diff --git a/file_entity.pages.inc b/file_entity.pages.inc
index e9ae2b4..6c74536 100644
--- a/file_entity.pages.inc
+++ b/file_entity.pages.inc
@@ -461,8 +461,11 @@ function file_entity_add_upload_submit($form, &$form_state) {
           'file_directory' => $form_state['storage']['path'],
         )) . $separator . drupal_basename($file->uri);
 
+        /* we need to make sure the file exists before we can move it */
+        $exists = file_destination($file->uri, FILE_EXISTS_ERROR);
+
         // If it changed, move the file to its new location.
-        if ($file->uri != $uri_new) {
+        if (($file->uri != $uri_new) && $exists) {
           $path = drupal_dirname($uri_new);
           file_prepare_directory($path, FILE_CREATE_DIRECTORY | FILE_MODIFY_PERMISSIONS);
           $file = file_move($file, $uri_new, FILE_EXISTS_RENAME);