diff --git a/fs/ext3/ialloc.c b/fs/ext3/ialloc.c
index 96552769d039e64d13d2ecc80e4c356eefc4398c..6549945f9ac156ae0523108ffc3b8bfc0cd88448 100644
--- a/fs/ext3/ialloc.c
+++ b/fs/ext3/ialloc.c
@@ -597,27 +597,22 @@ struct inode *ext3_new_inode(handle_t *handle, struct inode * dir, int mode)
 
 	ret = inode;
 	if(DQUOT_ALLOC_INODE(inode)) {
-		DQUOT_DROP(inode);
 		err = -EDQUOT;
-		goto fail2;
+		goto fail_drop;
 	}
+
 	err = ext3_init_acl(handle, inode, dir);
-	if (err) {
-		DQUOT_FREE_INODE(inode);
-		DQUOT_DROP(inode);
-		goto fail2;
-  	}
+	if (err)
+		goto fail_free_drop;
+
 	err = ext3_init_security(handle,inode, dir);
-	if (err) {
-		DQUOT_FREE_INODE(inode);
-		goto fail2;
-	}
+	if (err)
+		goto fail_free_drop;
+
 	err = ext3_mark_inode_dirty(handle, inode);
 	if (err) {
 		ext3_std_error(sb, err);
-		DQUOT_FREE_INODE(inode);
-		DQUOT_DROP(inode);
-		goto fail2;
+		goto fail_free_drop;
 	}
 
 	ext3_debug("allocating inode %lu\n", inode->i_ino);
@@ -631,7 +626,11 @@ struct inode *ext3_new_inode(handle_t *handle, struct inode * dir, int mode)
 	brelse(bitmap_bh);
 	return ret;
 
-fail2:
+fail_free_drop:
+	DQUOT_FREE_INODE(inode);
+
+fail_drop:
+	DQUOT_DROP(inode);
 	inode->i_flags |= S_NOQUOTA;
 	inode->i_nlink = 0;
 	iput(inode);