diff --git a/bin/sh/eval.c b/bin/sh/eval.c
index 8b7f44e3c786..adb409e6fc43 100644
--- a/bin/sh/eval.c
+++ b/bin/sh/eval.c
@@ -1,4 +1,4 @@
-/*	$NetBSD: eval.c,v 1.108 2014/01/26 22:38:20 christos Exp $	*/
+/*	$NetBSD: eval.c,v 1.109 2014/05/31 14:42:18 christos Exp $	*/
 
 /*-
  * Copyright (c) 1993
@@ -37,7 +37,7 @@
 #if 0
 static char sccsid[] = "@(#)eval.c	8.9 (Berkeley) 6/8/95";
 #else
-__RCSID("$NetBSD: eval.c,v 1.108 2014/01/26 22:38:20 christos Exp $");
+__RCSID("$NetBSD: eval.c,v 1.109 2014/05/31 14:42:18 christos Exp $");
 #endif
 #endif /* not lint */
 
@@ -89,11 +89,20 @@ __RCSID("$NetBSD: eval.c,v 1.108 2014/01/26 22:38:20 christos Exp $");
 #define EV_TESTED 02		/* exit status is checked; ignore -e flag */
 #define EV_BACKCMD 04		/* command executing within back quotes */
 
-int evalskip;			/* set if we are skipping commands */
+STATIC enum skipstate evalskip;	/* != SKIPNONE if we are skipping commands */
 STATIC int skipcount;		/* number of levels to skip */
-MKINIT int loopnest;		/* current loop nesting level */
-int funcnest;			/* depth of function calls */
+STATIC int loopnest;		/* current loop nesting level */
+STATIC int funcnest;		/* depth of function calls */
 STATIC int builtin_flags;	/* evalcommand flags for builtins */
+/*
+ * Base function nesting level inside a dot command.  Set to 0 initially
+ * and to (funcnest + 1) before every dot command to enable 
+ *   1) detection of being in a file sourced by a dot command and
+ *   2) counting of function nesting in that file for the implementation
+ *      of the return command.
+ * The value is reset to its previous value after the dot command.
+ */
+STATIC int dot_funcnest;
 
 
 const char *commandname;
@@ -111,6 +120,7 @@ STATIC void evalpipe(union node *);
 STATIC void evalcommand(union node *, int, struct backcmd *);
 STATIC void prehash(union node *);
 
+STATIC char *find_dot_file(char *);
 
 /*
  * Called to reset things after an exception.
@@ -120,9 +130,7 @@ STATIC void prehash(union node *);
 INCLUDE "eval.h"
 
 RESET {
-	evalskip = 0;
-	loopnest = 0;
-	funcnest = 0;
+	reset_eval();
 }
 
 SHELLPROC {
@@ -130,6 +138,15 @@ SHELLPROC {
 }
 #endif
 
+void
+reset_eval(void)
+{
+	evalskip = SKIPNONE;
+	dot_funcnest = 0;
+	loopnest = 0;
+	funcnest = 0;
+}
+
 static int
 sh_pipe(int fds[2])
 {
@@ -327,11 +344,11 @@ evalloop(union node *n, int flags)
 		evaltree(n->nbinary.ch1, EV_TESTED);
 		if (evalskip) {
 skipping:	  if (evalskip == SKIPCONT && --skipcount <= 0) {
-				evalskip = 0;
+				evalskip = SKIPNONE;
 				continue;
 			}
 			if (evalskip == SKIPBREAK && --skipcount <= 0)
-				evalskip = 0;
+				evalskip = SKIPNONE;
 			break;
 		}
 		if (n->type == NWHILE) {
@@ -377,11 +394,11 @@ evalfor(union node *n, int flags)
 		status = exitstatus;
 		if (evalskip) {
 			if (evalskip == SKIPCONT && --skipcount <= 0) {
-				evalskip = 0;
+				evalskip = SKIPNONE;
 				continue;
 			}
 			if (evalskip == SKIPBREAK && --skipcount <= 0)
-				evalskip = 0;
+				evalskip = SKIPNONE;
 			break;
 		}
 	}
@@ -964,7 +981,7 @@ normal_fork:
 		popredir();
 		INTON;
 		if (evalskip == SKIPFUNC) {
-			evalskip = 0;
+			evalskip = SKIPNONE;
 			skipcount = 0;
 		}
 		if (flags & EV_EXIT)
@@ -1104,7 +1121,24 @@ prehash(union node *n)
 				     pathval());
 }
 
