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diff --git a/tests/zfs-tests/tests/functional/cli_root/zfs_rename/zfs_rename_008_pos.ksh b/tests/zfs-tests/tests/functional/cli_root/zfs_rename/zfs_rename_008_pos.ksh
new file mode 100755
index 000000000000..3fc099d79f8a
--- /dev/null
+++ b/tests/zfs-tests/tests/functional/cli_root/zfs_rename/zfs_rename_008_pos.ksh
@@ -0,0 +1,88 @@
+#!/bin/ksh -p
+#
+# CDDL HEADER START
+#
+# The contents of this file are subject to the terms of the
+# Common Development and Distribution License (the "License").
+# You may not use this file except in compliance with the License.
+#
+# You can obtain a copy of the license at usr/src/OPENSOLARIS.LICENSE
+# or http://www.opensolaris.org/os/licensing.
+# See the License for the specific language governing permissions
+# and limitations under the License.
+#
+# When distributing Covered Code, include this CDDL HEADER in each
+# file and include the License file at usr/src/OPENSOLARIS.LICENSE.
+# If applicable, add the following below this CDDL HEADER, with the
+# fields enclosed by brackets "[]" replaced with your own identifying
+# information: Portions Copyright [yyyy] [name of copyright owner]
+#
+# CDDL HEADER END
+#
+
+#
+# Copyright 2007 Sun Microsystems, Inc.  All rights reserved.
+# Use is subject to license terms.
+#
+
+#
+# Copyright (c) 2012, 2016 by Delphix. All rights reserved.
+#
+
+. $STF_SUITE/include/libtest.shlib
+
+#
+# DESCRIPTION:
+#	zfs rename -r can rename snapshot recursively.
+#
+# STRATEGY:
+#	1. Create snapshot recursively.
+#	2. Rename snapshot recursively.
+#	3. Verify rename -r snapshot correctly.
+#
+
+verify_runnable "both"
+
+function cleanup
+{
+	typeset -i i=0
+	while ((i < ${#datasets[@]})); do
+		if datasetexists ${datasets[$i]}@snap ; then
+			log_must zfs destroy ${datasets[$i]}@snap
+		fi
+		if datasetexists ${datasets[$i]}@snap-new ; then
+			log_must zfs destroy ${datasets[$i]}@snap-new
+		fi
+
+		((i += 1))
+	done
+}
+
+log_assert "zfs rename -r can rename snapshot recursively."
+log_onexit cleanup
+
+set -A datasets $TESTPOOL		$TESTPOOL/$TESTCTR \
+	$TESTPOOL/$TESTCTR/$TESTFS1	$TESTPOOL/$TESTFS
+if is_global_zone; then
+	datasets[${#datasets[@]}]=$TESTPOOL/$TESTVOL
+fi
+
+log_must zfs snapshot -r ${TESTPOOL}@snap
+typeset -i i=0
+while ((i < ${#datasets[@]})); do
+	log_must datasetexists ${datasets[$i]}@snap
+
+	((i += 1))
+done
+
+log_must zfs rename -r ${TESTPOOL}@snap ${TESTPOOL}@snap-new
+i=0
+while ((i < ${#datasets[@]})); do
+	log_must datasetexists ${datasets[$i]}@snap-new
+
+	((i += 1))
+done
+
+log_must zfs destroy -rf ${TESTPOOL}@snap-new
+
+log_pass "Verify zfs rename -r passed."