diff --git a/crates/nu-command/tests/commands/with_env.rs b/crates/nu-command/tests/commands/with_env.rs
index 4f6480bdb6..ca94c2b33d 100644
--- a/crates/nu-command/tests/commands/with_env.rs
+++ b/crates/nu-command/tests/commands/with_env.rs
@@ -55,18 +55,6 @@ fn with_env_and_shorthand_same_result() {
     assert_eq!(actual_shorthand.out, actual_normal.out);
 }
 
-// FIXME: jt: needs more work
-#[ignore]
-#[test]
-fn with_env_shorthand_nested_quotes() {
-    let actual = nu!(
-        cwd: "tests/fixtures/formats",
-        "FOO='-arg \"hello world\"' echo $env | get FOO"
-    );
-
-    assert_eq!(actual.out, "-arg \"hello world\"");
-}
-
 // FIXME: jt: needs more work
 #[ignore]
 #[test]
diff --git a/src/tests/test_engine.rs b/src/tests/test_engine.rs
index 5663526c6d..f569e32868 100644
--- a/src/tests/test_engine.rs
+++ b/src/tests/test_engine.rs
@@ -243,3 +243,11 @@ fn reduce_spans() -> TestResult {
         "right here",
     )
 }
+
+#[test]
+fn with_env_shorthand_nested_quotes() -> TestResult {
+    run_test(
+        r#"FOO='-arg "hello world"' echo $env | get FOO"#,
+        "-arg \"hello world\"",
+    )
+}