diff --git a/indra/newview/linux_tools/install.sh b/indra/newview/linux_tools/install.sh
index 8b22aae81c836227eb304b1b6ca91808813625c9..b69e281b4e0aed62f63bdbe59a1cc0ca11ca95f4 100755
--- a/indra/newview/linux_tools/install.sh
+++ b/indra/newview/linux_tools/install.sh
@@ -55,10 +55,13 @@ function homedir_install()
 
     prompt "Proceed with the installation? [Y/N]: "
     if [[ $? == 0 ]]; then
-	exit 0
+	    exit 0
+    fi
+    if [[ -z "$XDG_DATA_HOME" ]]
+        install_to_prefix "$XDG_DATA_HOME/alchemy-install" #$XDG_DATA_HOME is a synonym for $HOME/.local/share/ unless the user has specified otherwise (unlikely).
+    else
+        install_to_prefix "$HOME/.local/share/alchemy-install" #XDG_DATA_HOME not set, so use default path as defined by XDG spec.
     fi
-
-    install_to_prefix "$XDG_DATA_HOME/alchemy-install" #$XDG_DATA_HOME is a synonym for $HOME/.local/share/ unless the user has specified otherwise (unlikely).
 }
 
 function root_install()