diff --git a/lib/cli.ts b/lib/cli.ts
index 4d29456..f4eaa11 100644
--- a/lib/cli.ts
+++ b/lib/cli.ts
@@ -5,6 +5,7 @@ import commandpost = require("commandpost");
 import path = require("path");
 
 import lib = require("./index");
+import utils = require("./utils");
 
 var packageJson = JSON.parse(fs.readFileSync(__dirname + "/../package.json").toString());
 
@@ -41,8 +42,13 @@ var root = commandpost
         var tsfmt = !!opts.tsfmt;
 
         var files = args.files;
-        if (files.length === 0 && fs.existsSync("tsconfig.json")) {
-            files = readFilesFromTsconfig("tsconfig.json");
+        var useTsconfig = false;
+        if (files.length === 0) {
+            var configFileName = utils.getConfigFileName(process.cwd(), "tsconfig.json");
+            if (configFileName) {
+                files = readFilesFromTsconfig(configFileName);
+                useTsconfig = true;
+            }
         }
 
         if (files.length === 0 && !opts.stdin) {
@@ -54,6 +60,7 @@ var root = commandpost
             console.log("replace:	  " + (replace ? "ON" : "OFF"));
             console.log("verify:	   " + (verify ? "ON" : "OFF"));
             console.log("stdin:		" + (stdin ? "ON" : "OFF"));
+            console.log("tsconfig:	 " + (useTsconfig ? "ON" : "OFF"));
             console.log("tslint:	   " + (tslint ? "ON" : "OFF"));
             console.log("editorconfig: " + (editorconfig ? "ON" : "OFF"));
             console.log("tsfmt:		" + (tsfmt ? "ON" : "OFF"));
diff --git a/lib/provider/base.ts b/lib/provider/base.ts
index 0da5274..96edfc2 100644
--- a/lib/provider/base.ts
+++ b/lib/provider/base.ts
@@ -5,21 +5,7 @@ import ts = require("typescript");
 import path = require("path");
 import fs = require("fs");
 
-function getConfigFileName(baseFileName: string, configFileName: string): string {
-    "use strict";
-
-    var baseDir = path.dirname(baseFileName);
-
-    if (fs.existsSync(baseDir + path.sep + configFileName)) {
-        return baseDir + path.sep + configFileName;
-    }
-
-    if (baseDir.length === path.dirname(baseDir).length) {
-        return null;
-    }
-
-    return getConfigFileName(baseDir, configFileName);
-}
+import utils = require("../utils");
 
 interface TsfmtSettings {
     // from FormatCodeOptions
@@ -50,7 +36,7 @@ interface TsfmtSettings {
 export function makeFormatCodeOptions(fileName: string, options: ts.FormatCodeOptions): ts.FormatCodeOptions {
     "use strict";
 
-    var configFileName = getConfigFileName(path.resolve(fileName), "tsfmt.json");
+    var configFileName = utils.getConfigFileName(path.dirname(path.resolve(fileName)), "tsfmt.json");
     if (!configFileName) {
         return options;
     }
diff --git a/lib/provider/tslintjson.ts b/lib/provider/tslintjson.ts
index b2f017d..fd29b49 100644
--- a/lib/provider/tslintjson.ts
+++ b/lib/provider/tslintjson.ts
@@ -5,21 +5,7 @@ import ts = require("typescript");
 import path = require("path");
 import fs = require("fs");
 
-function getConfigFileName(baseFileName: string, configFileName: string): string {
-    "use strict";
-
-    var baseDir = path.dirname(baseFileName);
-
-    if (fs.existsSync(baseDir + path.sep + configFileName)) {
-        return baseDir + path.sep + configFileName;
-    }
-
-    if (baseDir.length === path.dirname(baseDir).length) {
-        return null;
-    }
-
-    return getConfigFileName(baseDir, configFileName);
-}
+import utils = require("../utils");
 
 interface TslintSettings {
     rules: {
@@ -42,7 +28,7 @@ interface TslintSettings {
 export function makeFormatCodeOptions(fileName: string, options: ts.FormatCodeOptions): ts.FormatCodeOptions {
     "use strict";
 
-    var configFileName = getConfigFileName(path.resolve(fileName), "tslint.json");
+    var configFileName = utils.getConfigFileName(path.dirname(path.resolve(fileName)), "tslint.json");
     if (!configFileName) {
         return options;
     }
diff --git a/lib/utils.ts b/lib/utils.ts
index d7686b9..9ff4bb4 100644
--- a/lib/utils.ts
+++ b/lib/utils.ts
@@ -2,6 +2,9 @@
 
 import ts = require("typescript");
 
+import fs = require("fs");
+import path = require("path");
+
 export function createDefaultFormatCodeOptions(): ts.FormatCodeOptions {
     "use strict";
 
@@ -21,3 +24,18 @@ export function createDefaultFormatCodeOptions(): ts.FormatCodeOptions {
         PlaceOpenBraceOnNewLineForControlBlocks: false
     };
 }
+
+export function getConfigFileName(baseDir: string, configFileName: string): string {
+    "use strict";
+
+    var configFilePath = path.resolve(baseDir, configFileName);
+    if (fs.existsSync(configFilePath)) {
+        return configFilePath;
+    }
+
+    if (baseDir.length === path.dirname(baseDir).length) {
+        return null;
+    }
+
+    return getConfigFileName(path.resolve(baseDir, "../"), configFileName);
+}
diff --git a/tsconfig.json b/tsconfig.json
index 0322da2..a465f54 100644
--- a/tsconfig.json
+++ b/tsconfig.json
@@ -41,4 +41,4 @@
         "./typings/power-assert/power-assert.d.ts",
         "./node_modules/typescript/lib/lib.es6.d.ts"
     ]
-}
\ No newline at end of file
+}