diff --git a/builtin/providers/aws/resource_aws_cloudwatch_log_group.go b/builtin/providers/aws/resource_aws_cloudwatch_log_group.go
index a135b4017b..245c890437 100644
--- a/builtin/providers/aws/resource_aws_cloudwatch_log_group.go
+++ b/builtin/providers/aws/resource_aws_cloudwatch_log_group.go
@@ -63,11 +63,17 @@ func resourceAwsCloudWatchLogGroupCreate(d *schema.ResourceData, meta interface{
 func resourceAwsCloudWatchLogGroupRead(d *schema.ResourceData, meta interface{}) error {
 	conn := meta.(*AWSClient).cloudwatchlogsconn
 	log.Printf("[DEBUG] Reading CloudWatch Log Group: %q", d.Get("name").(string))
-	lg, err := lookupCloudWatchLogGroup(conn, d.Id(), nil)
+	lg, exists, err := lookupCloudWatchLogGroup(conn, d.Id(), nil)
 	if err != nil {
 		return err
 	}
 
+	if !exists {
+		log.Printf("[DEBUG] CloudWatch Group %q Not Found", d.Id())
+		d.SetId("")
+		return nil
+	}
+
 	log.Printf("[DEBUG] Found Log Group: %#v", *lg)
 
 	d.Set("arn", *lg.Arn)
@@ -81,19 +87,19 @@ func resourceAwsCloudWatchLogGroupRead(d *schema.ResourceData, meta interface{})
 }
 
 func lookupCloudWatchLogGroup(conn *cloudwatchlogs.CloudWatchLogs,
-	name string, nextToken *string) (*cloudwatchlogs.LogGroup, error) {
+	name string, nextToken *string) (*cloudwatchlogs.LogGroup, bool, error) {
 	input := &cloudwatchlogs.DescribeLogGroupsInput{
 		LogGroupNamePrefix: aws.String(name),
 		NextToken:          nextToken,
 	}
 	resp, err := conn.DescribeLogGroups(input)
 	if err != nil {
-		return nil, err
+		return nil, true, err
 	}
 
 	for _, lg := range resp.LogGroups {
 		if *lg.LogGroupName == name {
-			return lg, nil
+			return lg, true, nil
 		}
 	}
 
@@ -101,7 +107,7 @@ func lookupCloudWatchLogGroup(conn *cloudwatchlogs.CloudWatchLogs,
 		return lookupCloudWatchLogGroup(conn, name, resp.NextToken)
 	}
 
-	return nil, fmt.Errorf("CloudWatch Log Group %q not found", name)
+	return nil, false, nil
 }
 
 func resourceAwsCloudWatchLogGroupUpdate(d *schema.ResourceData, meta interface{}) error {
diff --git a/builtin/providers/aws/resource_aws_cloudwatch_log_group_test.go b/builtin/providers/aws/resource_aws_cloudwatch_log_group_test.go
index da910c1a89..aba0db72c5 100644
--- a/builtin/providers/aws/resource_aws_cloudwatch_log_group_test.go
+++ b/builtin/providers/aws/resource_aws_cloudwatch_log_group_test.go
@@ -77,6 +77,39 @@ func TestAccAWSCloudWatchLogGroup_multiple(t *testing.T) {
 	})
 }
 
+func TestAccAWSCloudWatchLogGroup_disappears(t *testing.T) {
+	var lg cloudwatchlogs.LogGroup
+
+	resource.Test(t, resource.TestCase{
+		PreCheck:     func() { testAccPreCheck(t) },
+		Providers:    testAccProviders,
+		CheckDestroy: testAccCheckAWSCloudWatchLogGroupDestroy,
+		Steps: []resource.TestStep{
+			resource.TestStep{
+				Config: testAccAWSCloudWatchLogGroupConfig,
+				Check: resource.ComposeTestCheckFunc(
+					testAccCheckCloudWatchLogGroupExists("aws_cloudwatch_log_group.foobar", &lg),
+					testAccCheckCloudWatchLogGroupDisappears(&lg),
+				),
+				ExpectNonEmptyPlan: true,
+			},
+		},
+	})
+}
+
+func testAccCheckCloudWatchLogGroupDisappears(lg *cloudwatchlogs.LogGroup) resource.TestCheckFunc {
+	return func(s *terraform.State) error {
+		conn := testAccProvider.Meta().(*AWSClient).cloudwatchlogsconn
+		opts := &cloudwatchlogs.DeleteLogGroupInput{
+			LogGroupName: lg.LogGroupName,
+		}
+		if _, err := conn.DeleteLogGroup(opts); err != nil {
+			return err
+		}
+		return nil
+	}
+}
+
 func testAccCheckCloudWatchLogGroupExists(n string, lg *cloudwatchlogs.LogGroup) resource.TestCheckFunc {
 	return func(s *terraform.State) error {
 		rs, ok := s.RootModule().Resources[n]
@@ -85,10 +118,13 @@ func testAccCheckCloudWatchLogGroupExists(n string, lg *cloudwatchlogs.LogGroup)
 		}
 
 		conn := testAccProvider.Meta().(*AWSClient).cloudwatchlogsconn
-		logGroup, err := lookupCloudWatchLogGroup(conn, rs.Primary.ID, nil)
+		logGroup, exists, err := lookupCloudWatchLogGroup(conn, rs.Primary.ID, nil)
 		if err != nil {
 			return err
 		}
+		if !exists {
+			return fmt.Errorf("Bad: LogGroup %q does not exist", rs.Primary.ID)
+		}
 
 		*lg = *logGroup
 
@@ -103,11 +139,15 @@ func testAccCheckAWSCloudWatchLogGroupDestroy(s *terraform.State) error {
 		if rs.Type != "aws_cloudwatch_log_group" {
 			continue
 		}
-
-		_, err := lookupCloudWatchLogGroup(conn, rs.Primary.ID, nil)
-		if err == nil {
-			return fmt.Errorf("LogGroup Still Exists: %s", rs.Primary.ID)
+		_, exists, err := lookupCloudWatchLogGroup(conn, rs.Primary.ID, nil)
+		if err != nil {
+			return nil
 		}
+
+		if exists {
+			return fmt.Errorf("Bad: LogGroup still exists: %q", rs.Primary.ID)
+		}
+
 	}
 
 	return nil