diff --git a/src/backend/optimizer/plan/createplan.c b/src/backend/optimizer/plan/createplan.c
index ca619eab94..610f4a56d6 100644
--- a/src/backend/optimizer/plan/createplan.c
+++ b/src/backend/optimizer/plan/createplan.c
@@ -3720,13 +3720,22 @@ create_subqueryscan_plan(PlannerInfo *root, SubqueryScanPath *best_path,
 	/* Reduce RestrictInfo list to bare expressions; ignore pseudoconstants */
 	scan_clauses = extract_actual_clauses(scan_clauses, false);
 
-	/* Replace any outer-relation variables with nestloop params */
+	/*
+	 * Replace any outer-relation variables with nestloop params.
+	 *
+	 * We must provide nestloop params for both lateral references of the
+	 * subquery and outer vars in the scan_clauses.  It's better to assign the
+	 * former first, because that code path requires specific param IDs, while
+	 * replace_nestloop_params can adapt to the IDs assigned by
+	 * process_subquery_nestloop_params.  This avoids possibly duplicating
+	 * nestloop params when the same Var is needed for both reasons.
+	 */
 	if (best_path->path.param_info)
 	{
-		scan_clauses = (List *)
-			replace_nestloop_params(root, (Node *) scan_clauses);
 		process_subquery_nestloop_params(root,
 										 rel->subplan_params);
+		scan_clauses = (List *)
+			replace_nestloop_params(root, (Node *) scan_clauses);
 	}
 
 	scan_plan = make_subqueryscan(tlist,
diff --git a/src/test/regress/expected/memoize.out b/src/test/regress/expected/memoize.out
index f5202430f8..ca198ec3b8 100644
--- a/src/test/regress/expected/memoize.out
+++ b/src/test/regress/expected/memoize.out
@@ -92,6 +92,43 @@ WHERE t1.unique1 < 1000;
   1000 | 9.5000000000000000
 (1 row)
 
+-- Try with LATERAL joins
+SELECT explain_memoize('
+SELECT COUNT(*),AVG(t2.t1two) FROM tenk1 t1 LEFT JOIN
+LATERAL (
+    SELECT t1.two as t1two, * FROM tenk1 t2 WHERE t2.unique1 < 5 OFFSET 0
+) t2
+ON t1.two = t2.two
+WHERE t1.unique1 < 10;', false);
+                                       explain_memoize                                        
+----------------------------------------------------------------------------------------------
+ Aggregate (actual rows=1 loops=N)
+   ->  Nested Loop Left Join (actual rows=25 loops=N)
+         ->  Index Scan using tenk1_unique1 on tenk1 t1 (actual rows=10 loops=N)
+               Index Cond: (unique1 < 10)
+         ->  Memoize (actual rows=2 loops=N)
+               Cache Key: t1.two, t1.two
+               Cache Mode: binary
+               Hits: 8  Misses: 2  Evictions: Zero  Overflows: 0  Memory Usage: NkB
+               ->  Subquery Scan on t2 (actual rows=2 loops=N)
+                     Filter: (t1.two = t2.two)
+                     Rows Removed by Filter: 2
+                     ->  Index Scan using tenk1_unique1 on tenk1 t2_1 (actual rows=5 loops=N)
+                           Index Cond: (unique1 < 5)
+(13 rows)
+
+-- And check we get the expected results.
+SELECT COUNT(*),AVG(t2.t1two) FROM tenk1 t1 LEFT JOIN
+LATERAL (
+    SELECT t1.two as t1two, * FROM tenk1 t2 WHERE t2.unique1 < 5 OFFSET 0
+) t2
+ON t1.two = t2.two
+WHERE t1.unique1 < 10;
+ count |          avg           
+-------+------------------------
+    25 | 0.40000000000000000000
+(1 row)
+
 -- Reduce work_mem and hash_mem_multiplier so that we see some cache evictions
 SET work_mem TO '64kB';
 SET hash_mem_multiplier TO 1.0;
diff --git a/src/test/regress/sql/memoize.sql b/src/test/regress/sql/memoize.sql
index 29ab1ea62d..3793c28593 100644
--- a/src/test/regress/sql/memoize.sql
+++ b/src/test/regress/sql/memoize.sql
@@ -57,6 +57,23 @@ LATERAL (SELECT t2.unique1 FROM tenk1 t2
          WHERE t1.twenty = t2.unique1 OFFSET 0) t2
 WHERE t1.unique1 < 1000;
 
+-- Try with LATERAL joins
+SELECT explain_memoize('
+SELECT COUNT(*),AVG(t2.t1two) FROM tenk1 t1 LEFT JOIN
+LATERAL (
+    SELECT t1.two as t1two, * FROM tenk1 t2 WHERE t2.unique1 < 5 OFFSET 0
+) t2
+ON t1.two = t2.two
+WHERE t1.unique1 < 10;', false);
+
+-- And check we get the expected results.
+SELECT COUNT(*),AVG(t2.t1two) FROM tenk1 t1 LEFT JOIN
+LATERAL (
+    SELECT t1.two as t1two, * FROM tenk1 t2 WHERE t2.unique1 < 5 OFFSET 0
+) t2
+ON t1.two = t2.two
+WHERE t1.unique1 < 10;
+
 -- Reduce work_mem and hash_mem_multiplier so that we see some cache evictions
 SET work_mem TO '64kB';
 SET hash_mem_multiplier TO 1.0;