diff --git a/lib/pry/command.rb b/lib/pry/command.rb
index eecd0391..7e9c82e7 100644
--- a/lib/pry/command.rb
+++ b/lib/pry/command.rb
@@ -162,6 +162,13 @@ class Pry
     attr_accessor :command_set
     attr_accessor :_pry_
 
+    # The block we pass *into* a command if it defines `:takes_block => true`
+    # @example
+    #   my-command do
+    #     puts "block content"
+    #   end
+    attr_accessor :command_block
+
     # Run a command from another command.
     # @param [String] command_string The string that invokes the command
     # @param [Array] args Further arguments to pass to the command
@@ -281,9 +288,39 @@ class Pry
       self.arg_string = arg_string
       self.captures = captures
 
+      pass_block(args) if command_options[:takes_block]
+
       call_safely(*(captures + args))
     end
 
+    # Pass a block argument to a command.
+    # @param [Array<String>] args The arguments passed to the command.
+    #   We inspect these for a 'do' or a '{' and if we find it we use it
+    #   to start a block input sequence. Once we have a complete
+    #   block, we save it to an accessor that can be retrieved from the command context.
+    #   Note that if we find the 'do' or '{' we delete this and the
+    #   elements following it from `args`.
+    def pass_block(args)
+      if !(idx = args.find_index { |v| /^do;?$/ =~ v })
+        idx = args.find_index { |v| /^\{;?$/ =~ v }
+      end
+
+      if idx
+        block_init_string = args.slice!(idx..-1).join(" ")
+        prime_string = "proc #{block_init_string}\n"
+
+        if !_pry_.complete_expression?(prime_string)
+          command_string = _pry_.r(target, prime_string)
+        else
+          command_string = prime_string
+        end
+
+        self.command_block = target.eval(command_string)
+      end
+    end
+
+    private :pass_block
+
     # Run the command with the given {args}.
     #
     # This is a public wrapper around {#call} which ensures all preconditions are met.
@@ -367,7 +404,11 @@ class Pry
     # @param *String  the arguments passed
     # @return Object  the return value of the block
     def call(*args)
-      instance_exec(*correct_arg_arity(block.arity, args), &block)
+
+      # we need to define this method so we can pass a block in (not
+      # possible with `instance_exec`)
+      class << self; self; end.send(:define_method, :dummy, &block)
+      dummy(*correct_arg_arity(block.arity, args), &command_block)
     end
 
     def help; description; end
@@ -403,7 +444,7 @@ class Pry
         output.puts slop.help
         void
       else
-        process(*correct_arg_arity(method(:process).arity, args))
+        process(*correct_arg_arity(method(:process).arity, args), &command_block)
       end
     end
 
diff --git a/test/helper.rb b/test/helper.rb
index 9d4564c7..b48b5077 100644
--- a/test/helper.rb
+++ b/test/helper.rb
@@ -16,6 +16,14 @@ $VERBOSE = nil
 # Ensure we do not execute any rc files
 Pry::RC_FILES.clear
 
