diff --git a/src/scanscalar.cpp b/src/scanscalar.cpp
index 3432653..cdbdb60 100644
--- a/src/scanscalar.cpp
+++ b/src/scanscalar.cpp
@@ -19,7 +19,8 @@ namespace YAML
 	//   and different places in the above flow.
 	std::string ScanScalar(Stream& INPUT, ScanScalarParams& params)
 	{
-		bool foundNonEmptyLine = false, pastOpeningBreak = false;
+		bool foundNonEmptyLine = false;
+		bool pastOpeningBreak = (params.fold == FOLD_FLOW);
 		bool emptyLine = false, moreIndented = false;
 		int foldedNewlineCount = 0;
 		bool foldedNewlineStartedMoreIndented = false;
@@ -29,6 +30,8 @@ namespace YAML
 		while(INPUT) {
 			// ********************************
 			// Phase #1: scan until line ending
+			
+			std::size_t lastNonWhitespaceChar = scalar.size();
 			while(!params.end.Matches(INPUT) && !Exp::Break.Matches(INPUT)) {
 				if(!INPUT)
 					break;
@@ -48,17 +51,22 @@ namespace YAML
 				if(params.escape == '\\' && Exp::EscBreak.Matches(INPUT)) {
 					int n = Exp::EscBreak.Match(INPUT);
 					INPUT.eat(n);
+					lastNonWhitespaceChar = scalar.size();
 					continue;
 				}
 
 				// escape this?
 				if(INPUT.peek() == params.escape) {
 					scalar += Exp::Escape(INPUT);
+					lastNonWhitespaceChar = scalar.size();
 					continue;
 				}
 
 				// otherwise, just add the damn character
-				scalar += INPUT.get();
+				char ch = INPUT.get();
+				scalar += ch;
+				if(ch != ' ' && ch != '\t')
+					lastNonWhitespaceChar = scalar.size();
 			}
 
 			// eof? if we're looking to eat something, then we throw
@@ -79,7 +87,11 @@ namespace YAML
 					INPUT.eat(n);
 				break;
 			}
-
+			
+			// do we remove trailing whitespace?
+			if(params.fold == FOLD_FLOW)
+				scalar.erase(lastNonWhitespaceChar);
+			
 			// ********************************
 			// Phase #2: eat line ending
 			n = Exp::Break.Match(INPUT);
@@ -111,27 +123,36 @@ namespace YAML
 			// was this an empty line?
 			bool nextEmptyLine = Exp::Break.Matches(INPUT);
 			bool nextMoreIndented = Exp::Blank.Matches(INPUT);
-			if(params.fold && foldedNewlineCount == 0 && nextEmptyLine)
+			if(params.fold == FOLD_BLOCK && foldedNewlineCount == 0 && nextEmptyLine)
 				foldedNewlineStartedMoreIndented = moreIndented;
 
 			// for block scalars, we always start with a newline, so we should ignore it (not fold or keep)
 			if(pastOpeningBreak) {
-				if(params.fold) {
-					if(!emptyLine && !nextEmptyLine && !moreIndented && !nextMoreIndented && INPUT.column() >= params.indent)
-						scalar += " ";
-					else if(nextEmptyLine)
-						foldedNewlineCount++;
-					else
+				switch(params.fold) {
+					case DONT_FOLD:
 						scalar += "\n";
-					
-					if(!nextEmptyLine && foldedNewlineCount > 0) {
-						scalar += std::string(foldedNewlineCount - 1, '\n');
-						if(foldedNewlineStartedMoreIndented || nextMoreIndented)
+						break;
+					case FOLD_BLOCK:
+						if(!emptyLine && !nextEmptyLine && !moreIndented && !nextMoreIndented && INPUT.column() >= params.indent)
+							scalar += " ";
+						else if(nextEmptyLine)
+							foldedNewlineCount++;
+						else
 							scalar += "\n";
-						foldedNewlineCount = 0;
-					}
-				} else {
-					scalar += "\n";
+						
+						if(!nextEmptyLine && foldedNewlineCount > 0) {
+							scalar += std::string(foldedNewlineCount - 1, '\n');
+							if(foldedNewlineStartedMoreIndented || nextMoreIndented)
+								scalar += "\n";
+							foldedNewlineCount = 0;
+						}
+						break;
+					case FOLD_FLOW:
+						if(nextEmptyLine)
+							scalar += "\n";
+						else if(!emptyLine && !nextEmptyLine)
+							scalar += " ";
+						break;
 				}
 			}
 
diff --git a/src/scanscalar.h b/src/scanscalar.h
index 319a428..6f6f559 100644
--- a/src/scanscalar.h
+++ b/src/scanscalar.h
@@ -12,9 +12,10 @@ namespace YAML
 {
 	enum CHOMP { STRIP = -1, CLIP, KEEP };
 	enum ACTION { NONE, BREAK, THROW };
+	enum FOLD { DONT_FOLD, FOLD_BLOCK, FOLD_FLOW };
 
 	struct ScanScalarParams {
-		ScanScalarParams(): eatEnd(false), indent(0), detectIndent(false), eatLeadingWhitespace(0), escape(0), fold(false),
+		ScanScalarParams(): eatEnd(false), indent(0), detectIndent(false), eatLeadingWhitespace(0), escape(0), fold(DONT_FOLD),
 			trimTrailingSpaces(0), chomp(CLIP), onDocIndicator(NONE), onTabInIndentation(NONE), leadingSpaces(false) {}
 
 		// input:
@@ -24,7 +25,7 @@ namespace YAML
 		bool detectIndent;              // should we try to autodetect the indent?
 		bool eatLeadingWhitespace;      // should we continue eating this delicious indentation after 'indent' spaces?
 		char escape;                    // what character do we escape on (i.e., slash or single quote) (0 for none)
-		bool fold;                      // do we fold line ends?
+		FOLD fold;                      // how do we fold line ends?
 		bool trimTrailingSpaces;        // do we remove all trailing spaces (at the very end)
 		CHOMP chomp;                    // do we strip, clip, or keep trailing newlines (at the very end)
 		                                //   Note: strip means kill all, clip means keep at most one, keep means keep all
diff --git a/src/scantoken.cpp b/src/scantoken.cpp
index cb56225..df8e11e 100644
--- a/src/scantoken.cpp
+++ b/src/scantoken.cpp
@@ -287,7 +287,7 @@ namespace YAML
 		params.end = (InFlowContext() ? Exp::EndScalarInFlow : Exp::EndScalar) || (Exp::BlankOrBreak + Exp::Comment);
 		params.eatEnd = false;
 		params.indent = (InFlowContext() ? 0 : GetTopIndent() + 1);
-		params.fold = true;
+		params.fold = FOLD_BLOCK;
 		params.eatLeadingWhitespace = true;
 		params.trimTrailingSpaces = true;
 		params.chomp = STRIP;
@@ -327,7 +327,7 @@ namespace YAML
 		params.eatEnd = true;
 		params.escape = (single ? '\'' : '\\');
 		params.indent = 0;
-		params.fold = true;
+		params.fold = FOLD_FLOW;
 		params.eatLeadingWhitespace = true;
 		params.trimTrailingSpaces = false;
 		params.chomp = CLIP;
@@ -365,7 +365,7 @@ namespace YAML
 		// eat block indicator ('|' or '>')
 		Mark mark = INPUT.mark();
 		char indicator = INPUT.get();
-		params.fold = (indicator == Keys::FoldedScalar);
+		params.fold = (indicator == Keys::FoldedScalar ? FOLD_BLOCK : DONT_FOLD);
 
 		// eat chomping/indentation indicators
 		params.chomp = CLIP;