diff --git a/oggm/core/dynamic_spinup.py b/oggm/core/dynamic_spinup.py
index bcdf21dd8..b6d9262a6 100644
--- a/oggm/core/dynamic_spinup.py
+++ b/oggm/core/dynamic_spinup.py
@@ -2626,8 +2626,7 @@ def get_mismatch(melt_f):
             # step away from the limits until we are at the initial guess or we
             # found an error free run
             tmp_mismatch = None
-            while ((current_min_error | current_max_error | iteration == 0) &
-                   (iteration < max_iterations)):
+            while tmp_mismatch is None and iteration < max_iterations:
                 try:
                     tmp_mismatch = fct_to_minimise(melt_f)
                 except RuntimeError as e:
@@ -2686,7 +2685,7 @@ def get_mismatch(melt_f):
 
                 iteration += 1
 
-            if iteration >= max_iterations:
+            if tmp_mismatch is None:
                 # ok we were not able to find an mismatch without error
                 if current_min_error:
                     raise RuntimeError('Not able to find new lower limit for '
diff --git a/oggm/tests/test_models.py b/oggm/tests/test_models.py
index 6afeffe59..0d7178107 100644
--- a/oggm/tests/test_models.py
+++ b/oggm/tests/test_models.py
@@ -50,6 +50,7 @@
     dynamic_melt_f_run_with_dynamic_spinup_fallback,
     dynamic_melt_f_run,
     dynamic_melt_f_run_fallback,
+    define_new_melt_f_in_gdir,
     _get_spinup_periods_to_run)
 
 FluxBasedModel = partial(FluxBasedModel, inplace=True)
@@ -7285,6 +7286,62 @@ def reset_melt_f():
             run_function=dynamic_melt_f_run,
             fallback_function=dynamic_melt_f_run_fallback)
 
+    def test_run_dynamic_melt_f_calibration_recovers_from_error_at_limit(
+            self, hef_gdir):
+        # if run_function fails with melt_f at a limit, calibration
+        # should retry with a different limit instead of falling back.
+        gdir = hef_gdir
+        melt_f_initial = gdir.settings['melt_f']
+        ref_mb = -500.
+        ref_mb_err = 100.
+
+        calls = []
+
+        def fake_run_function(gdir, melt_f=None, set_local_variables=False,
+                              **kwargs):
+            if set_local_variables:
+                return
+            define_new_melt_f_in_gdir(gdir, melt_f)
+            calls.append(melt_f)
+            if len(calls) == 1:
+                # large negative mismatch pushes the second guess above the
+                # upper melt_f limit
+                return None, ref_mb - 10 * ref_mb_err
+            elif len(calls) == 2:
+                # fail while melt_f sits at the upper limit
+                raise RuntimeError('planned error at melt_f limit')
+            return None, ref_mb
+
+        def fake_fallback_function(*args, **kwargs):
+            raise AssertionError('fallback_function must not be called')
+
+        try:
+            run_dynamic_melt_f_calibration(
+                gdir, observations_filesuffix='_recovery_test',
+                ref_mb=ref_mb, ref_mb_err=ref_mb_err,
+                ref_mb_period='1980-01-01_2000-01-01',
+                ys=1980, ye=2000,
+                melt_f_min=1, melt_f_max=1000 * 12 / 365,
+                melt_f_max_step_length_minimum=1.,
+                run_function=fake_run_function,
+                fallback_function=fake_fallback_function,
+                output_filesuffix='_dyn_melt_f_recovery')
+
+            # first guess, failing run at the upper limit, successful retry
+            assert len(calls) == 3
+            assert np.isclose(calls[0], melt_f_initial)
+            # second guess was clipped to the upper limit
+            # (melt_f_max_step_length is pinned to 1 in this setup)
+            assert np.isclose(calls[1], melt_f_initial + 1.)
+            # retry failing threshold in steps of melt_f_max_step_length / 10
+            assert np.isclose(calls[2],
+                              np.round(melt_f_initial + 1. - 0.1, decimals=1))
+            assert gdir.settings['used_spinup_option'] == \
+                   'dynamic melt_f calibration (full success)'
+        finally:
+            # restore for other tests sharing the fixture
+            gdir.settings['melt_f'] = melt_f_initial
+
 
 @pytest.mark.usefixtures('with_class_wd')
 @pytest.mark.test_env("models_dynamics")