diff --git a/source/blender/blenlib/intern/fileops.c b/source/blender/blenlib/intern/fileops.c
index b9c0dd65ede..0228032df01 100644
--- a/source/blender/blenlib/intern/fileops.c
+++ b/source/blender/blenlib/intern/fileops.c
@@ -311,9 +311,9 @@ void BLI_recurdir_fileops(char *dirname) {
 int BLI_rename(char *from, char *to) {
 	if (!BLI_exists(from)) return 0;
 
-	/* refuse to rename if file already exists */
-	if (BLI_exists(to))
-		return 1; 
+	/* make sure the filenames are different (case insensitive) before removing */
+	if (BLI_exists(to) && BLI_strcasecmp(from, to))
+		if(BLI_delete(to, 0, 0)) return 1;
 
 	return rename(from, to);
 }
@@ -391,8 +391,7 @@ void BLI_recurdir_fileops(char *dirname) {
 int BLI_rename(char *from, char *to) {
 	if (!BLI_exists(from)) return 0;
 	
-	/* refuse to rename if file already exists */
-	if (BLI_exists(to)) return 1;
+	if (BLI_exists(to))	if(BLI_delete(to, 0, 0)) return 1;
 
 	return rename(from, to);
 }
diff --git a/source/blender/editors/space_file/file_draw.c b/source/blender/editors/space_file/file_draw.c
index 1074a24f9ae..e807bad28bf 100644
--- a/source/blender/editors/space_file/file_draw.c
+++ b/source/blender/editors/space_file/file_draw.c
@@ -501,6 +501,8 @@ static void renamebutton_cb(bContext *C, void *arg1, char *oldname)
 	char orgname[FILE_MAX+12];
 	char filename[FILE_MAX+12];
 	SpaceFile *sfile= (SpaceFile*)CTX_wm_space_data(C);
+	ARegion* ar = CTX_wm_region(C);
+
 	struct direntry *file = (struct direntry *)arg1;
 
 	BLI_make_file_string(G.sce, orgname, sfile->params->dir, oldname);
@@ -508,10 +510,15 @@ static void renamebutton_cb(bContext *C, void *arg1, char *oldname)
 	BLI_make_file_string(G.sce, newname, sfile->params->dir, filename);
 
 	if( strcmp(orgname, newname) != 0 ) {
-		BLI_rename(orgname, newname);
-
-		/* to refresh the file list, does sorting again */
-		filelist_free(sfile->files);
+		if (!BLI_exists(newname)) {
+			BLI_rename(orgname, newname);
+			/* to make sure we show what is on disk */
+			filelist_free(sfile->files);
+		} else {
+			BLI_strncpy(file->relname, oldname, strlen(oldname)+1);
+		}
+		
+		ED_region_tag_redraw(ar);
 	}
 }