diff --git a/cue/testdata/benchmarks/issue1684.txtar b/cue/testdata/benchmarks/issue1684.txtar
index d4ca402d928..56617cddb6c 100644
--- a/cue/testdata/benchmarks/issue1684.txtar
+++ b/cue/testdata/benchmarks/issue1684.txtar
@@ -63,14 +63,14 @@ nestedClosed: passing: {
 }
 -- out/evalalpha/stats --
 Leaks:  2135
-Freed:  530
-Reused: 530
+Freed:  658
+Reused: 658
 Allocs: 2135
 Retain: 0
 
 Unifications: 475
-Conjuncts:    4351
-Disjuncts:    790
+Conjuncts:    4799
+Disjuncts:    918
 -- out/evalalpha --
 (struct){
   #Secret: (#struct){
@@ -144,8 +144,8 @@ diff old new
 -Reused: 1064282
 -Allocs: 51
 +Leaks:  2135
-+Freed:  530
-+Reused: 530
++Freed:  658
++Reused: 658
 +Allocs: 2135
  Retain: 0
  
@@ -153,8 +153,8 @@ diff old new
 -Conjuncts:    2480117
 -Disjuncts:    1064333
 +Unifications: 475
-+Conjuncts:    4351
-+Disjuncts:    790
++Conjuncts:    4799
++Disjuncts:    918
 -- diff/-out/evalalpha<==>+out/eval --
 diff old new
 --- old
diff --git a/cue/testdata/comprehensions/issue837.txtar b/cue/testdata/comprehensions/issue837.txtar
index a9bab46f324..93bffce4a19 100644
--- a/cue/testdata/comprehensions/issue837.txtar
+++ b/cue/testdata/comprehensions/issue837.txtar
@@ -75,10 +75,10 @@ Conjuncts:    563
 Disjuncts:    30
 -- out/evalalpha --
 Errors:
-#Configure.service.description.configed.labstr: undefined field: label:
-    ./in.cue:51:14
-#DoDeploy.deployment.description.service.description.configed.labstr: undefined field: label:
-    ./in.cue:51:14
+#Configure.service.description.role: undefined field: role:
+    ./in.cue:40:19
+#DoDeploy.deployment.description.service.description.role: undefined field: role:
+    ./in.cue:40:19
 #RelabelService.out.labstr: undefined field: label:
     ./in.cue:51:14
 