+STATIC int
+in_function(void)
+{
+	return funcnest;
+}
 
+STATIC enum skipstate
+current_skipstate(void)
+{
+	return evalskip;
+}
+
+STATIC void
+stop_skipping(void)
+{
+	evalskip = SKIPNONE;
+	skipcount = 0;
+}
 
 /*
  * Builtin commands.  Builtin commands whose functions are closely
@@ -1151,9 +1185,84 @@ breakcmd(int argc, char **argv)
 	return 0;
 }
 
+int
+dotcmd(int argc, char **argv)
+{
+	exitstatus = 0;
+
+	if (argc >= 2) {		/* That's what SVR2 does */
+		char *fullname;
+		/*
+		 * dot_funcnest needs to be 0 when not in a dotcmd, so it
+		 * cannot be restored with (funcnest + 1).
+		 */
+		int dot_funcnest_old;
+		struct stackmark smark;
+
+		setstackmark(&smark);
+		fullname = find_dot_file(argv[1]);
+		setinputfile(fullname, 1);
+		commandname = fullname;
+		dot_funcnest_old = dot_funcnest;
+		dot_funcnest = funcnest + 1;
+		cmdloop(0);
+		dot_funcnest = dot_funcnest_old;
+		popfile();
+		popstackmark(&smark);
+	}
+	return exitstatus;
+}
+
+/*
+ * Take commands from a file.  To be compatible we should do a path
+ * search for the file, which is necessary to find sub-commands.
+ */
+
+STATIC char *
+find_dot_file(char *basename)
+{
+	char *fullname;
+	const char *path = pathval();
+	struct stat statb;
+
+	/* don't try this for absolute or relative paths */
+	if (strchr(basename, '/'))
+		return basename;
+
+	while ((fullname = padvance(&path, basename)) != NULL) {
+		if ((stat(fullname, &statb) == 0) && S_ISREG(statb.st_mode)) {
+			/*
+			 * Don't bother freeing here, since it will
+			 * be freed by the caller.
+			 */
+			return fullname;
+		}
+		stunalloc(fullname);
+	}
+
+	/* not found in the PATH */
+	error("%s: not found", basename);
+	/* NOTREACHED */
+}
+
+
 
 /*
  * The return command.
+ *
+ * Quoth the POSIX standard:
+ *   The return utility shall cause the shell to stop executing the current
+ *   function or dot script. If the shell is not currently executing
+ *   a function or dot script, the results are unspecified.
+ *
+ * As for the unspecified part, there seems to be no de-facto standard: bash
+ * ignores the return with a warning, zsh ignores the return in interactive
+ * mode but seems to liken it to exit in a script.  (checked May 2014)
+ *
+ * We choose to silently ignore the return.  Older versions of this shell
+ * set evalskip to SKIPFILE causing the shell to (indirectly) exit.  This
+ * had at least the problem of circumventing the check for stopped jobs,
+ * which would occur for exit or ^D.
  */
 
 int
@@ -1161,17 +1270,19 @@ returncmd(int argc, char **argv)
 {
 	int ret = argc > 1 ? number(argv[1]) : exitstatus;
 
