diff --git a/stepmania/src/Preference.cpp b/stepmania/src/Preference.cpp
index bdf0d47e18..255c13f28f 100644
--- a/stepmania/src/Preference.cpp
+++ b/stepmania/src/Preference.cpp
@@ -37,12 +37,11 @@ void IPreference::LoadAllDefaults()
 		(*p)->LoadDefault();
 }
 
-void IPreference::ReadAllPrefsFromNode( const XNode* pNode )
+void IPreference::ReadAllPrefsFromNode( const XNode* pNode, bool bIsStatic )
 {
-	if( pNode == NULL )
-		return;
+	ASSERT( pNode );
 	FOREACHS_CONST( IPreference*, *m_Subscribers.m_pSubscribers, p )
-		(*p)->ReadFrom( pNode );
+		(*p)->ReadFrom( pNode, bIsStatic );
 }
 
 void IPreference::SavePrefsToNode( XNode* pNode )
@@ -97,16 +96,20 @@ READFROM_AND_WRITETO( float )
 READFROM_AND_WRITETO( bool )
 READFROM_AND_WRITETO( RString )
 
-void IPreference::ReadFrom( const XNode* pNode )
+void IPreference::ReadFrom( const XNode* pNode, bool bIsStatic )
 {
 	RString sVal;
 	if( pNode->GetAttrValue(m_sName, sVal) )
+	{
 		FromString( sVal );
+		m_bLoadedFromStatic = bIsStatic;
+	}
 }
 
 void IPreference::WriteTo( XNode* pNode ) const
 {
-	pNode->AppendAttr( m_sName, ToString() );
+	if( !m_bLoadedFromStatic )
+		pNode->AppendAttr( m_sName, ToString() );
 }
 
 /* Load our value from the node, and make it the new default. */
diff --git a/stepmania/src/Preference.h b/stepmania/src/Preference.h
index 2bec371cca..de0c8c0a0e 100644
--- a/stepmania/src/Preference.h
+++ b/stepmania/src/Preference.h
@@ -13,7 +13,7 @@ class IPreference
 public:
 	IPreference( const RString& sName );
 	virtual ~IPreference();
-	void ReadFrom( const XNode* pNode );
+	void ReadFrom( const XNode* pNode, bool bIsStatic );
 	void WriteTo( XNode* pNode ) const;
 	void ReadDefaultFrom( const XNode* pNode );
 
@@ -30,12 +30,14 @@ public:
 
 	static IPreference *GetPreferenceByName( const RString &sName );
 	static void LoadAllDefaults();
-	static void ReadAllPrefsFromNode( const XNode* pNode );
+	static void ReadAllPrefsFromNode( const XNode* pNode, bool bIsStatic );
 	static void SavePrefsToNode( XNode* pNode );
 	static void ReadAllDefaultsFromNode( const XNode* pNode );
 
-protected:
-	RString		m_sName;
+	RString GetName() { return m_sName; }
+private:
+	RString	m_sName;
+	bool m_bLoadedFromStatic;	// loaded from Static.ini?  If so, don't write to Preferences.ini
 };
 
 void BroadcastPreferenceChanged( const RString& sPreferenceName );
@@ -59,9 +61,22 @@ public:
 	}
 
 	RString ToString() const { return PrefToString( (const BasicType &) m_currentValue ); }
-	void FromString( const RString &s ) { PrefFromString( s, (BasicType &)m_currentValue ); if(m_pfnValidate) m_pfnValidate(m_currentValue); }
-	void SetFromStack( lua_State *L ) { PrefSetFromStack( L, (BasicType &)m_currentValue ); if(m_pfnValidate) m_pfnValidate(m_currentValue); }
-	void PushValue( lua_State *L ) const { PrefPushValue( L, (BasicType &)m_currentValue ); }
+	void FromString( const RString &s )
+	{
+		PrefFromString( s, (BasicType &)m_currentValue );
+		if( m_pfnValidate ) 
+			m_pfnValidate( m_currentValue );
+	}
+	void SetFromStack( lua_State *L )
+	{
+		PrefSetFromStack( L, (BasicType &)m_currentValue ); 
+		if( m_pfnValidate )
+			m_pfnValidate( m_currentValue );
+	}
+	void PushValue( lua_State *L ) const
+	{
+		PrefPushValue( L, (BasicType &)m_currentValue );
+	}
 
 	void LoadDefault()
 	{
@@ -85,7 +100,7 @@ public:
 	void Set( const T& other )
 	{
 		m_currentValue = other;
-		BroadcastPreferenceChanged( m_sName );
+		BroadcastPreferenceChanged( GetName() );
 	}
 
 private:
diff --git a/stepmania/src/PrefsManager.cpp b/stepmania/src/PrefsManager.cpp
index ac6c01b8e1..a4e73f6383 100644
--- a/stepmania/src/PrefsManager.cpp
+++ b/stepmania/src/PrefsManager.cpp
@@ -385,7 +385,7 @@ void PrefsManager::RestoreGamePrefs()
 	m_sDefaultModifiers	.Set( gp.m_sDefaultModifiers );
 