@@ -133,8 +133,8 @@ Result:
               }
             }
             role: (_|_){
-              // [eval] #DoDeploy.deployment.description.service.description.configed.labstr: undefined field: label:
-              //     ./in.cue:51:14
+              // [eval] #DoDeploy.deployment.description.service.description.role: undefined field: role:
+              //     ./in.cue:40:19
             }
           }
         }
@@ -159,8 +159,8 @@ Result:
           }
         }
         role: (_|_){
-          // [eval] #Configure.service.description.configed.labstr: undefined field: label:
-          //     ./in.cue:51:14
+          // [eval] #Configure.service.description.role: undefined field: role:
+          //     ./in.cue:40:19
         }
       }
     }
@@ -202,19 +202,6 @@ Result:
 diff old new
 --- old
 +++ new
-@@ -1,8 +1,8 @@
- Errors:
--#Configure.service.description.role: undefined field: role:
--    ./in.cue:40:19
--#DoDeploy.deployment.description.service.description.role: undefined field: role:
--    ./in.cue:40:19
-+#Configure.service.description.configed.labstr: undefined field: label:
-+    ./in.cue:51:14
-+#DoDeploy.deployment.description.service.description.configed.labstr: undefined field: label:
-+    ./in.cue:51:14
- #RelabelService.out.labstr: undefined field: label:
-     ./in.cue:51:14
- 
 @@ -13,24 +13,10 @@
      ref: (#struct){
        kind: (string){ "deployment" }
@@ -308,28 +295,6 @@ diff old new
          service: (_|_){
            // [eval]
            description: (_|_){
-@@ -106,8 +57,8 @@
-               }
-             }
-             role: (_|_){
--              // [eval] #DoDeploy.deployment.description.service.description.role: undefined field: role:
--              //     ./in.cue:40:19
-+              // [eval] #DoDeploy.deployment.description.service.description.configed.labstr: undefined field: label:
-+              //     ./in.cue:51:14
-             }
-           }
-         }
-@@ -132,8 +83,8 @@
-           }
-         }
-         role: (_|_){
--          // [eval] #Configure.service.description.role: undefined field: role:
--          //     ./in.cue:40:19
-+          // [eval] #Configure.service.description.configed.labstr: undefined field: label:
-+          //     ./in.cue:51:14
-         }
-       }
-     }
 @@ -141,9 +92,7 @@
    #RelabelService: (_|_){
      // [eval]
diff --git a/cue/testdata/cycle/evaluate.txtar b/cue/testdata/cycle/evaluate.txtar
index 04207707d82..8c8c5ed0e9d 100644
--- a/cue/testdata/cycle/evaluate.txtar
+++ b/cue/testdata/cycle/evaluate.txtar
@@ -128,12 +128,11 @@ Disjuncts:    192
 -- out/evalalpha --
 Errors:
 closeCycle.c: structural cycle
+letCycleFail.t1.a.c: structural cycle
 printCycle.a.X: structural cycle
 structCycle.c: structural cycle
 letCycleOK.t2.a.X: structural cycle:
     ./in.cue:23:11
-letCycleFail.t1.a.X: structural cycle:
-    ./in.cue:33:11
 disjunctionCycle.b: cannot use 1 (type int) as type list:
     ./in.cue:56:5
     ./in.cue:56:9
@@ -186,8 +185,7 @@ Result:
           // [structural cycle] letCycleFail.t1.a.X: structural cycle
         }
         c: (_|_){
-          // [structural cycle] letCycleFail.t1.a.X: structural cycle:
-          //     ./in.cue:33:11
+          // [structural cycle] letCycleFail.t1.a.c: structural cycle
         }
       }
     }
@@ -350,7 +348,7 @@ Result:
 diff old new
 --- old
 +++ new
-@@ -1,50 +1,49 @@
+@@ -1,50 +1,48 @@
  Errors:
 -closeCycle.a: structural cycle
 -closeCycle.b.d: structural cycle
@@ -359,19 +357,17 @@ diff old new
 -    ./in.cue:105:12
 -    ./in.cue:106:6
 -    ./in.cue:107:5
--letCycleFail.t1.a.c: structural cycle
++closeCycle.c: structural cycle
+ letCycleFail.t1.a.c: structural cycle
 -structCycle.a: structural cycle
 -structCycle.b.d: structural cycle
 -disjunctionCycle.a: cannot use 1 (type int) as type list:
 -    ./in.cue:56:5
 -    ./in.cue:56:9
-+closeCycle.c: structural cycle
 +printCycle.a.X: structural cycle
 +structCycle.c: structural cycle
 +letCycleOK.t2.a.X: structural cycle:
 +    ./in.cue:23:11
-+letCycleFail.t1.a.X: structural cycle:
-+    ./in.cue:33:11
  disjunctionCycle.b: cannot use 1 (type int) as type list:
      ./in.cue:56:5
      ./in.cue:56:9
@@ -428,16 +424,10 @@ diff old new
        }
      }
    }
-@@ -59,20 +58,16 @@
-           // [structural cycle] letCycleFail.t1.a.X: structural cycle
-         }
-         c: (_|_){
--          // [structural cycle] letCycleFail.t1.a.c: structural cycle
--        }
--      }
--    }
--    t2: (struct){
--      a: (struct){
+@@ -65,14 +63,9 @@
+     }
+     t2: (struct){
+       a: (struct){
 -        let X#4 = (struct){
 -          let X#4 = (_|_){
 -            // [structural cycle] letCycleFail.t2.a.X.X: structural cycle:
@@ -446,20 +436,13 @@ diff old new
 -          x: (struct){
 -            y: (string){ "" }
 -          }
-+          // [structural cycle] letCycleFail.t1.a.X: structural cycle:
-+          //     ./in.cue:33:11
-+        }
-+      }
-+    }
-+    t2: (struct){
-+      a: (struct){
 +        let X#4 = (_|_){
 +          // [structural cycle] letCycleFail.t2.a.X: structural cycle:
 +          //     ./in.cue:43:6
          }
          x: (struct){
            y: (string){ "" }
-@@ -88,17 +83,17 @@
+@@ -88,17 +81,17 @@
    disjunctionCycle: (_|_){
      // [eval]
      a: (_|_){
@@ -488,7 +471,7 @@ diff old new
        //     ./in.cue:56:5
        //     ./in.cue:56:9
      }
-@@ -124,80 +119,77 @@
+@@ -124,80 +117,77 @@
      }
      b: (struct){
      }
@@ -618,7 +601,7 @@ diff old new
      }
    }
    closeFail: (_|_){
-@@ -207,21 +199,22 @@
+@@ -207,21 +197,22 @@
      }
      x: (_|_){
        // [eval]
diff --git a/cue/testdata/cycle/issue990.txtar b/cue/testdata/cycle/issue990.txtar
index 5794b0d2d22..ee2465e446f 100644
--- a/cue/testdata/cycle/issue990.txtar
+++ b/cue/testdata/cycle/issue990.txtar
@@ -77,29 +77,20 @@ _test: {
 //  Test
 