-	if (funcnest) {
+	if ((dot_funcnest == 0 && funcnest)
+	    || (dot_funcnest > 0 && funcnest - (dot_funcnest - 1) > 0)) {
 		evalskip = SKIPFUNC;
 		skipcount = 1;
-		return ret;
-	}
-	else {
-		/* Do what ksh does; skip the rest of the file */
+	} else if (dot_funcnest > 0) {
 		evalskip = SKIPFILE;
 		skipcount = 1;
-		return ret;
+	} else {
+		/* XXX: should a warning be issued? */
+		ret = 0;
 	}
+
+	return ret;
 }
 
 
diff --git a/bin/sh/eval.h b/bin/sh/eval.h
index 7c0652af13f7..151a0b7e6d1a 100644
--- a/bin/sh/eval.h
+++ b/bin/sh/eval.h
@@ -1,4 +1,4 @@
-/*	$NetBSD: eval.h,v 1.15 2008/02/15 17:26:06 matt Exp $	*/
+/*	$NetBSD: eval.h,v 1.16 2014/05/31 14:42:18 christos Exp $	*/
 
 /*-
  * Copyright (c) 1991, 1993
@@ -53,12 +53,21 @@ void evaltree(union node *, int);
 void evalbackcmd(union node *, struct backcmd *);
 
 /* in_function returns nonzero if we are currently evaluating a function */
-#define in_function()	funcnest
-extern int funcnest;
-extern int evalskip;
+int in_function(void);		/* return non-zero, if evaluating a function */
 
 /* reasons for skipping commands (see comment on breakcmd routine) */
-#define SKIPBREAK	1
-#define SKIPCONT	2
-#define SKIPFUNC	3
-#define SKIPFILE	4
+enum skipstate {
+      SKIPNONE  = 0,	/* not skipping */
+      SKIPBREAK,	/* break */
+      SKIPCONT,		/* continue */
+      SKIPFUNC,		/* return in a function */
+      SKIPFILE		/* return in a dot command */
+};
+
+enum skipstate current_skipstate(void);
+void stop_skipping(void);	/* reset internal skipping state to SKIPNONE */
+
+/*
+ * Only for use by reset() in init.c!
+ */
+void reset_eval(void);
diff --git a/bin/sh/main.c b/bin/sh/main.c
index 35082a9553cc..abe50067bdf4 100644
--- a/bin/sh/main.c
+++ b/bin/sh/main.c
@@ -1,4 +1,4 @@
-/*	$NetBSD: main.c,v 1.57 2011/06/18 21:18:46 christos Exp $	*/
+/*	$NetBSD: main.c,v 1.58 2014/05/31 14:42:18 christos Exp $	*/
 
 /*-
  * Copyright (c) 1991, 1993
@@ -42,7 +42,7 @@ __COPYRIGHT("@(#) Copyright (c) 1991, 1993\
 #if 0
 static char sccsid[] = "@(#)main.c	8.7 (Berkeley) 7/19/95";
 #else
-__RCSID("$NetBSD: main.c,v 1.57 2011/06/18 21:18:46 christos Exp $");
+__RCSID("$NetBSD: main.c,v 1.58 2014/05/31 14:42:18 christos Exp $");
 #endif
 #endif /* not lint */
 
@@ -89,7 +89,6 @@ extern int etext();
 #endif
 
 STATIC void read_profile(const char *);
-STATIC char *find_dot_file(char *);
 int main(int, char **);
 
 /*
@@ -239,6 +238,7 @@ cmdloop(int top)
 	struct stackmark smark;
 	int inter;
 	int numeof = 0;
+	enum skipstate skip;
 
 	TRACE(("cmdloop(%d) called\n", top));
 	setstackmark(&smark);
@@ -270,8 +270,18 @@ cmdloop(int top)
 		}
 		popstackmark(&smark);
 		setstackmark(&smark);
-		if (evalskip == SKIPFILE) {
-			evalskip = 0;
+
+		/*
+		 * Any SKIP* can occur here!  SKIP(FUNC|BREAK|CONT) occur when
+		 * a dotcmd is in a loop or a function body and appropriate
+		 * built-ins occurs in file scope in the sourced file.  Values
+		 * other than SKIPFILE are reset by the appropriate eval*()
+		 * that contained the dotcmd() call.
+		 */
+		skip = current_skipstate();
+		if (skip != SKIPNONE) {
+			if (skip == SKIPFILE)
+				stop_skipping();
 			break;
 		}
 	}
@@ -337,60 +347,6 @@ readcmdfile(char *name)
 
