diff --git a/pkg/porter/parameters.go b/pkg/porter/parameters.go
index 476025d96..897db5c02 100644
--- a/pkg/porter/parameters.go
+++ b/pkg/porter/parameters.go
@@ -891,6 +891,12 @@ func (p *Porter) applyActionOptionsToInstallation(ctx context.Context, ba Bundle
 		resolvedParams[k] = v
 	}
 
+	for name, value := range parsedOverrides {
+		if strings.Contains(name, "#") {
+			resolvedParams[name] = value
+		}
+	}
+
 	//
 	// 6. Separate out params for the root bundle from the ones intended for dependencies
 	//    This only applies to the dep v1 implementation, in dep v2 you can't specify rando params for deps
diff --git a/pkg/porter/parameters_test.go b/pkg/porter/parameters_test.go
index 314f68a8b..89e010a0c 100644
--- a/pkg/porter/parameters_test.go
+++ b/pkg/porter/parameters_test.go
@@ -917,3 +917,30 @@ func TestParameterRemovedFromBundle(t *testing.T) {
 	err := p.applyActionOptionsToInstallation(ctx, opts, &installation)
 	require.NoError(t, err)
 }
+
+func Test_DependencyParameterOverride(t *testing.T) {
+	ctx := context.Background()
+	p := NewTestPorter(t)
+	p.TestConfig.TestContext.AddTestFile("testdata/porter.yaml", "porter.yaml")
+	opts := InstallOptions{
+		BundleExecutionOptions: &BundleExecutionOptions{
+			Params: []string{
+				"dep#first-param=1",
+			},
+			Driver: "docker",
+			BundleReferenceOptions: &BundleReferenceOptions{
+				installationOptions: installationOptions{
+					BundleDefinitionOptions: BundleDefinitionOptions{
+						File: config.Name,
+					},
+					Name: "MyInstallation",
+				},
+			},
+		},
+	}
+
+	installation := storage.NewInstallation(opts.Namespace, opts.Name)
+	err := p.applyActionOptionsToInstallation(ctx, opts, &installation)
+	require.NoError(t, err)
+	assert.Equal(t, opts.depParams["dep#first-param"], "1")
+}