CLOSURE: {
@@ -391,12 +395,9 @@ public class CallFrame {
 					o = StackState.GET_OPCODE(i);
 					b = StackState.GETARG_B(i);
 					if (o == StackState.OP_GETUPVAL) {
-						newClosure.upVals[j] = cl.upVals[b]; // TODO
+						newClosure.upVals[j] = cl.upVals[b];
 					} else if (o == StackState.OP_MOVE) {
-						newClosure.upVals[j].value = this.stack[base + b]; // TODO:
-						// what
-						// to do
-						// here?
+						newClosure.upVals[j] = findUpVal( proto.upvalues[j], base + b );
 					} else {
 						throw new java.lang.IllegalArgumentException(
 								"bad opcode: " + o);
@@ -425,7 +426,30 @@ public class CallFrame {
 			}
 		}
 	}
-
+	
+	private UpVal findUpVal( LString upValName, int target ) {
+		UpVal up;
+		int i;
+		for ( i = this.state.upvals.size() - 1; i >= 0; --i ) {
+			up = (UpVal) this.state.upvals.elementAt( i );
+			if ( up.stack == this.stack && up.position == target ) {
+				return up;
+			} else if ( up.position < target ) {
+				break;
+			}
+		}
+		
+		up = new UpVal( upValName, this.stack, target );
+		this.state.upvals.insertElementAt( up, i + 1 );
+		return up;
+	}
+	
+	private void close( int limit ) {
+		while ( !state.upvals.empty() && ( (UpVal) this.state.upvals.lastElement() ).close( limit ) ) {
+			this.state.upvals.pop();
+		}
+	}
+	
 	public void push(LValue value) {
 		stack[top++] = value;
 	}
diff --git a/src/main/java/lua/io/Closure.java b/src/main/java/lua/io/Closure.java
index 231fc06c..95bb76d5 100644
--- a/src/main/java/lua/io/Closure.java
+++ b/src/main/java/lua/io/Closure.java
@@ -13,8 +13,6 @@ public class Closure extends LFunction {
 		this.env = state._G;
 		this.p = p;
 		upVals = new UpVal[p.nups];
-		for ( int i=0; i<p.nups; i++ )
-			upVals[i] = new UpVal( p.upvalues[i] );
 	}
 
 	// perform a lua call
diff --git a/src/main/java/lua/io/UpVal.java b/src/main/java/lua/io/UpVal.java
index 16a8fa74..87f0c201 100644
--- a/src/main/java/lua/io/UpVal.java
+++ b/src/main/java/lua/io/UpVal.java
@@ -6,14 +6,35 @@ import lua.value.LValue;
 public class UpVal {
 
 	private LString name;
-	public LValue value;
+	public LValue[] stack;
+	public int position;
 	
-	public UpVal( LString string ) {
+	public UpVal( LString string, LValue[] stack, int i ) {
 		this.name = string;
+		this.stack = stack;
+		this.position = i;
 	}
-		
+	
 	public String toString() {
 		return "up."+name;
 	}
-
+	
+	public LValue getValue() {
+		return stack[ position ];
+	}
+	
+	public void setValue( LValue value ) {
+		stack[ position ] = value;
+	}
+	
+	public boolean close( int limit ) {
+		if ( position >= limit ) {
+			final LValue v = stack[ position ];
+			stack = new LValue[] { v };
+			position = 0;
+			return true;
+		} else {
+			return false;
+		}
+	}
 }
diff --git a/src/test/java/lua/LuaJTest.java b/src/test/java/lua/LuaJTest.java
index 2147ae5b..dcbb7957 100644
--- a/src/test/java/lua/LuaJTest.java
+++ b/src/test/java/lua/LuaJTest.java
@@ -47,6 +47,10 @@ public class LuaJTest extends TestCase {
 		runTest( "upvalues" );
 	}
 	
+	public void testUpvalues2() throws IOException, InterruptedException {
+		runTest( "upvalues2" );
+	}
+	
 	private void runTest( String testName ) throws IOException, InterruptedException {
 		// add LuaJava bindings
 		LuaJava.install();
diff --git a/src/test/res/upvalues2.lua b/src/test/res/upvalues2.lua
new file mode 100644
index 00000000..f1c667d9
--- /dev/null
+++ b/src/test/res/upvalues2.lua
@@ -0,0 +1,42 @@
+-- The point of this test is that when an upvalue is created, it may
+-- need to be inserted in the middle of the list, rather than always
+-- appended at the end. Otherwise, it may not be found when it is
+-- needed by another closure.
+
+local function test()
+   local x = 3
+   local y = 5
+   local z = 7
+   
+   local function f()
+      print("y=", y)
+   end
+   
+   local function g()
+      print("z=", z)
+   end
+   
+   local function h()
+      print("x=", x)
+   end
+   
+   local function setter(x1, y1, z1)
+      x = x1
+      y = y1
+      z = z1
+   end
+   
+   return f, g, h, setter
+end
+
+local f, g, h, setter = test()
+
+h()
+f()
+g()
+
+setter("x", "y", "z")
+
+h()
+f()
+g()
diff --git a/src/test/res/upvalues2.luac b/src/test/res/upvalues2.luac
new file mode 100644
index 00000000..41c49463
Binary files /dev/null and b/src/test/res/upvalues2.luac differ