diff --git a/src/core.js b/src/core.js
index eb135400..d9749ba4 100644
--- a/src/core.js
+++ b/src/core.js
@@ -394,18 +394,32 @@ jQuery.fn = jQuery.prototype = {
 				obj = this.getElementsByTagName("tbody")[0] || this.appendChild(document.createElement("tbody"));
 
 			jQuery.each( a, function(){
-				if ( jQuery.nodeName(this, "script") ) {
-					if ( this.src )
-						jQuery.ajax({ url: this.src, async: false, dataType: "script" });
-					else
-						jQuery.globalEval( this.text || this.textContent || this.innerHTML || "" );
-				} else
-					fn.apply( obj, [ clone ? this.cloneNode(true) : this ] );
+				var elem = clone ? this.cloneNode(true) : this;
+				if ( !evalScript(0, elem) )
+					fn.call( obj, elem );
 			});
 		});
 	}
 };
 
+function evalScript(i, elem){
+	var script = jQuery.nodeName(elem, "script");
+
+	if ( script ) {
+		if ( elem.src )
+			jQuery.ajax({ url: elem.src, async: false, dataType: "script" });
+		else
+			jQuery.globalEval( elem.text || elem.textContent || elem.innerHTML || "" );
+	
+		if ( elem.parentNode )
+			elem.parentNode.removeChild(elem);
+
+	} else if ( elem.nodeType == 1 )
+    jQuery("script", elem).each(evalScript);
+
+	return script;
+}
+
 jQuery.extend = jQuery.fn.extend = function() {
 	// copy reference to target object
 	var target = arguments[0] || {}, a = 1, al = arguments.length, deep = false;
diff --git a/test/unit/core.js b/test/unit/core.js
index db478560..dce86d82 100644
--- a/test/unit/core.js
+++ b/test/unit/core.js
@@ -821,7 +821,7 @@ test("val(String)", function() {
 });
 
 test("html(String)", function() {
-	expect(1);
+	expect(3);
 	var div = $("div");
 	div.html("<b>test</b>");
 	var pass = true;
@@ -830,8 +830,13 @@ test("html(String)", function() {
 	}
 	ok( pass, "Set HTML" );
 
-	// Ccommented out until we can resolve it	
-	// $("#main").html('<script type="text/javascript">ok( true, "$().html().evalScripts() Evals Scripts Twice in Firefox, see #975" );</script>').evalScripts();
+	stop();
+
+	$("#main").html('<script type="text/javascript">ok( true, "$().html().evalScripts() Evals Scripts Twice in Firefox, see #975" );</script>');
+
+	$("#main").html('foo <form><script type="text/javascript">ok( true, "$().html().evalScripts() Evals Scripts Twice in Firefox, see #975" );</script></form>');
+
+	setTimeout( start, 100 );
 });
 
 test("filter()", function() {