 
 
-/*
- * Take commands from a file.  To be compatible we should do a path
- * search for the file, which is necessary to find sub-commands.
- */
-
-
-STATIC char *
-find_dot_file(char *basename)
-{
-	char *fullname;
-	const char *path = pathval();
-	struct stat statb;
-
-	/* don't try this for absolute or relative paths */
-	if (strchr(basename, '/'))
-		return basename;
-
-	while ((fullname = padvance(&path, basename)) != NULL) {
-		if ((stat(fullname, &statb) == 0) && S_ISREG(statb.st_mode)) {
-			/*
-			 * Don't bother freeing here, since it will
-			 * be freed by the caller.
-			 */
-			return fullname;
-		}
-		stunalloc(fullname);
-	}
-
-	/* not found in the PATH */
-	error("%s: not found", basename);
-	/* NOTREACHED */
-}
-
-int
-dotcmd(int argc, char **argv)
-{
-	exitstatus = 0;
-
-	if (argc >= 2) {		/* That's what SVR2 does */
-		char *fullname;
-		struct stackmark smark;
-
-		setstackmark(&smark);
-		fullname = find_dot_file(argv[1]);
-		setinputfile(fullname, 1);
-		commandname = fullname;
-		cmdloop(0);
-		popfile();
-		popstackmark(&smark);
-	}
-	return exitstatus;
-}
-
-
 int
 exitcmd(int argc, char **argv)
 {
diff --git a/bin/sh/sh.1 b/bin/sh/sh.1
index 3645811dc914..d7a8d15720ff 100644
--- a/bin/sh/sh.1
+++ b/bin/sh/sh.1
@@ -1,4 +1,4 @@
-.\"	$NetBSD: sh.1,v 1.112 2014/01/20 14:05:51 roy Exp $
+.\"	$NetBSD: sh.1,v 1.113 2014/05/31 14:42:18 christos Exp $
 .\" Copyright (c) 1991, 1993
 .\"	The Regents of the University of California.  All rights reserved.
 .\"
@@ -1192,10 +1192,23 @@ be built in for efficiency (e.g.
 .Xr test 1 ,
 etc).
 .Bl -tag -width 5n
-.It :
+.It : [ Ar arg ... ]
 A null command that returns a 0 (true) exit value.
+Any arguments are ignored.
 .It \&. file
-The commands in the specified file are read and executed by the shell.
+The dot command reads and executes the commands from the specified
+.Ar file
+in the current shell environment.
+The file does not need to be executable and is looked up from the directories
+listed in the
+.Ev PATH
+variable if it does not contain a directory separator
+.Pq Sq / .
+The return command can be used for a premature return from the sourced file.
+.Pp
+A non-obvious consequence of the file executing in the current environment
+is that loop control keywords (continue and break) can be used in the file
+to control loops surrounding the dot command.
 .It alias Op Ar name Ns Op Ar "=string ..."
 If
 .Ar name=string
@@ -1632,6 +1645,19 @@ With the
 .Fl p
 option specified the output will be formatted suitably for non-interactive use.
 .Pp
+.It return [ Ar n ]
+Stop executing the current function or a dot command with return value of
+.Ar n
+or the value of the last executed command, if not specified.
+For portability,
+.Ar n
+should be in the range from 0 to 255.
+.Pp
+The effects of using a return command outside a function or a dot command
+are not standardized.
+This implementation (currently) treats such a return as a no-op with
+a return value of 0 (success, true).
+Use the exit command if you want to return from a script or exit your shell.
 .It set Oo { Fl options | Cm +options | Cm \-- } Oc Ar arg ...
 The
 .Ic set