diff --git a/xdg-utils/scripts/xdg-terminal.in b/xdg-utils/scripts/xdg-terminal.in
index f67897d..4cce449 100644
--- a/xdg-utils/scripts/xdg-terminal.in
+++ b/xdg-utils/scripts/xdg-terminal.in
@@ -130,7 +130,8 @@ terminal_xfce()
 terminal_generic()
 {
     # if $TERM is a known non-command, use hard-coded fallbacks
-    if [ x"$TERM" = x"" ] || [ x"$TERM" = x"linux" ] || [ x"$TERM" = x"vt100" ]; then
+    if [ x"$TERM" = x"" ] || [ x"$TERM" = x"linux" ] ||
+      [ x"$TERM" = x"vt100" ] || [ x"$TERM" = x"xterm-256color" ]; then
         TERM=xterm
     fi