diff --git a/lib/factory_girl/factory.rb b/lib/factory_girl/factory.rb
index 5d38dd9..3358074 100644
--- a/lib/factory_girl/factory.rb
+++ b/lib/factory_girl/factory.rb
@@ -87,8 +87,8 @@ module FactoryGirl
 
     def compile
       unless @compiled
-        parent.defined_traits.each {|trait| define_trait(trait) }
         parent.compile
+        parent.defined_traits.each {|trait| define_trait(trait) }
         @definition.compile
         @compiled = true
       end
diff --git a/spec/acceptance/traits_spec.rb b/spec/acceptance/traits_spec.rb
index 542dd40..c960243 100644
--- a/spec/acceptance/traits_spec.rb
+++ b/spec/acceptance/traits_spec.rb
@@ -60,6 +60,10 @@ describe "an instance generated by a factory with multiple traits" do
             name "Judy"
           end
 
+          factory :female_great_user do
+            great
+          end
+
           factory :female_admin_judy, :traits => [:admin]
         end
 
@@ -167,6 +171,11 @@ describe "an instance generated by a factory with multiple traits" do
     subject     { FactoryGirl.create(:user_without_admin_scoping) }
     it { expect { subject }.to raise_error(ArgumentError, "Trait not registered: admin_trait") }
   end
+
+  context "child factory using grandparents' trait" do
+    subject     { FactoryGirl.create(:female_great_user) }
+    its(:great) { should == "GREAT!!!" }
+  end
 end
 
 describe "traits with callbacks" do