diff --git a/packages/flutter/lib/src/material/material.dart b/packages/flutter/lib/src/material/material.dart
index 78f3a95e24..a81e22609e 100644
--- a/packages/flutter/lib/src/material/material.dart
+++ b/packages/flutter/lib/src/material/material.dart
@@ -246,6 +246,7 @@ class _MaterialState extends State<Material> {
     contents = new NotificationListener<LayoutChangedNotification>(
       onNotification: (LayoutChangedNotification notification) {
         _inkFeatureRenderer.currentContext.findRenderObject().markNeedsPaint();
+        return true;
       },
       child: new _InkFeatures(
         key: _inkFeatureRenderer,
@@ -320,7 +321,7 @@ class _RenderInkFeatures extends RenderProxyBox implements MaterialInkController
         clipCallback = rectCallback;
       } else {
         size = referenceBox.size;
-        clipCallback = () => Point.origin & size;
+        clipCallback = () => Point.origin & referenceBox.size;
       }
       radius = _getSplashTargetSize(size, position);
     } else {
diff --git a/packages/flutter/test/material/material_test.dart b/packages/flutter/test/material/material_test.dart
new file mode 100644
index 0000000000..2633a5e5b2
--- /dev/null
+++ b/packages/flutter/test/material/material_test.dart
@@ -0,0 +1,24 @@
+// Copyright 2016 The Chromium Authors. All rights reserved.
+// Use of this source code is governed by a BSD-style license that can be
+// found in the LICENSE file.
+
+import 'package:flutter/material.dart';
+import 'package:flutter_test/flutter_test.dart';
+
+class NotifyMaterial extends StatelessWidget {
+  @override
+  Widget build(BuildContext context) {
+    new LayoutChangedNotification().dispatch(context);
+    return new Container();
+  }
+}
+
+void main() {
+  testWidgets('LayoutChangedNotificaion test', (WidgetTester tester) async {
+    await tester.pumpWidget(
+      new Material(
+        child: new NotifyMaterial()
+      )
+    );
+  });
+}