+# inject a variable into a binding
+def inject_var(name, value, b)
+  Thread.current[:__pry_local__] = value
+  b.eval("#{name} = Thread.current[:__pry_local__]")
+ensure
+  Thread.current[:__pry_local__] = nil
+end
+
 # in case the tests call reset_defaults, ensure we reset them to
 # amended (test friendly) values
 class << Pry
diff --git a/test/test_command.rb b/test/test_command.rb
index 31efd760..2446aec1 100644
--- a/test/test_command.rb
+++ b/test/test_command.rb
@@ -340,5 +340,179 @@ describe "Pry::Command" do
         cmd.new.process_line %(grumpos)
       }.should.raise(Pry::CommandError)
     end
-  end
-end
+   end
+
+   describe "block parameters" do
+     before do
+       @context = Object.new
+       @set.command "walking-spanish", "down the hall", :takes_block => true do |&block|
+         inject_var(:@x, block.call, target)
+       end
+       @set.import Pry::Commands
+     end
+
+     describe ":takes_block option" do
+       it 'should accept block when :takes_block => true' do
+         redirect_pry_io(InputTester.new("walking-spanish { :jesus }", "exit-all"), out = StringIO.new) do
+           Pry.start @context, :commands => @set
+         end
+         @context.instance_variable_get(:@x).should == :jesus
+       end
+
+       it 'should NOT accept block when :takes_block => false' do
+         @set.command "walking-spanish", "down the hall", :takes_block => false do |&block|
+           inject_var(:@x, block, target)
+         end
+
+         redirect_pry_io(InputTester.new("walking-spanish { :jesus }", "exit-all"), out = StringIO.new) do
+           Pry.start @context, :commands => @set
+         end
+         @context.instance_variable_get(:@x).should == nil
+       end
+     end
+
+     it 'should accept multiline blocks' do
+       redirect_pry_io(InputTester.new("walking-spanish do",
+                                       "  :jesus",
+                                       "end",
+                                       "exit-all"), out = StringIO.new) do
+         Pry.start @context, :commands => @set
+       end
+       @context.instance_variable_get(:@x).should == :jesus
+     end
+
+     describe "single line blocks" do
+       it 'should accept blocks with do ; end' do
+         redirect_pry_io(InputTester.new("walking-spanish do ; :jesus; end",
+                                         "exit-all"), out = StringIO.new) do
+           Pry.start @context, :commands => @set
+         end
+         @context.instance_variable_get(:@x).should == :jesus
+       end
+
+       it 'should accept blocks with do; end' do
+         redirect_pry_io(InputTester.new("walking-spanish do; :jesus; end",
+                                         "exit-all"), out = StringIO.new) do
+           Pry.start @context, :commands => @set
+         end
+         @context.instance_variable_get(:@x).should == :jesus
+       end
+
+       it 'should accept blocks with { }' do
+         redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                         "exit-all"), out = StringIO.new) do
+           Pry.start @context, :commands => @set
+         end
+         @context.instance_variable_get(:@x).should == :jesus
+       end
+
+     end
+
+     describe "block-related content removed from arguments" do
+       describe "block_command" do
+         it "should remove block-related content from arguments" do
+           @set.block_command "walking-spanish", "down the hall", :takes_block => true do |x, y|
+             inject_var(:@x, x, target)
+             inject_var(:@y, y, target)
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == nil
+           @context.instance_variable_get(:@y).should == nil
+         end
+
+         it "should NOT remove block-related content from arguments if :takes_block => false" do
+           @set.block_command "walking-spanish", "down the hall", :takes_block => false do |x, y|
+             inject_var(:@x, x, target)
+             inject_var(:@y, y, target)
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == "{"
+           @context.instance_variable_get(:@y).should == ":jesus"
+         end
+       end
+
+       describe "create_command" do
+         it "should remove block-related content from arguments" do
+           @set.create_command "walking-spanish", "down the hall", :takes_block => true do
+             def process(x, y)
+               inject_var(:@x, x, target)
+               inject_var(:@y, y, target)
+             end
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == nil
+           @context.instance_variable_get(:@y).should == nil
+         end
+
+         it "should NOT remove block-related content from arguments if :takes_block => false" do
+           @set.create_command "walking-spanish", "down the hall", :takes_block => false do
+             def process(x, y)
+               inject_var(:@x, x, target)
+               inject_var(:@y, y, target)
+             end
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == "{"
+           @context.instance_variable_get(:@y).should == ":jesus"
+         end
+       end
+     end
+
+     describe "exposing block parameter" do
+       describe "block_command" do
+         it "should expose block in command_block method" do
+           @set.block_command "walking-spanish", "down the hall", :takes_block => true do
+             inject_var(:@x, command_block.call, target)
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == :jesus
+         end
+
+         # test for &block already completed many times in other sections
+       end
+
+       describe "create_command" do
+         it "should expose &block in create_command's process method" do
+           @set.create_command "walking-spanish", "down the hall", :takes_block => true do
+             def process(&block)
+               inject_var(:@x, block.call, target)
+             end
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == :jesus
+         end
+
+         it "should expose block in command_block method" do
+           @set.create_command "walking-spanish", "down the hall", :takes_block => true do
+             def process
+               inject_var(:@x, command_block.call, target)
+             end
+           end
+           redirect_pry_io(InputTester.new("walking-spanish { :jesus }",
+                                           "exit-all"), out = StringIO.new) do
+             Pry.start @context, :commands => @set
+           end
+           @context.instance_variable_get(:@x).should == :jesus
+         end
+       end
+     end
+   end
+ end