diff --git a/terraform/context_test.go b/terraform/context_test.go
index ed8184650..720ed2b2d 100644
--- a/terraform/context_test.go
+++ b/terraform/context_test.go
@@ -2628,6 +2628,52 @@ func TestContext2Validate_moduleProviderInherit(t *testing.T) {
 	}
 }
 
+func TestContext2Validate_moduleProviderInheritOrphan(t *testing.T) {
+	m := testModule(t, "validate-module-pc-inherit-orphan")
+	p := testProvider("aws")
+	c := testContext2(t, &ContextOpts{
+		Module: m,
+		Providers: map[string]ResourceProviderFactory{
+			"aws": testProviderFuncFixed(p),
+		},
+		State: &State{
+			Modules: []*ModuleState{
+				&ModuleState{
+					Path: []string{"root", "child"},
+					Resources: map[string]*ResourceState{
+						"aws_instance.bar": &ResourceState{
+							Type: "aws_instance",
+							Primary: &InstanceState{
+								ID: "bar",
+							},
+						},
+					},
+				},
+			},
+		},
+	})
+
+	p.ValidateFn = func(c *ResourceConfig) ([]string, []error) {
+		v, ok := c.Get("set")
+		if !ok {
+			return nil, []error{fmt.Errorf("not set")}
+		}
+		if v != "bar" {
+			return nil, []error{fmt.Errorf("bad: %#v", v)}
+		}
+
+		return nil, nil
+	}
+
+	w, e := c.Validate()
+	if len(w) > 0 {
+		t.Fatalf("bad: %#v", w)
+	}
+	if len(e) > 0 {
+		t.Fatalf("bad: %s", e)
+	}
+}
+
 func TestContext2Validate_moduleProviderVar(t *testing.T) {
 	m := testModule(t, "validate-module-pc-vars")
 	p := testProvider("aws")
diff --git a/terraform/test-fixtures/validate-module-pc-inherit-orphan/main.tf b/terraform/test-fixtures/validate-module-pc-inherit-orphan/main.tf
new file mode 100644
index 000000000..a5c34f64d
--- /dev/null
+++ b/terraform/test-fixtures/validate-module-pc-inherit-orphan/main.tf
@@ -0,0 +1,9 @@
+variable "foo" {
+    default = "bar"
+}
+
+provider "aws" {
+    set = "${var.foo}"
+}
+
+resource "aws_instance" "foo" {}
diff --git a/terraform/transform_expand.go b/terraform/transform_expand.go
index 440c522f3..3251ea36e 100644
--- a/terraform/transform_expand.go
+++ b/terraform/transform_expand.go
@@ -1,7 +1,6 @@
 package terraform
 
 import (
-	"fmt"
 	"log"
 
 	"github.com/hashicorp/terraform/dag"
@@ -61,25 +60,6 @@ func (n *GraphNodeBasicSubgraph) Subgraph() *Graph {
 	return n.Graph
 }
 
-func (n *GraphNodeBasicSubgraph) Flatten(p []string) (dag.Vertex, error) {
-	return &graphNodeBasicSubgraphFlat{
-		GraphNodeBasicSubgraph: n,
-		PathValue:              p,
-	}, nil
-}
-
-// Same as GraphNodeBasicSubgraph, but for flattening
-type graphNodeBasicSubgraphFlat struct {
-	*GraphNodeBasicSubgraph
-
-	PathValue []string
-}
-
-func (n *graphNodeBasicSubgraphFlat) Name() string {
-	return fmt.Sprintf(
-		"%s.%s", modulePrefixStr(n.PathValue), n.GraphNodeBasicSubgraph.Name())
-}
-
-func (n *graphNodeBasicSubgraphFlat) Path() []string {
-	return n.PathValue
+func (n *GraphNodeBasicSubgraph) FlattenGraph() *Graph {
+	return n.Graph
 }