diff --git a/api/src/com/cloud/api/commands/CreateSnapshotCmd.java b/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
index fdae2afbdaf..34817ab32ca 100755
--- a/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
+++ b/api/src/com/cloud/api/commands/CreateSnapshotCmd.java
@@ -33,7 +33,6 @@ import com.cloud.exception.ResourceAllocationException;
 import com.cloud.storage.Snapshot;
 import com.cloud.storage.Volume;
 import com.cloud.user.Account;
-import com.cloud.user.UserContext;
 
 @Implementation(description="Creates an instant snapshot of a volume.", responseObject=SnapshotResponse.class)
 public class CreateSnapshotCmd extends BaseAsyncCreateCmd {
diff --git a/server/src/com/cloud/storage/dao/SnapshotDao.java b/server/src/com/cloud/storage/dao/SnapshotDao.java
index 061d3adbd30..9e4f8aef124 100644
--- a/server/src/com/cloud/storage/dao/SnapshotDao.java
+++ b/server/src/com/cloud/storage/dao/SnapshotDao.java
@@ -18,9 +18,8 @@
 
 package com.cloud.storage.dao;
 
-import java.util.List;
-
-import com.cloud.storage.Snapshot;
+import java.util.List;
+
 import com.cloud.storage.SnapshotVO;
 import com.cloud.utils.db.Filter;
 import com.cloud.utils.db.GenericDao;
diff --git a/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java b/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
index deefa91ec11..d35a59e147f 100755
--- a/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
+++ b/server/src/com/cloud/storage/snapshot/SnapshotManagerImpl.java
@@ -526,6 +526,10 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
                 _snapshotDao.update(snapshotId, snapshot);
                 UsageEventVO usageEvent = new UsageEventVO(EventTypes.EVENT_SNAPSHOT_CREATE, snapshot.getAccountId(), volume.getDataCenterId(), snapshotId, snapshot.getName(), null, null, volume.getSize());
                 _usageEventDao.persist(usageEvent);
+                
+                if (snapshot.getSnapshotType() == Type.RECURRING.ordinal()) {
+                    _accountMgr.incrementResourceCount(snapshot.getAccountId(), ResourceType.snapshot);
+                }
 
             }
             else {
@@ -536,6 +540,12 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
                 // 2) Create the next Snapshot pretending this is a valid snapshot.
                 // 3) backupSnapshotToSecondaryStorage of the next snapshot
                 // will take care of cleaning up the state of this snapshot
+                
+                if (snapshot.getSnapshotType() == Type.RECURRING.ordinal()) {
+                    _accountMgr.decrementResourceCount(snapshot.getAccountId(), ResourceType.snapshot);
+                    UsageEventVO usageEvent = new UsageEventVO(EventTypes.EVENT_SNAPSHOT_DELETE, snapshot.getAccountId(), 0L, snapshotId, snapshot.getName(), null, null, 0L);
+                    _usageEventDao.persist(usageEvent);
+                }
                 _snapshotDao.remove(snapshotId);
             }
             txn.commit();
@@ -987,6 +997,9 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
         if (volume == null) {
             throw new InvalidParameterValueException("Failed to create snapshot policy, unable to find a volume with id " + volumeId);
         }
+        
+        AccountVO owner = _accountDao.findById(volume.getAccountId());
+        DomainVO domain = _domainDao.findById(owner.getDomainId());
 
         // If an account was passed in, make sure that it matches the account of the volume
         checkAccountPermissions(volume.getAccountId(), volume.getDomainId(), "volume", volumeId);
@@ -1028,6 +1041,15 @@ public class SnapshotManagerImpl implements SnapshotManager, SnapshotService, Ma
         if (cmd.getMaxSnaps() > intervalMaxSnaps) {
             throw new InvalidParameterValueException("maxSnaps exceeds limit: " + intervalMaxSnaps + " for interval type: " + cmd.getIntervalType());
         }
+        
+        
+        //Verify that max doesn't exceed domain and account snapshot limits
+        long accountLimit = _accountMgr.findCorrectResourceLimit(owner, ResourceType.snapshot);
+        long domainLimit = _accountMgr.findCorrectResourceLimit(domain, ResourceType.snapshot);
+        int max = cmd.getMaxSnaps().intValue(); 
+        if (owner.getType() != Account.ACCOUNT_TYPE_ADMIN && ((accountLimit != -1 && max > accountLimit ) || (domainLimit != -1 && max > domainLimit))){
+            throw new InvalidParameterValueException("Max number of snapshots shouldn't exceed the domain/account level snapshot limit");
+        } 
 
         SnapshotPolicyVO policy = new SnapshotPolicyVO(volumeId, cmd.getSchedule(), timezoneId, (short)type.ordinal(), cmd.getMaxSnaps());
         // Create an event