diff --git a/lib/compass/commands/watch_project.rb b/lib/compass/commands/watch_project.rb
index 57a2a5c0..5158e7b4 100644
--- a/lib/compass/commands/watch_project.rb
+++ b/lib/compass/commands/watch_project.rb
@@ -41,7 +41,7 @@ module Compass
         begin
           require 'fssm'
         rescue LoadError
-          $: << File.join(Compass.lib_directory, 'vendor')
+          $: << File.join(Compass.lib_directory, 'vendor', 'fssm')
           retry
         end
 
diff --git a/lib/vendor/fssm.rb b/lib/vendor/fssm/fssm.rb
similarity index 100%
rename from lib/vendor/fssm.rb
rename to lib/vendor/fssm/fssm.rb
diff --git a/lib/vendor/fssm/backends/fsevents.rb b/lib/vendor/fssm/fssm/backends/fsevents.rb
similarity index 100%
rename from lib/vendor/fssm/backends/fsevents.rb
rename to lib/vendor/fssm/fssm/backends/fsevents.rb
diff --git a/lib/vendor/fssm/backends/inotify.rb b/lib/vendor/fssm/fssm/backends/inotify.rb
similarity index 100%
rename from lib/vendor/fssm/backends/inotify.rb
rename to lib/vendor/fssm/fssm/backends/inotify.rb
diff --git a/lib/vendor/fssm/backends/polling.rb b/lib/vendor/fssm/fssm/backends/polling.rb
similarity index 100%
rename from lib/vendor/fssm/backends/polling.rb
rename to lib/vendor/fssm/fssm/backends/polling.rb
diff --git a/lib/vendor/fssm/backends/rubycocoa/fsevents.rb b/lib/vendor/fssm/fssm/backends/rubycocoa/fsevents.rb
similarity index 100%
rename from lib/vendor/fssm/backends/rubycocoa/fsevents.rb
rename to lib/vendor/fssm/fssm/backends/rubycocoa/fsevents.rb
diff --git a/lib/vendor/fssm/monitor.rb b/lib/vendor/fssm/fssm/monitor.rb
similarity index 100%
rename from lib/vendor/fssm/monitor.rb
rename to lib/vendor/fssm/fssm/monitor.rb
diff --git a/lib/vendor/fssm/path.rb b/lib/vendor/fssm/fssm/path.rb
similarity index 100%
rename from lib/vendor/fssm/path.rb
rename to lib/vendor/fssm/fssm/path.rb
diff --git a/lib/vendor/fssm/pathname.rb b/lib/vendor/fssm/fssm/pathname.rb
similarity index 100%
rename from lib/vendor/fssm/pathname.rb
rename to lib/vendor/fssm/fssm/pathname.rb
diff --git a/lib/vendor/fssm/state.rb b/lib/vendor/fssm/fssm/state.rb
similarity index 100%
rename from lib/vendor/fssm/state.rb
rename to lib/vendor/fssm/fssm/state.rb
diff --git a/lib/vendor/fssm/support.rb b/lib/vendor/fssm/fssm/support.rb
similarity index 100%
rename from lib/vendor/fssm/support.rb
rename to lib/vendor/fssm/fssm/support.rb
diff --git a/lib/vendor/fssm/tree.rb b/lib/vendor/fssm/fssm/tree.rb
similarity index 100%
rename from lib/vendor/fssm/tree.rb
rename to lib/vendor/fssm/fssm/tree.rb