diff --git a/packages/server/graphql/mutations/helpers/upgradeToTeamTierOld.ts b/packages/server/graphql/mutations/helpers/upgradeToTeamTierOld.ts
index 6aee6abf69d..c43cb027fb0 100644
--- a/packages/server/graphql/mutations/helpers/upgradeToTeamTierOld.ts
+++ b/packages/server/graphql/mutations/helpers/upgradeToTeamTierOld.ts
@@ -43,22 +43,38 @@ const upgradeToTeamTierOld = async (
     }
   }
 
+  await r({
+    updatedOrg: r
+      .table('Organization')
+      .get(orgId)
+      .update({
+        ...subscriptionFields,
+        creditCard: await getCCFromCustomer(customer),
+        tier: 'team',
+        stripeId: customer.id,
+        tierLimitExceededAt: null,
+        scheduledLockAt: null,
+        lockedAt: null,
+        updatedAt: now
+      })
+  }).run()
+
+  // If subscription already exists and has open invoices, try to process them
+  if (stripeSubscriptionId) {
+    const invoices = (await manager.listSubscriptionOpenInvoices(stripeSubscriptionId)).data
+
+    if (invoices.length) {
+      for (const invoice of invoices) {
+        const invoiceResult = await manager.payInvoice(invoice.id)
+        // Unlock teams only if all invoices are paid
+        if (invoiceResult.status !== 'paid') {
+          throw new Error('Unable to process payment')
+        }
+      }
+    }
+  }
+
   await Promise.all([
-    r({
-      updatedOrg: r
-        .table('Organization')
-        .get(orgId)
-        .update({
-          ...subscriptionFields,
-          creditCard: await getCCFromCustomer(customer),
-          tier: 'team',
-          stripeId: customer.id,
-          tierLimitExceededAt: null,
-          scheduledLockAt: null,
-          lockedAt: null,
-          updatedAt: now
-        })
-    }).run(),
     updateTeamByOrgId(
       {
         isPaid: true,
diff --git a/packages/server/graphql/mutations/moveTeamToOrg.ts b/packages/server/graphql/mutations/moveTeamToOrg.ts
index 4810d04e983..0764c2582a1 100644
--- a/packages/server/graphql/mutations/moveTeamToOrg.ts
+++ b/packages/server/graphql/mutations/moveTeamToOrg.ts
@@ -12,6 +12,7 @@ import {getUserId, isSuperUser} from '../../utils/authorization'
 import standardError from '../../utils/standardError'
 import {DataLoaderWorker, GQLContext} from '../graphql'
 import isValid from '../isValid'
+import getKysely from '../../postgres/getKysely'
 
 const moveToOrg = async (
   teamId: string,
@@ -20,12 +21,21 @@ const moveToOrg = async (
   dataLoader: DataLoaderWorker
 ) => {
   const r = await getRethink()
+  const pg = getKysely()
+
   // AUTH
   const su = isSuperUser(authToken)
   // VALIDATION
-  const [org, teams] = await Promise.all([
+  const [org, teams, isPaidResult] = await Promise.all([
     r.table('Organization').get(orgId).run(),
-    getTeamsByIds([teamId])
+    getTeamsByIds([teamId]),
+    pg
+      .selectFrom('Team')
+      .select('isPaid')
+      .where('orgId', '=', orgId)
+      .where('isArchived', '!=', true)
+      .limit(1)
+      .executeTakeFirst()
   ])
   const team = teams[0]
   if (!team) {
@@ -70,7 +80,7 @@ const moveToOrg = async (
   // RESOLUTION
   const updates = {
     orgId,
-    isPaid: Boolean(org.stripeSubscriptionId),
+    isPaid: !!isPaidResult?.isPaid,
     tier: org.tier,
     updatedAt: new Date()
   }
diff --git a/packages/server/graphql/private/mutations/stripeFailPayment.ts b/packages/server/graphql/private/mutations/stripeFailPayment.ts
index 2ce63ecc769..b7e1c0a9848 100644
--- a/packages/server/graphql/private/mutations/stripeFailPayment.ts
+++ b/packages/server/graphql/private/mutations/stripeFailPayment.ts
@@ -6,6 +6,7 @@ import {isSuperUser} from '../../../utils/authorization'
 import publish from '../../../utils/publish'
 import {getStripeManager} from '../../../utils/stripe'
 import {MutationResolvers} from '../resolverTypes'
+import updateTeamByOrgId from '../../../postgres/queries/updateTeamByOrgId'
 
 export type StripeFailPaymentPayloadSource =
   | {
@@ -56,10 +57,21 @@ const stripeFailPayment: MutationResolvers['stripeFailPayment'] = async (
   }
   const {creditCard, stripeSubscriptionId} = org
 
-  if (paid || stripeSubscriptionId !== subscription) return {orgId}
+  if (paid || stripeSubscriptionId !== subscription || stripeSubscriptionId === null) return {orgId}
 
   // RESOLUTION
-  await terminateSubscription(orgId)
+  const subscriptionObject = await manager.retrieveSubscription(stripeSubscriptionId)
+
+  if (subscriptionObject.status === 'incomplete' || subscriptionObject.status === 'canceled') {
+    // Terminate subscription if the first payment fails or if it is already canceled
+    // After 23 hours subscription updates to incomplete_expired and the invoice becomes void.
+    // Not to handle this particular case in 23 hours, we do it now
+    await terminateSubscription(orgId)
+  } else {
+    // Keep subscription, but disable teams
+    await updateTeamByOrgId({isPaid: false}, orgId)
+  }
+
   const billingLeaderUserIds = (await r
     .table('OrganizationUser')
     .getAll(orgId, {index: 'orgId'})
diff --git a/packages/server/utils/stripe/StripeManager.ts b/packages/server/utils/stripe/StripeManager.ts
index 089869ad2ff..91fd1598a7b 100644
--- a/packages/server/utils/stripe/StripeManager.ts
+++ b/packages/server/utils/stripe/StripeManager.ts
@@ -104,6 +104,17 @@ export default class StripeManager {
     return allSubscriptionItems.data[0]
   }
 
+  async listSubscriptionOpenInvoices(subscriptionId: string) {
+    return this.stripe.invoices.list({
+      subscription: subscriptionId,
+      status: 'open'
+    })
+  }
+
+  async payInvoice(invoiceId: string) {
+    return this.stripe.invoices.pay(invoiceId)
+  }
+
   async listLineItems(invoiceId: string, options: Stripe.InvoiceLineItemListParams) {
     return this.stripe.invoices.listLineItems(invoiceId, options)
   }