diff --git a/lib/handlebars/runtime.js b/lib/handlebars/runtime.js
index 5c479a83d..55eb1c1b0 100644
--- a/lib/handlebars/runtime.js
+++ b/lib/handlebars/runtime.js
@@ -137,7 +137,7 @@ export function template(templateSpec, env) {
         blockParams = templateSpec.useBlockParams ? [] : undefined;
     if (templateSpec.useDepths) {
       if (options.depths) {
-        depths = context !== options.depths[0] ? [context].concat(options.depths) : options.depths;
+        depths = context != options.depths[0] ? [context].concat(options.depths) : options.depths;
       } else {
         depths = [context];
       }
@@ -174,7 +174,7 @@ export function template(templateSpec, env) {
 export function wrapProgram(container, i, fn, data, declaredBlockParams, blockParams, depths) {
   function prog(context, options = {}) {
     let currentDepths = depths;
-    if (depths && context !== depths[0]) {
+    if (depths && context != depths[0]) {
       currentDepths = [context].concat(depths);
     }
 
diff --git a/spec/regressions.js b/spec/regressions.js
index 83765a223..9bd00d947 100644
--- a/spec/regressions.js
+++ b/spec/regressions.js
@@ -247,4 +247,27 @@ describe('Regressions', function() {
     };
     shouldCompileToWithPartials(string, [{}, {}, partials], true, 'Outer');
   });
+
+  it('GH-1135 : Context handling within each iteration', function() {
+    var obj = {array: [1], name: 'John'};
+    var helpers = {
+      myif: function(conditional, options) {
+        if (conditional) {
+            return options.fn(this);
+        } else {
+            return options.inverse(this);
+        }
+      }
+    };
+
+    shouldCompileTo(`
+      {{#each array}}
+       1. IF: {{#if true}}{{../name}}-{{../../name}}-{{../../../name}}{{/if}}
+       2. MYIF: {{#myif true}}{{../name}}={{../../name}}={{../../../name}}{{/myif}}
+      {{/each}}
+      `, [obj, helpers], `
+       1. IF: John--
+       2. MYIF: John==
+      `);
+  });
 });