diff --git a/doc/man/mc.1.in b/doc/man/mc.1.in
index da58ffbc9..3a58c1de4 100644
--- a/doc/man/mc.1.in
+++ b/doc/man/mc.1.in
@@ -171,9 +171,16 @@ screen modes, and able to send mouse escape sequences).
 .I \-X, \-\-no\-x11
 Do not use X11 to get the state of modifiers Alt, Ctrl, Shift
 .PP
-If specified, the first path name is the directory to show in the
-selected panel; the second path name is the directory to be shown in
-the other panel.
+If both paths are specified, the first path name is the directory to show
+in the left panel; the second path name is the directory to be shown in
+the right panel.
+.PP
+If one path is specified, the path name is the directory to show
+in the active panel; current directory is shown in the passive panel.
+.PP
+If no paths are specified, current directory is shown in the active panel;
+value of "other_dir" from panels.ini is the directory to be shown in
+the passive panel.
 .\"NODE "Overview"
 .SH "Overview"
 The screen of the Midnight Commander is divided into four parts.
diff --git a/doc/man/ru/mc.1.in b/doc/man/ru/mc.1.in
index eb8a4c0b3..0fcbf384c 100644
--- a/doc/man/ru/mc.1.in
+++ b/doc/man/ru/mc.1.in
@@ -148,9 +148,14 @@ modes, and able to send mouse escape sequences).
 .I \-X, \-\-no\-x11
 Не использовать X11 для получения состояния модификаторов Alt, Ctrl, Shift.
 .PP
-Первое путевое имя (path name) в командной строке (если указано) задает
-каталог, который будет отображаться в активной панели; второй путь \-
-каталог, отображаемый во второй панели.
+Если в командной строке указаны два каталога, первый будет отображаться
+в левой панели, второй \- в правой.
+.PP
+Если указан только один каталог, он будет отображён в активной панели,
+во второй панели будет отображён текущий каталог.
+.PP
+Если каталоги не указаны, в активной панели будет отображён текущий каталог,
+а во второй панели \- каталог, указанный в параметре "other_dir" в файла panels.ini.
 .\"NODE "Overview"
 .SH "Главное окно программы"
 Главное окно программы Midnight Commander состоит из трех полей. Два
diff --git a/src/filemanager/midnight.c b/src/filemanager/midnight.c
index c84082b27..f9127e013 100644
--- a/src/filemanager/midnight.c
+++ b/src/filemanager/midnight.c
@@ -580,6 +580,22 @@ create_panels (void)
     char *current_dir, *other_dir;
     vfs_path_t *original_dir;
 
+    /*
+     * Following cases from command line are possible:
+     * 'mc' (no arguments):            mc_run_param0 == NULL, mc_run_param1 == NULL
+     *                                 active panel uses current directory
+     *                                 passive panel uses "other_dir" from ini
+     *
+     * 'mc dir1 dir2' (two arguments): mc_run_param0 != NULL, mc_run_param1 != NULL
+     *                                 left panel uses mc_run_param0
+     *                                 right panel uses mc_run_param1
+     *
+     * 'mc dir1' (single argument):    mc_run_param0 != NULL, mc_run_param1 == NULL
+     *                                 active panel uses current directory
+     *                                 passive panel uses mc_run_param0
+     */
+
+    /* Set up panel directories */
     if (boot_current_is_left)
     {
         /* left panel is active */
@@ -587,11 +603,25 @@ create_panels (void)
         other_index = 1;
         current_mode = startup_left_mode;
         other_mode = startup_right_mode;
-        /* if mc_run_param0 is NULL, working directory will be used for the left panel */
-        current_dir = (char *) mc_run_param0;
-        /* mc_run_param1 is never NULL. It is setup from command line or from panels.ini
-         * (value of other_dir). mc_run_param1 will be used for the right panel */
-        other_dir = mc_run_param1;
+
+        if (mc_run_param0 == NULL && mc_run_param1 == NULL)
+        {
+            /* no arguments */
+            current_dir = NULL;         /* assume current dir */
+            other_dir = saved_other_dir;        /* from ini */
+        }
+        else if (mc_run_param0 != NULL && mc_run_param1 != NULL)
+        {
+            /* two arguments */
+            current_dir = (char *) mc_run_param0;
+            other_dir = mc_run_param1;
+        }
+        else /* mc_run_param0 != NULL && mc_run_param1 == NULL */
+        {
+            /* one argument */
+            current_dir = NULL;         /* assume current dir */
+            other_dir =  (char *) mc_run_param0;
+        }
     }
     else
     {
@@ -601,19 +631,23 @@ create_panels (void)
         current_mode = startup_right_mode;
         other_mode = startup_left_mode;
 
