diff --git a/lib/bundler/cli/install.rb b/lib/bundler/cli/install.rb
index e9b85f7f6f..1601fc6a98 100644
--- a/lib/bundler/cli/install.rb
+++ b/lib/bundler/cli/install.rb
@@ -147,8 +147,11 @@ module Bundler
     def normalize_settings
       Bundler.settings.set_command_option :path, nil if options[:system]
       Bundler.settings.set_command_option_if_given :path, options[:path]
-      Bundler.settings.temporary(:path_relative_to_cwd => false) do
-        Bundler.settings.set_command_option :path, "bundle" if options["standalone"] && Bundler.settings[:path].nil?
+
+      if options["standalone"] && Bundler.settings[:path].nil?
+        Bundler.settings.temporary(:path_relative_to_cwd => false) do
+          Bundler.settings.set_command_option :path, "bundle"
+        end
       end
 
       bin_option = options["binstubs"]