diff --git a/README.md b/README.md
index 36eab9b..591d628 100644
--- a/README.md
+++ b/README.md
@@ -24,7 +24,7 @@ This module supports two ways of distributing the PBIS Open packages:
 
 The default is to use Puppet's built-in fileserver.
 
-In either case, download the necessary packages from the [BeyondTrust website](http://www.beyondtrust.com/Technical-Support/Downloads/PowerBroker-Identity-Services-Open-Edition/?Pass=True). Extract the architecture-specific `pbis-open` `.rpm` or `.deb` file from the self-extracting `sh` archive.
+In either case, download the necessary packages from the [BeyondTrust website](http://download1.beyondtrust.com/Technical-Support/Downloads/PowerBroker-Identity-Services-Open-Edition/?Pass=True). Extract the architecture-specific `pbis-open` `.rpm` or `.deb` file from the self-extracting `sh` archive.
 
 ### Using Puppet's built-in fileserver
 
@@ -32,9 +32,13 @@ Rename the `pbis-open` package files according to the following convention:
 
     pbis-open.amd64.deb
     pbis-open.i386.deb
+    pbis-open-upgrade.amd64.deb
+    pbis-open-upgrade.i386.deb
 
     pbis-open.x86_64.rpm
     pbis-open.i386.rpm
+    pbis-open-upgrade.x86_64.rpm
+    pbis-open-upgrade.i386.rpm
     
 and place them in the module's `files/` folder.
 
@@ -62,6 +66,17 @@ The service name may not be 'lsass' on newer version of PBIS and may be 'lwsmd'.
       }
     }
 
+### Compatibility to PBIS <=v7.1.0
+
+PBIS version prior or equal to v7.1.0 do not require the `pbis-open-upgrade` package. Disable it's use by setting:
+
+    node 'workstation' {
+      class { 'pbis':
+        ...
+        package_prerequired => '',
+      }
+    }
+
 ## Dependencies
 
 This module requires the `osfamily` fact, which depends on Facter 1.6.1+.
@@ -81,3 +96,5 @@ Please open a pull request with any changes or bugfixes.
 Likewise Open was acquired by BeyondTrust in 2011 and rebranded as PowerBroker Identity Services Open Edition. The project page is at [powerbrokeropen.org](http://www.powerbrokeropen.org).
 
 The original Likewise Open package is included in the Ubuntu repositories, but has not been updated in years.
+
+In Ubuntu 14.04, the Likewise Open package got removed in the default repositories. More details found in [this bug](https://bugs.launchpad.net/ubuntu/+source/likewise-open/+bug/1295031)
diff --git a/manifests/init.pp b/manifests/init.pp
index 9ef9521..f296b39 100644
--- a/manifests/init.pp
+++ b/manifests/init.pp
@@ -6,7 +6,8 @@
   $enabled_modules       = $pbis::params::enabled_modules,
   $disabled_modules      = $pbis::params::disabled_modules,
   $package               = $pbis::params::package,
-  $package_file          = $pbis::params::package_file,
+  $package_prerequired   = $pbis::params::package_prerequired,
+  $package_file_suffix   = $pbis::params::package_file_suffix,
   $package_file_provider = $pbis::params::package_file_provider,
   $service_name          = $pbis::params::service_name,
   $assume_default_domain = $pbis::params::assume_default_domain,
@@ -26,21 +27,47 @@
   if $use_repository == true {
     # If the package is on an external repo, install it normally.
     package { $package:
-      ensure => installed,
+      ensure => latest,
     }
   }
   elsif $use_repository == false {
     # Otherwise, download and install the package from the puppetmaster...
     # a low-performance repo for the poor man
-    file { "/opt/${package_file}":
+    
+    # Compatibilitity switch for pbis <= v7.1.0
+    # require also the prerequired package if it is not set to empty string
+    if $package_prerequired == "" {
+	  $require_for_package = File["/opt/${package}.${package_file_suffix}"]
+    }
+    else {
+      $require_for_package = [
+        File["/opt/${package}.${package_file_suffix}"],
+        Package[$package_prerequired]
+      ]
+    }
+    
+    file { "/opt/${package}.${package_file_suffix}":
       ensure  => file,
-      source  => "puppet:///modules/pbis/${package_file}",
+      source  => "puppet:///modules/pbis/${package}.${package_file_suffix}",
     }
     package { $package:
-      ensure   => installed,
-      source   => "/opt/${package_file}",
+      ensure   => latest,
+      source   => "/opt/${package}.${package_file_suffix}",
       provider => $package_file_provider,
-      require  => File["/opt/${package_file}"],
+      require  => $require_for_package
+    }
+    # install the prerequired package if it is not set to empty string
+    unless $package_prerequired == "" {
+      file { "/opt/${package_prerequired}.${package_file_suffix}":
+	    ensure => file,
+	    source => "puppet:///modules/pbis/${package_prerequired}.${package_file_suffix}",
+	  }
+      package { $package_prerequired:
+        ensure   => latest,
+        source   => "/opt/${package_prerequired}.${package_file_suffix}",
+        provider => $package_file_provider,
+        require  => File["/opt/${package_prerequired}.${package_file_suffix}"],
+      }
     }
   }
   else {
diff --git a/manifests/params.pp b/manifests/params.pp
index 154a63c..79cb580 100644
--- a/manifests/params.pp
+++ b/manifests/params.pp
@@ -4,6 +4,11 @@
   $use_repository        = false
   $package               = 'pbis-open'
   $service_name          = 'lsass'
+  
+  # parameter ignored when using repository, but needed when using builtin
+  # fileserver after pbis v7.1.1 (see bug #3)
+  # set this to empty string to disable the preinstallation
+  $package_prerequired   = 'pbis-open-upgrade'
 
   # domainjoin-cli options
   $ou                    = undef
@@ -30,14 +35,14 @@
   # PBIS Open is packaged for Red Hat, Suse, and Debian derivatives.
   # When using Puppet's built-in fileserver, choose the .deb or .rpm 
   # automatically.
-  $package_file = $::osfamily ? {
-    'Debian'          => "${package}.${::architecture}.deb",
-    '/(RedHat|Suse)/' => "${package}.${::architecture}.rpm",
+  $package_file_suffix = $::osfamily ? {
+    'Debian'          => "${::architecture}.deb",
+    /(RedHat|Suse)/   => "${::architecture}.rpm",
     default           => fail("Unsupported operating system: ${::operatingsystem}."),
   }
   $package_file_provider = $::osfamily ? {
     'Debian'          => 'dpkg',
-    '/(RedHat|Suse)/' => 'rpm',
+    /(RedHat|Suse)/   => 'rpm',
     default           => fail("Unsupported operating system: ${::operatingsystem}."),
   }
 }