diff --git a/lib/features/modeling/cmd/SetColorHandler.js b/lib/features/modeling/cmd/SetColorHandler.js
index 9d853a0b..5b670863 100644
--- a/lib/features/modeling/cmd/SetColorHandler.js
+++ b/lib/features/modeling/cmd/SetColorHandler.js
@@ -9,6 +9,10 @@ import {
   getDi
 } from '../../../util/ModelUtil';
 
+import {
+  isLabel
+} from '../../../util/LabelUtil';
+
 var DEFAULT_COLORS = {
   fill: undefined,
   stroke: undefined
@@ -66,14 +70,14 @@ SetColorHandler.prototype.postExecute = function(context) {
     // TODO @barmac: remove once we drop bpmn.io properties
     ensureLegacySupport(assignedDi);
 
-    if (element.labelTarget) {
+    if (isLabel(element)) {
 
       // set label colors as bpmndi:BPMNLabel#color
       self._commandStack.execute('element.updateModdleProperties', {
         element: element,
         moddleElement: getDi(element).label,
         properties: {
-          color: di['background-color']
+          color: di['border-color']
         }
       });
     } else {
diff --git a/test/fixtures/bpmn/simple.bpmn b/test/fixtures/bpmn/simple.bpmn
index f9ec5d4e..5a1d6ff2 100644
--- a/test/fixtures/bpmn/simple.bpmn
+++ b/test/fixtures/bpmn/simple.bpmn
@@ -28,6 +28,9 @@
       </bpmndi:BPMNShape>
       <bpmndi:BPMNShape id="_BPMNShape_StartEvent_2" bpmnElement="StartEvent_1">
         <dc:Bounds height="36.0" width="36.0" x="352.0" y="242.0"/>
+        <bpmndi:BPMNLabel>
+          <dc:Bounds x="345" y="285" width="55" height="14" />
+        </bpmndi:BPMNLabel>
       </bpmndi:BPMNShape>
       <bpmndi:BPMNShape id="_BPMNShape_Task_2" bpmnElement="Task_1">
         <dc:Bounds height="80.0" width="100.0" x="420.0" y="220.0"/>
@@ -38,6 +41,9 @@
       </bpmndi:BPMNEdge>
       <bpmndi:BPMNShape id="_BPMNShape_EndEvent_2" bpmnElement="EndEvent_1">
         <dc:Bounds height="36.0" width="36.0" x="650.0" y="212.0"/>
+        <bpmndi:BPMNLabel>
+          <dc:Bounds x="645" y="255" width="51" height="14" />
+        </bpmndi:BPMNLabel>
       </bpmndi:BPMNShape>
       <bpmndi:BPMNEdge id="BPMNEdge_SequenceFlow_2" bpmnElement="SequenceFlow_2" sourceElement="_BPMNShape_SubProcess_2" targetElement="_BPMNShape_EndEvent_2">
         <di:waypoint xsi:type="dc:Point" x="600.0" y="230.0"/>
diff --git a/test/spec/features/modeling/SetColorSpec.js b/test/spec/features/modeling/SetColorSpec.js
index edcf4761..2bcaebc2 100644
--- a/test/spec/features/modeling/SetColorSpec.js
+++ b/test/spec/features/modeling/SetColorSpec.js
@@ -152,13 +152,13 @@ describe('features/modeling - set color', function() {
           flowDi = getDi(flowShape);
 
       // when
-      modeling.setColor(flowLabel, { stroke: 'FUCHSIA', fill: 'FUCHSIA' });
+      modeling.setColor(flowLabel, { stroke: 'YELLOW', fill: 'FUCHSIA' });
 
       // then
       expect(flowDi.get('border-color')).not.to.exist;
       expect(flowDi.get('background-color')).not.to.exist;
 
-      expect(flowDi.label.get('color')).to.eql(FUCHSIA_HEX);
+      expect(flowDi.label.get('color')).to.eql(YELLOW_HEX);
     }));