diff --git a/bin/jaxrs-petstore-server.sh b/bin/jaxrs-petstore-server.sh
index 91a418d6f9a..2dd4fc03b38 100755
--- a/bin/jaxrs-petstore-server.sh
+++ b/bin/jaxrs-petstore-server.sh
@@ -26,6 +26,6 @@ fi
 
 # if you've executed sbt assembly previously it will use that instead.
 export JAVA_OPTS="${JAVA_OPTS} -XX:MaxPermSize=256M -Xmx1024M -DloggerPath=conf/log4j.properties"
-ags="$@ generate -t modules/swagger-codegen/src/main/resources/JavaJaxRS -i modules/swagger-codegen/src/test/resources/2_0/petstore.json -l jaxrs -o samples/server/petstore/jaxrs -Dswagger.codegen.jaxrs.impl.source=src/main/java"
+ags="$@ generate -t modules/swagger-codegen/src/main/resources/JavaJaxRS -i modules/swagger-codegen/src/test/resources/2_0/petstore.json -l jaxrs -o samples/server/petstore/jaxrs"
 
 java $JAVA_OPTS -jar $executable $ags
diff --git a/modules/swagger-codegen/src/main/java/io/swagger/codegen/CodegenConstants.java b/modules/swagger-codegen/src/main/java/io/swagger/codegen/CodegenConstants.java
index 06d7e801176..c716aefee37 100644
--- a/modules/swagger-codegen/src/main/java/io/swagger/codegen/CodegenConstants.java
+++ b/modules/swagger-codegen/src/main/java/io/swagger/codegen/CodegenConstants.java
@@ -28,6 +28,9 @@ public class CodegenConstants {
     public static final String SOURCE_FOLDER = "sourceFolder";
     public static final String SOURCE_FOLDER_DESC = "source folder for generated code";
 
+    public static final String IMPL_FOLDER = "implFolder";
+    public static final String IMPL_FOLDER_DESC = "folder for generated implementation code";
+    
     public static final String LOCAL_VARIABLE_PREFIX = "localVariablePrefix";
     public static final String LOCAL_VARIABLE_PREFIX_DESC = "prefix for generated code members and local variables";
 
diff --git a/modules/swagger-codegen/src/main/java/io/swagger/codegen/languages/JaxRSServerCodegen.java b/modules/swagger-codegen/src/main/java/io/swagger/codegen/languages/JaxRSServerCodegen.java
index 9998822c4c9..5814751d63c 100644
--- a/modules/swagger-codegen/src/main/java/io/swagger/codegen/languages/JaxRSServerCodegen.java
+++ b/modules/swagger-codegen/src/main/java/io/swagger/codegen/languages/JaxRSServerCodegen.java
@@ -11,30 +11,27 @@ import java.util.*;
 public class JaxRSServerCodegen extends JavaClientCodegen implements CodegenConfig {
     protected String dateLibrary = "default";
     protected String title = "Swagger Server";
+    protected String implFolder = "src/main/java";
 
     public static final String DATE_LIBRARY = "dateLibrary";
     public JaxRSServerCodegen() {
-        super.processOpts();
+        super();
 
         sourceFolder = "src/gen/java";
         invokerPackage = "io.swagger.api";
         artifactId = "swagger-jaxrs-server";
 
-        outputFolder = System.getProperty("swagger.codegen.jaxrs.genfolder", "generated-code/javaJaxRS");
+        outputFolder = "generated-code/javaJaxRS";
         modelTemplateFiles.put("model.mustache", ".java");
         apiTemplateFiles.put("api.mustache", ".java");
         apiTemplateFiles.put("apiService.mustache", ".java");
         apiTemplateFiles.put("apiServiceImpl.mustache", ".java");
         apiTemplateFiles.put("apiServiceFactory.mustache", ".java");
-        apiPackage = System.getProperty("swagger.codegen.jaxrs.apipackage", "io.swagger.api");
-        modelPackage = System.getProperty("swagger.codegen.jaxrs.modelpackage", "io.swagger.model");
+        apiPackage = "io.swagger.api";
+        modelPackage = "io.swagger.model";
 