 	// give Static.ini a chance to clobber the saved game prefs
-	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection() );
+	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection(), true );
 }
 
 void PrefsManager::ReadPrefsFromDisk()
@@ -393,9 +393,9 @@ void PrefsManager::ReadPrefsFromDisk()
 	ReadDefaultsFromFile( SpecialFiles::DEFAULTS_INI_PATH, GetPreferencesSection() );
 	IPreference::LoadAllDefaults();
 
-	ReadPrefsFromFile( SpecialFiles::PREFERENCES_INI_PATH, "Options" );
+	ReadPrefsFromFile( SpecialFiles::PREFERENCES_INI_PATH, "Options", false );
 	ReadGamePrefsFromIni( SpecialFiles::PREFERENCES_INI_PATH );
-	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection() );
+	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection(), true );
 
 	if( !m_sCurrentGame.Get().empty() )
 		RestoreGamePrefs();
@@ -406,31 +406,34 @@ void PrefsManager::ResetToFactoryDefaults()
 	// clobber the users prefs by initing then applying defaults
 	Init();
 	IPreference::LoadAllDefaults();
-	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection() );
+	ReadPrefsFromFile( SpecialFiles::STATIC_INI_PATH, GetPreferencesSection(), true );
 	
 	SavePrefsToDisk();
 }
 
-void PrefsManager::ReadPrefsFromFile( const RString &sIni, const RString &sSection )
+void PrefsManager::ReadPrefsFromFile( const RString &sIni, const RString &sSection, bool bIsStatic )
 {
 	IniFile ini;
 	if( !ini.ReadFile(sIni) )
 		return;
 
-	ReadPrefsFromIni( ini, sSection );
+	ReadPrefsFromIni( ini, sSection, bIsStatic );
 }
 
 static const RString GAME_SECTION_PREFIX = "Game-";
 
-void PrefsManager::ReadPrefsFromIni( const IniFile &ini, const RString &sSection )
+void PrefsManager::ReadPrefsFromIni( const IniFile &ini, const RString &sSection, bool bIsStatic )
 {
 	// Apply our fallback recursively (if any) before applying ourself.
-	// TODO: detect circular?
+	static int s_iDepth = 0;
+	s_iDepth++;
+	ASSERT( s_iDepth < 100 );
 	RString sFallback;
 	if( ini.GetValue(sSection,"Fallback",sFallback) )
 	{
-		ReadPrefsFromIni( ini, sFallback );
+		ReadPrefsFromIni( ini, sFallback, bIsStatic );
 	}
+	s_iDepth--;
 
 	//IPreference *pPref = PREFSMAN->GetPreferenceByName( *sName );
 	//	if( pPref == NULL )
@@ -440,7 +443,9 @@ void PrefsManager::ReadPrefsFromIni( const IniFile &ini, const RString &sSection
 	//	}
 	//	pPref->FromString( sVal );
 
-	IPreference::ReadAllPrefsFromNode( ini.GetChild(sSection) );
+	const XNode *pChild = ini.GetChild(sSection);
+	if( pChild )
+		IPreference::ReadAllPrefsFromNode( pChild, bIsStatic );
 }
 
 void PrefsManager::ReadGamePrefsFromIni( const RString &sIni )
@@ -505,7 +510,7 @@ void PrefsManager::SavePrefsToIni( IniFile &ini )
 		RString sSection = "Game-" + RString( iter->first );
 
 		ini.SetValue( sSection, "Announcer",		iter->second.m_sAnnouncer );
-		ini.SetValue( sSection, "Theme",			iter->second.m_sTheme );
+		ini.SetValue( sSection, "Theme",		iter->second.m_sTheme );
 		ini.SetValue( sSection, "DefaultModifiers",	iter->second.m_sDefaultModifiers );
 	}
 }
diff --git a/stepmania/src/PrefsManager.h b/stepmania/src/PrefsManager.h
index aca705f434..136cfe68c3 100644
--- a/stepmania/src/PrefsManager.h
+++ b/stepmania/src/PrefsManager.h
@@ -241,7 +241,7 @@ public:
 	float GetSoundVolume();
 
 
-	void ReadPrefsFromIni( const IniFile &ini, const RString &sSection );
+	void ReadPrefsFromIni( const IniFile &ini, const RString &sSection, bool bIsStatic );
 	void ReadGamePrefsFromIni( const RString &sIni );
 	void ReadDefaultsFromIni( const IniFile &ini, const RString &sSection );
 	void SavePrefsToIni( IniFile &ini );
@@ -257,7 +257,7 @@ public:
 	void PushSelf( lua_State *L );
 
 protected:
-	void ReadPrefsFromFile( const RString &sIni, const RString &sSection );
+	void ReadPrefsFromFile( const RString &sIni, const RString &sSection, bool bIsStatic );
 	void ReadDefaultsFromFile( const RString &sIni, const RString &sSection );
 };