diff --git a/test/e2e/selective_ownership_override_test.go b/test/e2e/selective_ownership_override_test.go
new file mode 100644
index 000000000..cdcc00fed
--- /dev/null
+++ b/test/e2e/selective_ownership_override_test.go
@@ -0,0 +1,62 @@
+package e2e
+
+import (
+	"fmt"
+	"strings"
+	"testing"
+
+	"github.com/stretchr/testify/require"
+)
+
+func TestSelectiveOwnershipOverride(t *testing.T) {
+	env := BuildEnv(t)
+	logger := Logger{}
+	kapp := Kapp{t, env.Namespace, env.KappBinaryPath, logger}
+
+	const existingAppName1 = "existing-app-1"
+	const existingAppName2 = "existing-app-2"
+	const newAppName = "new-app"
+
+	resourceYAML := `
+---
+apiVersion: v1
+kind: ConfigMap
+metadata:
+  name: cm-%s
+data:
+  foo: bar
+`
+
+	cleanUp := func() {
+		kapp.Run([]string{"delete", "-a", existingAppName1})
+		kapp.Run([]string{"delete", "-a", existingAppName2})
+		kapp.Run([]string{"delete", "-a", newAppName})
+	}
+	cleanUp()
+	defer cleanUp()
+
+	logger.Section("deploy existing apps", func() {
+		kapp.RunWithOpts([]string{"deploy", "-a", existingAppName1, "-f", "-"}, RunOpts{StdinReader: strings.NewReader(fmt.Sprintf(resourceYAML, "1"))})
+		kapp.RunWithOpts([]string{"deploy", "-a", existingAppName2, "-f", "-"}, RunOpts{StdinReader: strings.NewReader(fmt.Sprintf(resourceYAML, "2"))})
+	})
+
+	logger.Section("deploy new app with selective overrides", func() {
+		resourcesString := fmt.Sprintf("%s%s", fmt.Sprintf(resourceYAML, "1"), fmt.Sprintf(resourceYAML, "2"))
+		// Overrides disallowed
+		_, err := kapp.RunWithOpts([]string{"deploy", "-a", newAppName, "-f", "-"}, RunOpts{StdinReader: strings.NewReader(resourcesString), AllowError: true})
+		require.Error(t, err)
+		require.Contains(t, err.Error(), existingAppName1)
+		require.Contains(t, err.Error(), existingAppName2)
+
+		// Test with one override scoped to single existing app
+		_, err = kapp.RunWithOpts([]string{"deploy", "-a", newAppName, "-f", "-", "--dangerous-scope-to-fallback-allowed-namespaces", "--ownership-override-app-filter", existingAppName1},
+			RunOpts{StdinReader: strings.NewReader(resourcesString), AllowError: true})
+		require.Error(t, err)
+		require.NotContains(t, err.Error(), existingAppName1)
+		require.Contains(t, err.Error(), existingAppName2)
+
+		// Test with one override scoped to both existing app
+		kapp.RunWithOpts([]string{"deploy", "-a", newAppName, "-f", "-", "--dangerous-scope-to-fallback-allowed-namespaces", "--ownership-override-app-filter", fmt.Sprintf("%s,%s", existingAppName1, existingAppName2)},
+			RunOpts{StdinReader: strings.NewReader(resourcesString)})
+	})
+}