-        additionalProperties.put(CodegenConstants.INVOKER_PACKAGE, invokerPackage);
-        additionalProperties.put(CodegenConstants.GROUP_ID, groupId);
-        additionalProperties.put(CodegenConstants.ARTIFACT_ID, artifactId);
-        additionalProperties.put(CodegenConstants.ARTIFACT_VERSION, artifactVersion);
         additionalProperties.put("title", title);
-
+        
         embeddedTemplateDir = templateDir = "JavaJaxRS" + File.separator + "jersey1_18";
 
         for(int i = 0; i < cliOptions.size(); i++) {
@@ -62,6 +59,7 @@ public class JaxRSServerCodegen extends JavaClientCodegen implements CodegenConf
         library.setEnum(supportedLibraries);
 
         cliOptions.add(library);
+        cliOptions.add(new CliOption(CodegenConstants.IMPL_FOLDER, CodegenConstants.IMPL_FOLDER_DESC));
     }
 
     @Override
@@ -82,6 +80,10 @@ public class JaxRSServerCodegen extends JavaClientCodegen implements CodegenConf
     @Override
     public void processOpts() {
         super.processOpts();
+        
+        if(additionalProperties.containsKey(CodegenConstants.IMPL_FOLDER)) {
+        	implFolder = (String) additionalProperties.get(CodegenConstants.IMPL_FOLDER);
+        }
 
 //        if("jersey2".equals(getLibrary())) {
 //            embeddedTemplateDir = templateDir = "JavaJaxRS" + File.separator + "jersey2";
@@ -267,19 +269,12 @@ public class JaxRSServerCodegen extends JavaClientCodegen implements CodegenConf
             int ix = result.lastIndexOf('/');
             result = result.substring(0, ix) + "/impl" + result.substring(ix, result.length() - 5) + "ServiceImpl.java";
 
-            String output = System.getProperty("swagger.codegen.jaxrs.impl.source");
-            if(output == null) {
-                output = "src" + File.separator + "main" + File.separator + "java";
-            }
-            result = result.replace(apiFileFolder(), implFileFolder(output));
+            result = result.replace(apiFileFolder(), implFileFolder(implFolder));
         } else if (templateName.endsWith("Factory.mustache")) {
             int ix = result.lastIndexOf('/');
             result = result.substring(0, ix) + "/factories" + result.substring(ix, result.length() - 5) + "ServiceFactory.java";
 
-            String output = System.getProperty("swagger.codegen.jaxrs.impl.source");
-            if (output != null) {
-                result = result.replace(apiFileFolder(), implFileFolder(output));
-            }
+            result = result.replace(apiFileFolder(), implFileFolder(implFolder));
         } else if (templateName.endsWith("Service.mustache")) {
             int ix = result.lastIndexOf('.');
             result = result.substring(0, ix) + "Service.java";
diff --git a/modules/swagger-codegen/src/test/java/io/swagger/codegen/options/JaxRSServerOptionsProvider.java b/modules/swagger-codegen/src/test/java/io/swagger/codegen/options/JaxRSServerOptionsProvider.java
index ae68a5dfb83..e7286094564 100644
--- a/modules/swagger-codegen/src/test/java/io/swagger/codegen/options/JaxRSServerOptionsProvider.java
+++ b/modules/swagger-codegen/src/test/java/io/swagger/codegen/options/JaxRSServerOptionsProvider.java
@@ -2,11 +2,13 @@ package io.swagger.codegen.options;
 
 import com.google.common.collect.ImmutableMap;
 import io.swagger.codegen.languages.JaxRSServerCodegen;
+import io.swagger.codegen.CodegenConstants;
 
 import java.util.Map;
 
 public class JaxRSServerOptionsProvider extends JavaOptionsProvider {
     public static final String JODA_DATE_LIBRARY = "joda";
+    public static final String IMPL_FOLDER_VALUE = "src/main/java/impl";	
 
     @Override
     public boolean isServer() {
@@ -24,6 +26,7 @@ public class JaxRSServerOptionsProvider extends JavaOptionsProvider {
 
         ImmutableMap.Builder<String, String> builder = new ImmutableMap.Builder<String, String>();
         builder.putAll(options)
+                .put(CodegenConstants.IMPL_FOLDER, IMPL_FOLDER_VALUE)
                 .put(JaxRSServerCodegen.DATE_LIBRARY, "joda");
 
         return builder.build();