diff --git a/app/models/domain/name_change_subdomains.rb b/app/models/domain/name_change_subdomains.rb
index cb2e513..eb1bf28 100644
--- a/app/models/domain/name_change_subdomains.rb
+++ b/app/models/domain/name_change_subdomains.rb
@@ -5,10 +5,12 @@ class Domain < ActiveRecord::Base
     @apply_subdomains = ActiveRecord::ConnectionAdapters::Column.value_to_boolean(v)
   end
   
+  before_update do
+    self.parent = parent_domain if name_changed? # recompute parent
+  end
+  
   after_update do
-    if name_changed?
-      apply_subdomains ? chain_rename : sync_orphan_children
-    end
+    (apply_subdomains ? chain_rename : sync_orphan_children) if name_changed?
   end
   
   protected
@@ -33,7 +35,7 @@ class Domain < ActiveRecord::Base
   # Syncs with nested interval when the parent is added later than the children
   def sync_orphan_children
     previous_children_subdomains.each do |subdomain|
-      subdomain.parent = nil
+      subdomain.parent = subdomain.parent_domain
       subdomain.save!
     end
   end
diff --git a/app/models/domain/tree_structure.rb b/app/models/domain/tree_structure.rb
index a9f6d4b..e1b6ba6 100644
--- a/app/models/domain/tree_structure.rb
+++ b/app/models/domain/tree_structure.rb
@@ -55,7 +55,16 @@ class Domain < ActiveRecord::Base
     set_callback :update, :before, :sync_children
   end
   
+  # Syncs with nested interval when a child is added and parent exists
+  def sync_parent
+    self.parent = parent_domain if !@parent_synced && new_parent?
+  end
+  
   protected
+  
+  def new_parent?
+    parent_domain.present? && self.parent_id != parent_domain.id
+  end
 
   # Returns the first immediate parent, if exists (does not cache the search)
   # For example "sub.sub.domain.com"'s parent might be "sub.domain.com" or "domain.com"
@@ -79,13 +88,6 @@ class Domain < ActiveRecord::Base
     depth = first.depth
     descendants.select { |d| d.depth == depth }
   end
-  
-  # Syncs with nested interval when a child is added and parent exists
-  def sync_parent
-    if !@parent_synced && parent_domain.present? && self.parent_id != parent_domain.id
-      self.parent = parent_domain
-    end
-  end
 
   # Syncs with nested interval when the parent is added later than the children
   def sync_children
diff --git a/spec/models/domain_spec.rb b/spec/models/domain_spec.rb
index 5aea825..fb431fc 100644
--- a/spec/models/domain_spec.rb
+++ b/spec/models/domain_spec.rb
@@ -139,4 +139,14 @@ describe Domain do
     ss.parent.should_not be_nil
   end
   
+  it "recomputes parent", focus: true do
+    domain
+    subdomain
+    subsubdomain
+    subdomain.update_attributes(:name => "sub.changed#{domain.name}")
+    
+    subdomain.reload.parent.should be_nil
+    subsubdomain.reload.depth.should == 2
+  end
+  
 end