 out: #sub & {#p: _test.s1}
--- diff/todo/p0 --
-out.subs.subs.#p: invalid structural cycle
-This seems to be the result of incorrect handling of disjunctions.
 -- diff/todo/p3 --
 Reordering
 -- out/evalalpha/stats --
-Leaks:  605
-Freed:  45
-Reused: 45
-Allocs: 605
+Leaks:  1834
+Freed:  197
+Reused: 197
+Allocs: 1834
 Retain: 0
 
-Unifications: 175
-Conjuncts:    2668
-Disjuncts:    92
+Unifications: 243
+Conjuncts:    4474
+Disjuncts:    396
 -- out/evalalpha --
-Errors:
-out.subs: structural cycle:
-    ./in.cue:34:17
-
-Result:
-(_|_){
-  // [structural cycle]
+(struct){
   #AC: (#struct){
     k: (string){ "simple" }
     d: ~(#C)
@@ -243,9 +234,88 @@ Result:
       k: (string){ "complex" }
     }
   }
-  out: (_|_){
-    // [structural cycle] out.subs: structural cycle:
-    //     ./in.cue:34:17
+  out: (#struct){
+    #p: (#struct){
+      d: (#struct){
+        n: (string){ "s1" }
+        r: (#struct){
+          r1: (#struct){
+            a: (#struct){
+              d: (#struct){
+                n: (string){ "c1" }
+              }
+              k: (string){ "simple" }
+            }
+          }
+          r2: (#struct){
+            a: (#struct){
+              d: (#struct){
+                n: (string){ "s2" }
+                r: (#struct){
+                  r1: (#struct){
+                    a: (#struct){
+                      d: (#struct){
+                        n: (string){ "c1" }
+                      }
+                      k: (string){ "simple" }
+                    }
+                  }
+                  r2: (#struct){
+                    a: (#struct){
+                      d: (#struct){
+                        n: (string){ "s3" }
+                        r: (#struct){
+                          r1: (#struct){
+                            a: (#struct){
+                              d: (#struct){
+                                n: (string){ "c1" }
+                              }
+                              k: (string){ "simple" }
+                            }
+                          }
+                        }
+                      }
+                      k: (string){ "complex" }
+                    }
+                  }
+                }
+              }
+              k: (string){ "complex" }
+            }
+          }
+        }
+      }
+      k: (string){ "complex" }
+    }
+    dict: (#struct){
+      r1: (#struct){
+        a: (#struct){
+          d: (#struct){
+            n: (string){ "c1" }
+          }
+          k: (string){ "simple" }
+        }
+      }
+      r2_r1: (#struct){
+        a: (#struct){
+          d: (#struct){
+            n: (string){ "c1" }
+          }
+          k: (string){ "simple" }
+        }
+      }
+      r2_r2_r1: (#struct){
+        a: (#struct){
+          d: (#struct){
+            n: (string){ "c1" }
+          }
+          k: (string){ "simple" }
+        }
+      }
+    }
+    let subs#1multi = (〈3;#sub〉 & {
+      #p: 〈2;rd〉.a
+    })
   }
 }
 -- diff/-out/evalalpha/stats<==>+out/eval/stats --
@@ -258,31 +328,24 @@ diff old new
 -Reused: 3213
 -Allocs: 25
 -Retain: 26
-+Leaks:  605
-+Freed:  45
-+Reused: 45
-+Allocs: 605
++Leaks:  1834
++Freed:  197
++Reused: 197
++Allocs: 1834
 +Retain: 0
  
