diff --git a/effekt/jvm/src/test/scala/effekt/RecursiveDescentTests.scala b/effekt/jvm/src/test/scala/effekt/RecursiveDescentTests.scala
index 496b975b5..9971dff3e 100644
--- a/effekt/jvm/src/test/scala/effekt/RecursiveDescentTests.scala
+++ b/effekt/jvm/src/test/scala/effekt/RecursiveDescentTests.scala
@@ -311,6 +311,14 @@ class RecursiveDescentTests extends munit.FunSuite {
     intercept[Throwable] { parseExpr("[,1]") }
   }
 
+  test("ufcs") {
+    parseExpr("{ l }.foo { x => x + 1}.bar { x => x * 2}")
+    parseExpr("{ 42 }.bar")
+    parseExpr("{ 42 }.bar()")
+    parseExpr("{ x => x }.foo(42)")
+    parseExpr("l.bar { fn }")
+  }
+
   test("Boxing") {
     parseExpr("box f")
     parseExpr("unbox f")
diff --git a/effekt/shared/src/main/scala/effekt/RecursiveDescent.scala b/effekt/shared/src/main/scala/effekt/RecursiveDescent.scala
index c2138bc1a..92de99b6b 100644
--- a/effekt/shared/src/main/scala/effekt/RecursiveDescent.scala
+++ b/effekt/shared/src/main/scala/effekt/RecursiveDescent.scala
@@ -959,40 +959,43 @@ class RecursiveDescent(positions: Positions, tokens: Seq[Token], source: Source)
    * This way expressions like `foo.bar.baz()(x).bam.boo()` are
    * parsed with the correct left-associativity.
    */
-  def callExpr(): Term = nonterminal {
-    var e = primExpr()
+  def callExpr(): Term =
+    nonterminal:
+      var e = peek.kind match {
+        case `{` => blockArg()
+        case _ => primExpr()
+      }
 
-    while (peek(`.`) || isArguments)
-      peek.kind match {
-        // member selection (or method call)
-        //   <EXPR>.<NAME>
-        // | <EXPR>.<NAME>( ... )
-        case `.` =>
-          consume(`.`)
-          val member = idRef()
-          // method call
-          if (isArguments) {
-            val (targs, vargs, bargs) = arguments()
-            e = Term.MethodCall(e, member, targs, vargs, bargs)
-          } else {
-            e = Term.MethodCall(e, member, Nil, Nil, Nil)
-          }
+      while (peek(`.`) || isArguments)
+        peek.kind match {
+          // member selection (or method call)
+          //   <EXPR>.<NAME>
+          // | <EXPR>.<NAME>( ... )
+          case `.` =>
+            consume(`.`)
+            val member = idRef()
+            // method call
+            if (isArguments) {
+              val (targs, vargs, bargs) = arguments()
+              e = Term.MethodCall(e, member, targs, vargs, bargs)
+            } else {
+              e = Term.MethodCall(e, member, Nil, Nil, Nil)
+            }
 
-        // function call
-        case _ if isArguments =>
-          val callee = e match {
-            case Term.Var(id) => IdTarget(id)
-            case other => ExprTarget(other)
-          }
-          val (targs, vargs, bargs) = arguments()
-          e = Term.Call(callee, targs, vargs, bargs)
+          // function call
+          case _ if isArguments =>
+            val callee = e match {
+              case Term.Var(id) => IdTarget(id)
+              case other => ExprTarget(other)
+            }
+            val (targs, vargs, bargs) = arguments()
+            e = Term.Call(callee, targs, vargs, bargs)
 
-        // nothing to do
-        case _ => ()
-      }
+          // nothing to do
+          case _ => ()
+        }
+      e
 
-    e
-  }
 
   // argument lists cannot follow a linebreak:
   //   foo      ==    foo;
diff --git a/effekt/shared/src/main/scala/effekt/typer/BoxUnboxInference.scala b/effekt/shared/src/main/scala/effekt/typer/BoxUnboxInference.scala
index 6492eb591..ddfee7476 100644
--- a/effekt/shared/src/main/scala/effekt/typer/BoxUnboxInference.scala
+++ b/effekt/shared/src/main/scala/effekt/typer/BoxUnboxInference.scala
@@ -97,7 +97,11 @@ object BoxUnboxInference extends Phase[NameResolved, NameResolved] {
       if (hasMethods) {
         MethodCall(rewriteAsBlock(receiver), id, targs, vargsTransformed, bargsTransformed)
       } else {
-        Call(IdTarget(id).inheritPosition(id), targs, rewriteAsExpr(receiver) :: vargsTransformed, bargsTransformed)
+        receiver match
+          case _: BlockLiteral =>
+            Call(IdTarget(id).inheritPosition(id), targs, vargsTransformed, rewriteAsBlock(receiver) :: bargsTransformed)
+          case _ => 
+            Call(IdTarget(id).inheritPosition(id), targs, rewriteAsExpr(receiver) :: vargsTransformed, bargsTransformed)
       }
 
     case TryHandle(prog, handlers) =>