diff --git a/functional/test_conditional_exposure.py b/functional/test_conditional_exposure.py
index c1175f1..77159fe 100644
--- a/functional/test_conditional_exposure.py
+++ b/functional/test_conditional_exposure.py
@@ -76,6 +76,19 @@
       ram: 20000
       vcpus: 10
 """
+    fl_tmpl_nested = """
+heat_template_version: 2015-10-15
+resources:
+  not4everyonerg:
+    type: OS::Heat::ResourceGroup
+    properties:
+        count: 1
+        resource_def:
+            type: OS::Nova::Flavor
+            properties:
+              ram: 20000
+              vcpus: 10
+"""
 
     def test_non_admin_forbidden_create_flavors(self):
         """Fail to create Flavor resource w/o admin role.
@@ -95,3 +108,11 @@
         resources = self.client.resource_types.list()
         self.assertNotIn(self.forbidden_resource_type,
                          (r.resource_type for r in resources))
+
+    def test_non_admin_forbidden_create_flavors_nested(self):
+        stack_name = self._stack_rand_name()
+        ex = self.assertRaises(exc.Forbidden,
+                               self.client.stacks.create,
+                               stack_name=stack_name,
+                               template=self.fl_tmpl_nested)
+        self.assertIn(self.forbidden_resource_type, ex.message)