 -Unifications: 2588
 -Conjuncts:    12056
 -Disjuncts:    3258
-+Unifications: 175
-+Conjuncts:    2668
-+Disjuncts:    92
++Unifications: 243
++Conjuncts:    4474
++Disjuncts:    396
 -- diff/-out/evalalpha<==>+out/eval --
 diff old new
 --- old
 +++ new
-@@ -1,31 +1,25 @@
--(struct){
-+Errors:
-+out.subs: structural cycle:
-+    ./in.cue:34:17
-+
-+Result:
-+(_|_){
-+  // [structural cycle]
+@@ -1,31 +1,19 @@
+ (struct){
    #AC: (#struct){
      k: (string){ "simple" }
 -    d: (#struct){
@@ -317,7 +380,7 @@ diff old new
        }) }
    }
    #S: (#struct){
-@@ -37,14 +31,7 @@
+@@ -37,14 +25,7 @@
      n: (string){ string }
    }
    #sub: (#struct){
@@ -333,7 +396,7 @@ diff old new
      dict: (#struct){
      }
      let subs#1multi = (〈3;#sub〉 & {
-@@ -53,195 +40,116 @@
+@@ -53,190 +34,190 @@
    }
    _test: (struct){
      c1: (#struct){
@@ -475,10 +538,60 @@ diff old new
 -          }
 -        }
 -      }
--    }
--  }
--  out: (#struct){
--    #p: (#struct){
++      d: (#struct){
++        n: (string){ "s1" }
++        r: (#struct){
++          r1: (#struct){
++            a: (#struct){
++              d: (#struct){
++                n: (string){ "c1" }
++              }
++              k: (string){ "simple" }
++            }
++          }
++          r2: (#struct){
++            a: (#struct){
++              d: (#struct){
++                n: (string){ "s2" }
++                r: (#struct){
++                  r1: (#struct){
++                    a: (#struct){
++                      d: (#struct){
++                        n: (string){ "c1" }
++                      }
++                      k: (string){ "simple" }
++                    }
++                  }
++                  r2: (#struct){
++                    a: (#struct){
++                      d: (#struct){
++                        n: (string){ "s3" }
++                        r: (#struct){
++                          r1: (#struct){
++                            a: (#struct){
++                              d: (#struct){
++                                n: (string){ "c1" }
++                              }
++                              k: (string){ "simple" }
++                            }
++                          }
++                        }
++                      }
++                      k: (string){ "complex" }
++                    }
++                  }
++                }
++              }
++              k: (string){ "complex" }
++            }
++          }
++        }
++      }
++      k: (string){ "complex" }
+     }
+   }
+   out: (#struct){
+     #p: (#struct){
 -      k: (string){ "complex" }
 -      d: (#struct){
 -        n: (string){ "s1" }
@@ -529,36 +642,6 @@ diff old new
 -          }
 -        }
 -      }
--    }
--    dict: (#struct){
--      r1: (#struct){
--        a: (#struct){
--          k: (string){ "simple" }
--          d: (#struct){
--            n: (string){ "c1" }
--          }
--        }
--      }
--      r2_r1: (#struct){
--        a: (#struct){
--          k: (string){ "simple" }
--          d: (#struct){
--            n: (string){ "c1" }
--          }
--        }
--      }
--      r2_r2_r1: (#struct){
--        a: (#struct){
--          k: (string){ "simple" }
--          d: (#struct){
--            n: (string){ "c1" }
--          }
--        }
--      }
--    }
--    let subs#1multi = (〈3;#sub〉 & {
--      #p: 〈2;rd〉.a
--    })
 +      d: (#struct){
 +        n: (string){ "s1" }
 +        r: (#struct){
@@ -609,13 +692,45 @@ diff old new
 +        }
 +      }
 +      k: (string){ "complex" }
-+    }
-+  }
-+  out: (_|_){
-+    // [structural cycle] out.subs: structural cycle:
-+    //     ./in.cue:34:17
-   }
- }
+     }
+     dict: (#struct){
+       r1: (#struct){
+         a: (#struct){
+-          k: (string){ "simple" }
+-          d: (#struct){
+-            n: (string){ "c1" }
+-          }
++          d: (#struct){
++            n: (string){ "c1" }
++          }
++          k: (string){ "simple" }
+         }
+       }
+       r2_r1: (#struct){
+         a: (#struct){
+-          k: (string){ "simple" }
+-          d: (#struct){
+-            n: (string){ "c1" }
+-          }
++          d: (#struct){
++            n: (string){ "c1" }
++          }
++          k: (string){ "simple" }
+         }
+       }
+       r2_r2_r1: (#struct){
+         a: (#struct){
+-          k: (string){ "simple" }
+-          d: (#struct){
+-            n: (string){ "c1" }
+-          }
++          d: (#struct){
++            n: (string){ "c1" }
++          }
++          k: (string){ "simple" }
+         }
+       }
+     }
 -- out/eval/stats --
 Leaks:  6
 Freed:  3232
diff --git a/cue/testdata/eval/let.txtar b/cue/testdata/eval/let.txtar
index 3a3cb2a2f4a..eb6b323ddce 100644
--- a/cue/testdata/eval/let.txtar
+++ b/cue/testdata/eval/let.txtar
@@ -330,13 +330,13 @@ Result:
     }
     "0": (struct){
       let X#1Fmulti = 〈1;x〉
-      "2": (int){ 2 }
       "1": (int){ 1 }
+      "2": (int){ 2 }
     }
     "1": (struct){
       let X#1Fmulti = 〈1;x〉
-      "2": (int){ 2 }
       "1": (int){ 1 }
+      "2": (int){ 2 }
     }
   }
   keepDescending: (struct){
@@ -502,24 +502,6 @@ diff old new
      }
    }
    nestedFor: (struct){
-@@ -190,13 +159,13 @@
-     }
-     "0": (struct){
-       let X#1Fmulti = 〈1;x〉
--      "1": (int){ 1 }
--      "2": (int){ 2 }
-+      "2": (int){ 2 }
-+      "1": (int){ 1 }
-     }
-     "1": (struct){
-       let X#1Fmulti = 〈1;x〉
--      "1": (int){ 1 }
--      "2": (int){ 2 }
-+      "2": (int){ 2 }
-+      "1": (int){ 1 }
-     }
-   }
-   keepDescending: (struct){
 @@ -234,8 +203,8 @@
        b: (string){ "e" }
      }
diff --git a/cue/testdata/eval/letjoin.txtar b/cue/testdata/eval/letjoin.txtar
index ea88d199a58..782a97200fc 100644
--- a/cue/testdata/eval/letjoin.txtar
+++ b/cue/testdata/eval/letjoin.txtar
@@ -138,8 +138,8 @@ Reused: 19
 Allocs: 203
 Retain: 0
 
