diff --git a/app/src/main/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsModalSheetLayout.kt b/app/src/main/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsModalSheetLayout.kt
index 3237eabd28e..3a0e1b9edfb 100644
--- a/app/src/main/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsModalSheetLayout.kt
+++ b/app/src/main/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsModalSheetLayout.kt
@@ -85,7 +85,7 @@ fun ConversationOptionsModalSheetLayout(
     )
     ArchiveConversationDialog(
         dialogState = viewModel.archiveConversationDialogState,
-        onArchiveButtonClicked = { viewModel.moveToArchive(it.conversationId, !it.isArchived, !it.isMember) }
+        onArchiveButtonClicked = { viewModel.moveToArchive(it.conversationId, !it.isArchived, it.isMember) }
     )
     HandleActions(viewModel.actions) { action ->
         when (action) {
@@ -119,7 +119,7 @@ fun ConversationOptionsModalSheetLayout(
                     updateConversationArchiveStatus = {
                         sheetState.hide {
                             when {
-                                it.isArchived -> viewModel.moveToArchive(it.conversationId, false, !it.isMember)
+                                it.isArchived -> viewModel.moveToArchive(it.conversationId, false, it.isMember)
                                 else -> viewModel.archiveConversationDialogState.show(it)
                             }
                         }
diff --git a/app/src/test/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsMenuViewModelTest.kt b/app/src/test/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsMenuViewModelTest.kt
index 871654c74de..e3bb4a0ae5c 100644
--- a/app/src/test/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsMenuViewModelTest.kt
+++ b/app/src/test/kotlin/com/wire/android/ui/common/bottomsheet/conversation/ConversationOptionsMenuViewModelTest.kt
@@ -258,6 +258,44 @@ class ConversationOptionsMenuViewModelTest {
         }
     }
 
+    @Test
+    fun `given user is not a member, when moving to archive, then archive only locally`() = runTest(dispatcherProvider.main()) {
+        val (arrangement, viewModel) = Arrangement()
+            .withUpdateArchivedStatus(ArchiveStatusUpdateResult.Success)
+            .arrange()
+
+        viewModel.actions.test {
+            viewModel.moveToArchive(conversationId, true, false)
+
+            coVerify(exactly = 1) { arrangement.updateConversationArchivedStatus(conversationId, true, true, any()) }
+            assertIs<ConversationOptionsMenuViewAction.Message>(awaitItem()).also {
+                assertIs<HomeSnackBarMessage.UpdateArchivingStatusSuccess>(it.message).also {
+                    assertEquals(true, it.isArchiving)
+                }
+            }
+            cancelAndIgnoreRemainingEvents()
+        }
+    }
+
+    @Test
+    fun `given user is not a member, when removing from archive, then unarchive only locally`() = runTest(dispatcherProvider.main()) {
+        val (arrangement, viewModel) = Arrangement()
+            .withUpdateArchivedStatus(ArchiveStatusUpdateResult.Success)
+            .arrange()
+
+        viewModel.actions.test {
+            viewModel.moveToArchive(conversationId, false, false)
+
+            coVerify(exactly = 1) { arrangement.updateConversationArchivedStatus(conversationId, false, true, any()) }
+            assertIs<ConversationOptionsMenuViewAction.Message>(awaitItem()).also {
+                assertIs<HomeSnackBarMessage.UpdateArchivingStatusSuccess>(it.message).also {
+                    assertEquals(false, it.isArchiving)
+                }
+            }
+            cancelAndIgnoreRemainingEvents()
+        }
+    }
+
     @Test
     fun `given success, when changing muted state, then call proper action`() = runTest(dispatcherProvider.main()) {
         val (arrangement, viewModel) = Arrangement()