diff --git a/_pytest/python.py b/_pytest/python.py
index 3c4374f43..c894becb6 100644
--- a/_pytest/python.py
+++ b/_pytest/python.py
@@ -324,14 +324,14 @@ class FunctionMixin(PyobjMixin):
                 if line.strip().startswith('def'):
                     return FuncargLookupErrorRepr(fspath, lineno,
             lines[:i+1], str(excinfo.value))
+        if excinfo.errisinstance(pytest.fail.Exception):
+            if not excinfo.value.pytrace:
+                return str(excinfo.value)
         return super(FunctionMixin, self)._repr_failure_py(excinfo,
             style=style)
 
     def repr_failure(self, excinfo, outerr=None):
         assert outerr is None, "XXX outerr usage is deprecated"
-        if excinfo.errisinstance(pytest.fail.Exception):
-            if not excinfo.value.pytrace:
-                return str(excinfo.value)
         return self._repr_failure_py(excinfo,
             style=self.config.option.tbstyle)
 
diff --git a/testing/test_runner.py b/testing/test_runner.py
index 379476d40..6ec9a66f1 100644
--- a/testing/test_runner.py
+++ b/testing/test_runner.py
@@ -339,11 +339,15 @@ def test_pytest_fail_notrace(testdir):
         import pytest
         def test_hello():
             pytest.fail("hello", pytrace=False)
+        def teardown_function(function):
+            pytest.fail("world", pytrace=False)
     """)
     result = testdir.runpytest()
     result.stdout.fnmatch_lines([
-        "hello"
+        "world",
+        "hello",
     ])
+    assert 'def teardown_function' not in result.stdout.str()
 
 def test_exception_printing_skip():
     try: