diff --git a/src/Chat.c b/src/Chat.c
index 790dac477..14f575152 100644
--- a/src/Chat.c
+++ b/src/Chat.c
@@ -108,10 +108,34 @@ void Chat_DisableLogging(void) {
 	CloseLogFile();
 }
 
+static cc_bool CreateLogsDirectory(void) {
+	static const cc_string dir = String_FromConst("logs");
+	cc_result res;
+	/* Utils_EnsureDirectory cannot be used here because it causes a stack overflow */
+	/* when running the game and an error occurs when trying to create the directory */
+	/* This happens because when running the game, Logger_WarnFunc is changed to log 
+	/* a message in chat instead of showing a dialog box, which causes the following 
+	/* functions to be called in a recursive loop: */
+	/*                                                                                           */
+	/* Utils_EnsureDirectory --> Logger_SysWarn2 --> Chat_Add --> AppendChatLog -> OpenChatLog */
+	/*  --> Utils_EnsureDirectory --> Logger_SysWarn2 --> Chat_Add --> AppendChatLog -> OpenChatLog */
+	/*       --> Utils_EnsureDirectory --> Logger_SysWarn2 --> Chat_Add --> AppendChatLog -> OpenChatLog */
+	/*            --> Utils_EnsureDirectory --> Logger_SysWarn2 --> Chat_Add --> AppendChatLog ... */
+	/* and so on, until eventually the stack overflows */
+	if (Directory_Exists(&dir)) return true;
+
+	res = Directory_Create(&dir);
+	if (!res) return true;
+
+	Chat_DisableLogging();
+	Logger_SysWarn2(res, "creating directory", &dir); 
+	return false;
+}
+
 static void OpenChatLog(struct DateTime* now) {
 	cc_result res;
 	int i;
-	if (!Utils_EnsureDirectory("logs")) { Chat_DisableLogging(); return; }
+	if (!CreateLogsDirectory()) return;
 
 	/* Ensure multiple instances do not end up overwriting each other's log entries. */
 	for (i = 0; i < 20; i++) {