diff --git a/src/frontend/compiler.nim b/src/frontend/compiler.nim
index da9e3b0..621d081 100644
--- a/src/frontend/compiler.nim
+++ b/src/frontend/compiler.nim
@@ -65,6 +65,7 @@ type
                 isClosure: bool
                 envLen: int
                 children: seq[Type]
+                parent: Type
             of Reference, Pointer:
                 value: Type
             of Generic:
@@ -475,7 +476,6 @@ proc getStackPos(self: Compiler, name: Name): int =
         if name == variable:
             found = true
             break
-        inc(result)
     if not found:
         return -1
 
@@ -944,12 +944,14 @@ proc emitFunction(self: Compiler, name: Name) =
     # created by previous LoadFunction instructions
     # that is now bound to some variable, so we just
     # load it
-    elif self.scopeDepth > 0 and name.depth != self.scopeDepth:
+    elif self.scopeDepth > 0 and not self.currentFunction.isNil() and name.depth != self.scopeDepth:
+        self.emitByte(LoadClosure, name.line)
+        self.emitBytes(self.getClosurePos(name).toTriple(), name.line)
         self.emitByte(LoadVar, name.line)
         self.emitBytes(self.getStackPos(name).toTriple(), name.line)
     else:
-        self.emitByte(LoadClosure, name.line)
-        self.emitBytes(self.getClosurePos(name).toTriple(), name.line)
+        self.emitByte(LoadVar, name.line)
+        self.emitBytes(self.getStackPos(name).toTriple(), name.line)
 
 
 proc generateCall(self: Compiler, fn: Name, args: seq[Expression], onStack: bool = false) =
@@ -1441,7 +1443,13 @@ proc identifier(self: Compiler, node: IdentExpr) =
             # align its semantics with the call stack. This makes closures work as expected and is
             # not much slower than indexing our stack (since they're both dynamic arrays at runtime anyway)
             if not s.isClosedOver:
-                self.currentFunction.valueType.isClosure = true
+                var fn = self.currentFunction.valueType
+                while true:
+                    fn.isClosure = true
+                    if fn.parent.isNil():
+                        break
+                    fn = fn.parent    
+                s.isClosedOver = true
                 self.currentFunction.valueType.envLen += 1
                 self.closedOver.add(s)
                 let stackIdx = self.getStackPos(s).toTriple()
@@ -1851,6 +1859,7 @@ proc funDecl(self: Compiler, node: FunDecl, fn: Name = nil, args: seq[Expression
     var function = self.currentFunction
     if not self.currentFunction.isNil():
         self.currentFunction.valueType.children.add(fn.valueType)
+        fn.valueType.parent = function.valueType
     self.currentFunction = fn
     var names {.used.} = self.names[^(node.arguments.len())..^1]
     if fn.valueType.isBuiltinFunction:
diff --git a/src/frontend/parser.nim b/src/frontend/parser.nim
index e452dc0..fefafbb 100644
--- a/src/frontend/parser.nim
+++ b/src/frontend/parser.nim
@@ -967,6 +967,8 @@ proc parseFunExpr(self: Parser): LambdaExpr =
             result.returnType = self.parseFunExpr()
         else:
             result.returnType = self.expression()
+    result.arguments = arguments
+    result.defaults = defaults
 
 
 proc parseGenerics(self: Parser, decl: Declaration) =
diff --git a/tests/chainedCalls.pn b/tests/chainedCalls.pn
index dfbb50c..e8f5dd0 100644
--- a/tests/chainedCalls.pn
+++ b/tests/chainedCalls.pn
@@ -6,12 +6,12 @@ fn first(a, b, c: int): int {
 }
 
 fn second(a, b: int): int {
-    return b;
+    return first(b, a, 0);
 }
 
 
 fn last(a, b, c: int): int {
-    return c;
+    return second(a, c);
 }
 
 
diff --git a/tests/closures.pn b/tests/closures.pn
index 95dd1a1..9318314 100644
--- a/tests/closures.pn
+++ b/tests/closures.pn
@@ -13,5 +13,7 @@ fn makeClosure(n: int): fn: fn: int {
 }
 
 
-print(makeClosure(1)()());   # 1
+var closure = makeClosure(38);
+var inner = closure();
+print(inner());    # 38!
 
diff --git a/tests/functionObj.pn b/tests/functionObj.pn
index b4922c4..40d4cca 100644
--- a/tests/functionObj.pn
+++ b/tests/functionObj.pn
@@ -12,7 +12,7 @@ fn outer: fn (n: int): int {
 
 
 
-fn getAdder(a, b: int): fn: int64 {
+fn getAdder(a, b: int): fn (): int64 {
     var x = a;
     var y = b;
     fn adder: int {
diff --git a/tests/nestedCalls.pn b/tests/nestedCalls.pn
index bffe794..2577998 100644
--- a/tests/nestedCalls.pn
+++ b/tests/nestedCalls.pn
@@ -18,5 +18,5 @@ fn outerTwo(n: int): int {
 }
 
 
-print(outerTwo(5));
-print(outer());
\ No newline at end of file
+print(outerTwo(5));  # 5
+print(outer());  # 69420
\ No newline at end of file