diff --git a/builtin/checkout.c b/builtin/checkout.c
index ca855d7..4c20dae 100644
--- a/builtin/checkout.c
+++ b/builtin/checkout.c
@@ -201,7 +201,7 @@
 }
 
 static int checkout_paths(struct tree *source_tree, const char **pathspec,
-			  struct checkout_opts *opts)
+			  const char *prefix, struct checkout_opts *opts)
 {
 	int pos;
 	struct checkout state;
@@ -231,7 +231,7 @@
 		match_pathspec(pathspec, ce->name, ce_namelen(ce), 0, ps_matched);
 	}
 
-	if (report_path_error(ps_matched, pathspec, 0))
+	if (report_path_error(ps_matched, pathspec, prefix))
 		return 1;
 
 	/* "checkout -m path" to recreate conflicted state */
@@ -1063,7 +1063,7 @@
 		if (1 < !!opts.writeout_stage + !!opts.force + !!opts.merge)
 			die(_("git checkout: --ours/--theirs, --force and --merge are incompatible when\nchecking out of the index."));
 
-		return checkout_paths(source_tree, pathspec, &opts);
+		return checkout_paths(source_tree, pathspec, prefix, &opts);
 	}
 
 	if (patch_mode)
diff --git a/builtin/commit.c b/builtin/commit.c
index e1af9b1..9679a99 100644
--- a/builtin/commit.c
+++ b/builtin/commit.c
@@ -272,7 +272,7 @@
 			item->util = item; /* better a valid pointer than a fake one */
 	}
 
-	return report_path_error(m, pattern, prefix ? strlen(prefix) : 0);
+	return report_path_error(m, pattern, prefix);
 }
 
 static void add_remove_files(struct string_list *list)
diff --git a/builtin/ls-files.c b/builtin/ls-files.c
index 1570123..468bb13 100644
--- a/builtin/ls-files.c
+++ b/builtin/ls-files.c
@@ -388,11 +388,13 @@
 	}
 }
 
-int report_path_error(const char *ps_matched, const char **pathspec, int prefix_len)
+int report_path_error(const char *ps_matched, const char **pathspec, const char *prefix)
 {
 	/*
 	 * Make sure all pathspec matched; otherwise it is an error.
 	 */
+	struct strbuf sb = STRBUF_INIT;
+	const char *name;
 	int num, errors = 0;
 	for (num = 0; pathspec[num]; num++) {
 		int other, found_dup;
@@ -417,10 +419,12 @@
 		if (found_dup)
 			continue;
 
+		name = quote_path_relative(pathspec[num], -1, &sb, prefix);
 		error("pathspec '%s' did not match any file(s) known to git.",
-		      pathspec[num] + prefix_len);
+		      name);
 		errors++;
 	}
+	strbuf_release(&sb);
 	return errors;
 }
 
@@ -611,7 +615,7 @@
 
 	if (ps_matched) {
 		int bad;
-		bad = report_path_error(ps_matched, pathspec, prefix_len);
+		bad = report_path_error(ps_matched, pathspec, prefix);
 		if (bad)
 			fprintf(stderr, "Did you forget to 'git add'?\n");
 
diff --git a/cache.h b/cache.h
index e494bdc..6b24c25 100644
--- a/cache.h
+++ b/cache.h
@@ -1189,7 +1189,7 @@
 #define ws_tab_width(rule)     ((rule) & WS_TAB_WIDTH_MASK)
 
 /* ls-files */
-int report_path_error(const char *ps_matched, const char **pathspec, int prefix_offset);
+int report_path_error(const char *ps_matched, const char **pathspec, const char *prefix);
 void overlay_tree_on_cache(const char *tree_name, const char *prefix);
 
 char *alias_lookup(const char *alias);
diff --git a/quote.c b/quote.c
index 63d3b01..532fd3b 100644
--- a/quote.c
+++ b/quote.c
@@ -325,8 +325,12 @@
 
 	if (len < 0)
 		len = strlen(in);
-	if (prefix && prefix_len < 0)
-		prefix_len = strlen(prefix);
+	if (prefix_len < 0) {
+		if (prefix)
+			prefix_len = strlen(prefix);
+		else
+			prefix_len = 0;
+	}
 
 	off = 0;
 	i = 0;
diff --git a/t/t3005-ls-files-relative.sh b/t/t3005-ls-files-relative.sh
new file mode 100755
index 0000000..3778694
--- /dev/null
+++ b/t/t3005-ls-files-relative.sh
@@ -0,0 +1,72 @@
+#!/bin/sh
+
+test_description='ls-files tests with relative paths
+
+This test runs git ls-files with various relative path arguments.
+'
+
+. ./test-lib.sh
+
+new_line='
+'
+sq=\'
+
+test_expect_success 'prepare' '
+	: >never-mind-me &&
+	git add never-mind-me &&
+	mkdir top &&
+	(
+		cd top &&
+		mkdir sub &&
+		x="x xa xbc xdef xghij xklmno" &&
+		y=$(echo "$x" | tr x y) &&
+		touch $x &&
+		touch $y &&
+		cd sub &&
+		git add ../x*
+	)
+'
+
+test_expect_success 'ls-files with mixed levels' '
+	(
+		cd top/sub &&
+		cat >expect <<-EOF &&
+		../../never-mind-me
+		../x
+		EOF
+		git ls-files $(cat expect) >actual &&
+		test_cmp expect actual
+	)
+'
+
+test_expect_success 'ls-files -c' '
+	(
+		cd top/sub &&
+		for f in ../y*
+		do
+			echo "error: pathspec $sq$f$sq did not match any file(s) known to git."
+		done >expect.err &&
+		echo "Did you forget to ${sq}git add${sq}?" >>expect.err &&
+		ls ../x* >expect.out &&
+		test_must_fail git ls-files -c --error-unmatch ../[xy]* >actual.out 2>actual.err &&
+		test_cmp expect.out actual.out &&
+		test_cmp expect.err actual.err
+	)
+'
+
+test_expect_success 'ls-files -o' '
+	(
+		cd top/sub &&
+		for f in ../x*
+		do
+			echo "error: pathspec $sq$f$sq did not match any file(s) known to git."
+		done >expect.err &&
+		echo "Did you forget to ${sq}git add${sq}?" >>expect.err &&
+		ls ../y* >expect.out &&
+		test_must_fail git ls-files -o --error-unmatch ../[xy]* >actual.out 2>actual.err &&
+		test_cmp expect.out actual.out &&
+		test_cmp expect.err actual.err
+	)
+'
+
+test_done