-Unifications: 186
-Conjuncts:    1067
+Unifications: 178
+Conjuncts:    1191
 Disjuncts:    36
 -- diff/-out/evalalpha/stats<==>+out/eval/stats --
 diff old new
@@ -160,8 +160,8 @@ diff old new
 -Unifications: 167
 -Conjuncts:    486
 -Disjuncts:    325
-+Unifications: 186
-+Conjuncts:    1067
++Unifications: 178
++Conjuncts:    1191
 +Disjuncts:    36
 -- out/eval/stats --
 Leaks:  24
diff --git a/cue/testdata/eval/notify.txtar b/cue/testdata/eval/notify.txtar
index 8c754ce9fe6..eec32037c16 100644
--- a/cue/testdata/eval/notify.txtar
+++ b/cue/testdata/eval/notify.txtar
@@ -1596,14 +1596,14 @@ Result:
   }
 }
 -- out/evalalpha/stats --
-Leaks:  2156
+Leaks:  2249
 Freed:  266
 Reused: 265
-Allocs: 2157
+Allocs: 2250
 Retain: 0
 
-Unifications: 750
-Conjuncts:    12910
+Unifications: 760
+Conjuncts:    13284
 Disjuncts:    908
 -- diff/-out/evalalpha/stats<==>+out/eval/stats --
 diff old new
@@ -1615,17 +1615,17 @@ diff old new
 -Reused: 85
 -Allocs: 46
 -Retain: 5
-+Leaks:  2156
++Leaks:  2249
 +Freed:  266
 +Reused: 265
-+Allocs: 2157
++Allocs: 2250
 +Retain: 0
  
 -Unifications: 48
 -Conjuncts:    150
 -Disjuncts:    111
-+Unifications: 750
-+Conjuncts:    12910
++Unifications: 760
++Conjuncts:    13284
 +Disjuncts:    908
 -- out/eval/stats --
 Leaks:  34
diff --git a/internal/core/adt/cycle.go b/internal/core/adt/cycle.go
index 52d29a78ab3..7be37635ff7 100644
--- a/internal/core/adt/cycle.go
+++ b/internal/core/adt/cycle.go
@@ -721,7 +721,7 @@ func (n *nodeContext) markCyclicPathV3(arc *Vertex, env *Environment, x Resolver
 
 	n.hasAnyCyclicConjunct = true
 
-	if !n.hasNonCyclic && env != nil {
+	if !n.hasNonCyclic && !n.hasNonCycle && env != nil {
 		// TODO: investigate if we can get rid of cyclicConjuncts in the new
 		// evaluator.
 		v := Conjunct{env, x, ci}
diff --git a/internal/core/adt/expr.go b/internal/core/adt/expr.go
index ff6a68319e2..cf25b71e7ed 100644
--- a/internal/core/adt/expr.go
+++ b/internal/core/adt/expr.go
@@ -999,7 +999,6 @@ func (x *LetReference) resolve(ctx *OpContext, state combinedFlags) *Vertex {
 			// nc.hasNonCycle = true
 			// Allow a first cycle to be skipped.
 			nc.free()
-			n.unify(ctx, allKnown, finalize)
 		} else {
 			nc := n.getNodeContext(ctx, 0)
 			nc.hasNonCycle = true // Allow a first cycle to be skipped.