diff --git a/jdd.js b/jdd.js
index 3415b68..efe00b9 100644
--- a/jdd.js
+++ b/jdd.js
@@ -449,12 +449,12 @@ var jdd = {
     unescapeString: function (val) {
         if (val) {
             return val.replace('\\', '\\\\')    // Single slashes need to be replaced first
-                .replace('\"', '\\"')     // Then double quotes
-                .replace('\n', '\\n')     // New lines
-                .replace('\b', '\\b')     // Backspace
-                .replace('\f', '\\f')     // Formfeed
-                .replace('\r', '\\r')     // Carriage return
-                .replace('\t', '\\t');    // Horizontal tabs
+                .replace(/\"/g, '\\"')     // Then double quotes
+                .replace(/\n/g, '\\n')     // New lines
+                .replace('\b', '\\b')      // Backspace
+                .replace(/\f/g, '\\f')     // Formfeed
+                .replace(/\r/g, '\\r')     // Carriage return
+                .replace(/\t/g, '\\t');    // Horizontal tabs
         } else {
             return val;
         }
diff --git a/jdd_test.js b/jdd_test.js
index b13af28..a8db01a 100644
--- a/jdd_test.js
+++ b/jdd_test.js
@@ -241,6 +241,20 @@ QUnit.test('Null object length tests - left side', function (assert) {
     jdd.setupNewDiff();
 });
 
+QUnit.test('Escaped quotes test', function (assert) {
+    $('#textarealeft').val('{"link": "<a href=\\\"http://google.com/\\\">Google</a>"}');
+    $('#textarearight').val('{"link": "<a href=\\\"http://googlex.com/\\\">Google</a>"}');
+
+    jdd.compare();
+    assert.ok(jdd.diffs[0].type === jdd.EQUALITY, 'Checking correct type');
+	assert.ok($('pre.right div.line2 span').text().trim() === '"link": "<a href=\\\"http://googlex.com/\\\">Google</a>"', 'Checking escaped quotes');
+	assert.ok($('pre.left div.line2 span').text().trim() === '"link": "<a href=\\\"http://google.com/\\\">Google</a>"', 'Checking escaped quotes');
+
+    $('#textarealeft').val('');
+    $('#textarearight').val('');
+    jdd.setupNewDiff();
+});
+
 
 QUnit.done(function () {
     $('div.initContainer').hide();