-        /* if mc_run_param0 is not NULL (it was setup from command line), it will be used
-         * for the left panel, working directory will be used for the right one;
-         * if mc_run_param0 is NULL, working directory will be used for the right (active) panel,
-         * mc_run_param1 will be used for the left one */
-        if (mc_run_param0 != NULL)
+        if (mc_run_param0 == NULL && mc_run_param1 == NULL)
         {
-            current_dir = NULL;
+            /* no arguments */
+            current_dir = NULL;         /* assume current dir */
+            other_dir = saved_other_dir;        /* from ini */
+        }
+        else if (mc_run_param0 != NULL && mc_run_param1 != NULL)
+        {
+            /* two arguments */
+            current_dir = mc_run_param1;
             other_dir = (char *) mc_run_param0;
         }
-        else
+        else /* mc_run_param0 != NULL && mc_run_param1 == NULL */
         {
-            current_dir = NULL;
-            other_dir = mc_run_param1;
+            /* one argument */
+            current_dir = NULL;         /* assume current dir */;
+            other_dir = (char *) mc_run_param0;
         }
     }
 
diff --git a/src/main.c b/src/main.c
index e8807eec0..21588ff4d 100644
--- a/src/main.c
+++ b/src/main.c
@@ -469,6 +469,7 @@ main (int argc, char *argv[])
         g_list_free ((GList *) mc_run_param0);
     }
     g_free (mc_run_param1);
+    g_free (saved_other_dir);
 
     mc_config_deinit_config_paths ();
 
diff --git a/src/setup.c b/src/setup.c
index bdd49d964..dcbf9294e 100644
--- a/src/setup.c
+++ b/src/setup.c
@@ -193,6 +193,9 @@ gboolean is_autodetect_codeset_enabled = FALSE;
 char *spell_language = NULL;
 #endif
 
+/* Value of "other_dir" key in ini file */
+char *saved_other_dir = NULL;
+
 /* If set, then print to the given file the last directory we were at */
 char *last_wd_string = NULL;
 
@@ -986,13 +989,13 @@ load_setup (void)
     if (startup_left_mode != view_listing && startup_right_mode != view_listing)
         startup_left_mode = view_listing;
 
-    if (mc_run_param1 == NULL)
     {
         vfs_path_t *vpath;
+
         buffer = mc_config_get_string (mc_panels_config, "Dirs", "other_dir", ".");
         vpath = vfs_path_from_str (buffer);
         if (vfs_file_is_local (vpath))
-            mc_run_param1 = buffer;
+            saved_other_dir = buffer;
         else
             g_free (buffer);
         vfs_path_free (vpath);
diff --git a/src/setup.h b/src/setup.h
index 991b3e94c..218afc711 100644
--- a/src/setup.h
+++ b/src/setup.h
@@ -117,6 +117,9 @@ extern gboolean is_autodetect_codeset_enabled;
 extern char *spell_language;
 #endif
 
+/* Value of "other_dir" key in ini file */
+extern char *saved_other_dir;
+
 /* If set, then print to the given file the last directory we were at */
 extern char *last_wd_string;