diff --git a/crates/terminal_view/src/terminal_view.rs b/crates/terminal_view/src/terminal_view.rs
index 00cda8fc32c3b30d4f350fb0088e682c454b5a99..53978b33bb711f753b6ebdefc3bead7946114f1c 100644
--- a/crates/terminal_view/src/terminal_view.rs
+++ b/crates/terminal_view/src/terminal_view.rs
@@ -885,7 +885,8 @@ impl Item for TerminalView {
                     })
                     .ok()
                     .flatten()
-                });
+                })
+                .filter(|cwd| !cwd.as_os_str().is_empty());
 
             let terminal = project.update(&mut cx, |project, cx| {
                 project.create_terminal(cwd, None, window, cx)