diff --git a/src/modules/users/Tests.cpp b/src/modules/users/Tests.cpp
index 6df215e02..1716034fc 100644
--- a/src/modules/users/Tests.cpp
+++ b/src/modules/users/Tests.cpp
@@ -119,6 +119,7 @@ UserTests::testDefaultGroupsYAML_data()
     QTest::newRow( "users.conf" ) << "users.conf" << 7 << "video";
     QTest::newRow( "dashed list" ) << "tests/4-audio.conf" << 4 << "audio";
     QTest::newRow( "blocked list" ) << "tests/3-wing.conf" << 3 << "wing";
+    QTest::newRow( "issue 1523" ) << "tests/5-issue-1523.conf" << 4 << "foobar";
 }
 
 void
diff --git a/src/modules/users/tests/5-issue-1523.conf b/src/modules/users/tests/5-issue-1523.conf
new file mode 100644
index 000000000..a0c5e49ba
--- /dev/null
+++ b/src/modules/users/tests/5-issue-1523.conf
@@ -0,0 +1,14 @@
+# SPDX-FileCopyrightText: no
+# SPDX-License-Identifier: CC0-1.0
+#
+---
+defaultGroups:
+  - adm
+  -   name: foo
+      must_exist: false
+      system: true
+  -   name: bar
+      must_exist: true
+  -   name: foobar
+      must_exist: false
+      system: false