diff --git a/src/main/groovy/io/openliberty/tools/gradle/tasks/InstallLibertyTask.groovy b/src/main/groovy/io/openliberty/tools/gradle/tasks/InstallLibertyTask.groovy
index ac705f96..db2be553 100644
--- a/src/main/groovy/io/openliberty/tools/gradle/tasks/InstallLibertyTask.groovy
+++ b/src/main/groovy/io/openliberty/tools/gradle/tasks/InstallLibertyTask.groovy
@@ -1,5 +1,5 @@
 /**
- * (C) Copyright IBM Corporation 2014, 2021.
+ * (C) Copyright IBM Corporation 2014, 2023.
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -50,7 +50,9 @@ class InstallLibertyTask extends AbstractLibertyTask {
             group 'Liberty'
         })
         outputs.upToDateWhen {
-            getInstallDir(project).exists() && project.buildDir.exists() && new File(project.buildDir, 'liberty-plugin-config.xml').exists()
+            // ensure a Liberty installation exists at the install directory
+            getInstallDir(project).exists() && new File(getInstallDir(project), 'lib/ws-launch.jar').exists() && 
+            project.buildDir.exists() && new File(project.buildDir, 'liberty-plugin-config.xml').exists()
         }
     }
 
diff --git a/src/test/groovy/io/openliberty/tools/gradle/InstallLiberty_runtimeDep_upToDate_Test.groovy b/src/test/groovy/io/openliberty/tools/gradle/InstallLiberty_runtimeDep_upToDate_Test.groovy
index 2fae7003..69ebaf5a 100644
--- a/src/test/groovy/io/openliberty/tools/gradle/InstallLiberty_runtimeDep_upToDate_Test.groovy
+++ b/src/test/groovy/io/openliberty/tools/gradle/InstallLiberty_runtimeDep_upToDate_Test.groovy
@@ -27,6 +27,7 @@ class InstallLiberty_runtimeDep_upToDate_Test extends AbstractIntegrationTest{
     static File resourceDir = new File("build/resources/test/liberty-test")
     static File buildDir = new File(integTestDir, "/InstallLiberty_upToDate_Test")
     static String runTimeDep_UpToDate_buildFilename = "installLiberty_upToDate_runtimeDep_Test.gradle"
+    static File wsLaunchJar = new File(buildDir, "build/wlp/lib/ws-launch.jar")
 
     @BeforeClass
     public static void setup() {
@@ -41,7 +42,18 @@ class InstallLiberty_runtimeDep_upToDate_Test extends AbstractIntegrationTest{
 
     @Test
     public void test_installLiberty_upToDate() {
+        // same version as installed in the setup method, so upToDate check should return true
         assert runTaskCheckForUpToDate(buildDir, 'installLiberty', "-PlibertyVersion=21.0.0.1")
+
+        // changing the libertyVersion causes the upToDate check to return false
         assertFalse runTaskCheckForUpToDate(buildDir, 'installLiberty', "-PlibertyVersion=21.0.0.2")
+
+        // verify upToDate check returns true for same libertyVersion
+        assert runTaskCheckForUpToDate(buildDir, 'installLiberty', "-PlibertyVersion=21.0.0.2")
+
+        // now delete the ws-launch.jar from the installation and ensure the upToDate check returns false even though the libertyVersion did not change
+        wsLaunchJar.delete()
+        assertFalse runTaskCheckForUpToDate(buildDir, 'installLiberty', "-PlibertyVersion=21.0.0.2")
+
     }
 }