diff --git a/electrum b/electrum
index 206aa1916..1646d8988 100755
--- a/electrum
+++ b/electrum
@@ -160,6 +160,9 @@ if __name__ == '__main__':
             
             # select a server.
             s = gui.network_dialog()
+            if s is None:
+                config.set_key("server", None, True)
+                config.set_key('auto_cycle', False, True)
             
         interface.start(wait = False)
         interface.send([('server.peers.subscribe',[])])
diff --git a/gui/network_dialog.py b/gui/network_dialog.py
index dfac40d3f..b246b7d0b 100644
--- a/gui/network_dialog.py
+++ b/gui/network_dialog.py
@@ -212,8 +212,6 @@ class NetworkDialog(QDialog):
     def do_exec(self):
 
         if not self.exec_():
-            self.config.set_key("server", None, True)
-            self.config.set_key('auto_cycle', False, True)
             return
 
         server = ':'.join([str( self.server_host.text() ),