diff --git a/app/models/group.rb b/app/models/group.rb
index 11795936e60..0ec202b94b0 100644
--- a/app/models/group.rb
+++ b/app/models/group.rb
@@ -205,12 +205,9 @@ class Group < ActiveRecord::Base
     localized_name = I18n.t("groups.default_names.#{name}").downcase
     validator = UsernameValidator.new(localized_name)
 
-    group.name =
-      if !Group.where("LOWER(name) = ?", localized_name).exists? && validator.valid_format?
-        localized_name
-      else
-        name
-      end
+    if !Group.where("LOWER(name) = ?", localized_name).exists? && validator.valid_format?
+      group.name = localized_name
+    end
 
     # the everyone group is special, it can include non-users so there is no
     # way to have the membership in a table
diff --git a/spec/models/group_spec.rb b/spec/models/group_spec.rb
index c70426e04c9..0dc2f60ec85 100644
--- a/spec/models/group_spec.rb
+++ b/spec/models/group_spec.rb
@@ -162,6 +162,28 @@ describe Group do
       expect(g.visible).to eq(false)
     end
 
+    it "does not reset the localized name" do
+      begin
+        default_locale = SiteSetting.default_locale
+        I18n.locale = SiteSetting.default_locale = 'fi'
+
+        group = Group.find(Group::AUTO_GROUPS[:everyone])
+        group.update!(name: I18n.t("groups.default_names.everyone"))
+
+        Group.refresh_automatic_group!(:everyone)
+
+        expect(group.reload.name).to eq(I18n.t("groups.default_names.everyone"))
+
+        I18n.locale = SiteSetting.default_locale = 'en'
+
+        Group.refresh_automatic_group!(:everyone)
+
+        expect(group.reload.name).to eq(I18n.t("groups.default_names.everyone"))
+      ensure
+        I18n.locale = SiteSetting.default_locale = default_locale
+      end
+    end
+
     it "uses the localized name if name has not been taken" do
       begin
         default_locale = SiteSetting.default_locale