diff --git a/parse.y b/parse.y
index 5b9955a66a..e87c98d4ff 100644
--- a/parse.y
+++ b/parse.y
@@ -5879,7 +5879,10 @@ p_var_ref	: '^' tIDENTIFIER
                     {
                     /*%%%*/
                         NODE *n = gettable(p, $2, &@$);
-                        if (!(nd_type_p(n, NODE_LVAR) || nd_type_p(n, NODE_DVAR))) {
+                        if (!n) {
+                            n = NEW_ERROR(&@$);
+                        }
+                        else if (!(nd_type_p(n, NODE_LVAR) || nd_type_p(n, NODE_DVAR))) {
                             compile_error(p, "%"PRIsVALUE": no such local variable", rb_id2str($2));
                         }
                         $$ = n;
diff --git a/test/ruby/test_syntax.rb b/test/ruby/test_syntax.rb
index 954ad56156..854fd46027 100644
--- a/test/ruby/test_syntax.rb
+++ b/test/ruby/test_syntax.rb
@@ -381,6 +381,7 @@ class TestSyntax < Test::Unit::TestCase
     assert_syntax_error("def foo(var: var) var end", message)
     assert_syntax_error("def foo(var: bar(var)) var end", message)
     assert_syntax_error("def foo(var: bar {var}) var end", message)
+    assert_syntax_error("def foo(var: (1 in ^var)); end", message)
 
     o = Object.new
     assert_warn("") do
@@ -446,6 +447,7 @@ class TestSyntax < Test::Unit::TestCase
     assert_syntax_error("def foo(var = bar {var}) var end", message)
     assert_syntax_error("def foo(var = (def bar;end; var)) var end", message)
     assert_syntax_error("def foo(var = (def self.bar;end; var)) var end", message)
+    assert_syntax_error("def foo(var = (1 in ^var)); end", message)
 
     o = Object.new
     assert_warn("") do