diff --git a/api/src/com/cloud/api/commands/CreateSnapshotCmd.java b/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
index 7ed9f7810e5..4186072d003 100755
--- a/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
+++ b/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
@@ -106,21 +106,16 @@ public class CreateSnapshotCmd extends BaseAsyncCreateCmd {
 
     @Override
     public long getEntityOwnerId() {
-    	Long volumeId = getVolumeId();
-        Long accountId = null;
-
-        Volume volume = _entityMgr.findById(Volume.class, volumeId);
-        if (volume != null) {
-            accountId = volume.getAccountId();
-        } else {
+        
+        Volume volume = _entityMgr.findById(Volume.class, getVolumeId());
+        if (volume == null) {
         	throw new InvalidParameterValueException("Unable to find volume by id=" + volumeId);
         }
-       
         
-        Account account = _accountService.getAccount(accountId);
+        Account account = _accountService.getAccount(volume.getAccountId());
         //Can create templates for enabled projects/accounts only
         if (account.getType() == Account.ACCOUNT_TYPE_PROJECT) {
-        	Project project = _projectService.findByProjectAccountId(accountId);
+        	Project project = _projectService.findByProjectAccountId(volume.getAccountId());
             if (project.getState() != Project.State.Active) {
                 throw new PermissionDeniedException("Can't add resources to the project id=" + project.getId() + " in state=" + project.getState() + " as it's no longer active");
             }
@@ -128,7 +123,7 @@ public class CreateSnapshotCmd extends BaseAsyncCreateCmd {
             throw new PermissionDeniedException("The owner of template is disabled: " + account);
         }
         
-        return accountId;
+        return volume.getAccountId();
     }
 
     @Override
diff --git a/api/src/com/cloud/api/commands/CreateSnapshotPolicyCmd.java b/api/src/com/cloud/api/commands/CreateSnapshotPolicyCmd.java
index 23bfa1f0ca8..6052ab115df 100644
--- a/api/src/com/cloud/api/commands/CreateSnapshotPolicyCmd.java
+++ b/api/src/com/cloud/api/commands/CreateSnapshotPolicyCmd.java
@@ -27,6 +27,9 @@ import com.cloud.api.Implementation;
 import com.cloud.api.Parameter;
 import com.cloud.api.ServerApiException;
 import com.cloud.api.response.SnapshotPolicyResponse;
+import com.cloud.exception.InvalidParameterValueException;
+import com.cloud.exception.PermissionDeniedException;
+import com.cloud.projects.Project;
 import com.cloud.storage.Volume;
 import com.cloud.storage.snapshot.SnapshotPolicy;
 import com.cloud.user.Account;
@@ -100,16 +103,27 @@ public class CreateSnapshotPolicyCmd extends BaseCmd {
     @Override
     public long getEntityOwnerId() {
         Volume volume = _entityMgr.findById(Volume.class, getVolumeId());
-        if (volume != null) {
-            return volume.getAccountId();
+        if (volume == null) {
+        	throw new InvalidParameterValueException("Unable to find volume by id=" + volumeId);
         }
-
-        return Account.ACCOUNT_ID_SYSTEM; // no account info given, parent this command to SYSTEM so ERROR events are tracked
+        
+        Account account = _accountService.getAccount(volume.getAccountId());
+        //Can create templates for enabled projects/accounts only
+        if (account.getType() == Account.ACCOUNT_TYPE_PROJECT) {
+        	Project project = _projectService.findByProjectAccountId(volume.getAccountId());
+            if (project.getState() != Project.State.Active) {
+                throw new PermissionDeniedException("Can't add resources to the project id=" + project.getId() + " in state=" + project.getState() + " as it's no longer active");
+            }
+        } else if (account.getState() == Account.State.disabled) {
+            throw new PermissionDeniedException("The owner of template is disabled: " + account);
+        }
+        
+        return volume.getAccountId();
     }
     
     @Override
     public void execute(){
-        SnapshotPolicy result = _snapshotService.createPolicy(this);
+        SnapshotPolicy result = _snapshotService.createPolicy(this, _accountService.getAccount(getEntityOwnerId()));
         if (result != null) {
             SnapshotPolicyResponse response = _responseGenerator.createSnapshotPolicyResponse(result);
             response.setResponseName(getCommandName());
diff --git a/api/src/com/cloud/storage/snapshot/SnapshotService.java b/api/src/com/cloud/storage/snapshot/SnapshotService.java
index 1d8da9b8ca0..dbe84151034 100644
--- a/api/src/com/cloud/storage/snapshot/SnapshotService.java
+++ b/api/src/com/cloud/storage/snapshot/SnapshotService.java
@@ -54,9 +54,10 @@ public interface SnapshotService {
      * 
      * @param cmd
      *            the command that
+     * @param policyOwner TODO
      * @return the newly created snapshot policy if success, null otherwise
      */
-    SnapshotPolicy createPolicy(CreateSnapshotPolicyCmd cmd);
+    SnapshotPolicy createPolicy(CreateSnapshotPolicyCmd cmd, Account policyOwner);
 
     /**
      * Get the recurring snapshots scheduled for this volume currently along with the time at which they are scheduled
diff --git a/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java b/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
index 226feb7c672..4fe9b0a4526 100755
--- a/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
+++ b/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
@@ -1126,7 +1126,7 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
 
     @Override
     @DB
-    public SnapshotPolicyVO createPolicy(CreateSnapshotPolicyCmd cmd) {
+    public SnapshotPolicyVO createPolicy(CreateSnapshotPolicyCmd cmd, Account policyOwner) {
         Long volumeId = cmd.getVolumeId();
         VolumeVO volume = _volsDao.findById(cmd.getVolumeId());
         if (volume == null) {
@@ -1139,7 +1139,7 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
             throw new InvalidParameterValueException("VolumeId: " + volumeId + " is not in " + Volume.State.Ready + " state but " + volume.getState() + ". Cannot take snapshot.");
         }
 
-        if ( volume.getTemplateId() != null ) {
+        if (volume.getTemplateId() != null ) {
             VMTemplateVO  template = _templateDao.findById(volume.getTemplateId());
             if( template != null && template.getTemplateType() == Storage.TemplateType.SYSTEM ) {
                 throw new InvalidParameterValueException("VolumeId: " + volumeId + " is for System VM , Creating snapshot against System VM volumes is not supported");