diff --git a/src/ng/directive/select.js b/src/ng/directive/select.js
index 6533fe8906c5..4833331fb49d 100644
--- a/src/ng/directive/select.js
+++ b/src/ng/directive/select.js
@@ -83,8 +83,11 @@ var SelectController =
 
 
   // Tell the select control that an option, with the given value, has been added
-  self.addOption = function(value) {
+  self.addOption = function(value, element) {
     assertNotHasOwnProperty(value, '"option value"');
+    if (value === '') {
+      self.emptyOption = element;
+    }
     var count = optionsMap.get(value) || 0;
     optionsMap.put(value, count + 1);
   };
diff --git a/test/ng/directive/selectSpec.js b/test/ng/directive/selectSpec.js
index 5be377aa54ee..2e6c78d8dc40 100644
--- a/test/ng/directive/selectSpec.js
+++ b/test/ng/directive/selectSpec.js
@@ -200,6 +200,42 @@ describe('select', function() {
 
     describe('empty option', function() {
 
+      it('should allow dynamic empty option', function() {
+        scope.dynamicOptions = [];
+
+        compile('<select ng-model="dynamicEmpty">' +
+            '<option ng-repeat="opt in dynamicOptions" value="{{opt.val}}">' +
+              '{{opt.display}}' +
+            '</option>' +
+          '</selec>');
+
+        expect(element.find('option').length).toBe(1, 'Initially there will be one empty option');
+        expect(element.find('option').val()).toBe('? undefined:undefined ?', 'Initially there will be one empty option with value ?');
+
+        // when dynamicOptions change and one of the elements is empty option self.emptyOption in directive should be defined
+        scope.dynamicOptions = [
+          {
+            val: '',
+            display: 'All Options'
+          },
+          {
+            val: '1',
+            display: 'First Option'
+          }
+        ];
+        scope.dynamicEmpty = '';
+
+        scope.$digest();
+
+        expect(element.find('option').length).toBe(2, 'There should be two option now');
+
+        expect(angular.element(element.find('option')[0]).val()).toBe('', 'First value should be empty');
+        expect(angular.element(element.find('option')[0]).text()).toBe('All Options', 'First text should be "All Options"');
+        expect(angular.element(element.find('option')[1]).val()).toBe('1', 'Second value should be empty');
+        expect(angular.element(element.find('option')[1]).text()).toBe('First Option', 'Second text should be "First Option"');
+
+      });
+
       it('should select the empty option when model is undefined', function() {
         compile('<select ng-model="robot">' +
                   '<option value="">--select--</option>' +