diff --git a/src/include/switch_types.h b/src/include/switch_types.h
index 2b2b3de45d..bf5d5d88ea 100644
--- a/src/include/switch_types.h
+++ b/src/include/switch_types.h
@@ -1120,7 +1120,9 @@ typedef enum {
 
 typedef enum {
 	CF_APP_TAGGED = (1 << 0),
-	CF_APP_T38 = (1 << 1)
+	CF_APP_T38 = (1 << 1),
+	CF_APP_T38_REQ = (1 << 2),
+	CF_APP_T38_FAIL = (1 << 3)
 } switch_channel_app_flag_t;
 
 
diff --git a/src/mod/applications/mod_spandsp/mod_spandsp_fax.c b/src/mod/applications/mod_spandsp/mod_spandsp_fax.c
index 119294f4bd..e4457bd5b9 100644
--- a/src/mod/applications/mod_spandsp/mod_spandsp_fax.c
+++ b/src/mod/applications/mod_spandsp/mod_spandsp_fax.c
@@ -904,6 +904,7 @@ static t38_mode_t request_t38(pvt_t *pvt)
         
         switch_channel_set_private(channel, "t38_options", t38_options);
         pvt->t38_mode = T38_MODE_REQUESTED;
+        switch_channel_set_app_flag_key("T38", channel, CF_APP_T38_REQ);
 
         /* This will send a request for t.38 mode */
         msg.from = __FILE__;
@@ -1173,7 +1174,10 @@ void mod_spandsp_fax_process_fax(switch_core_session_t *session, const char *dat
         switch (pvt->t38_mode) {
         case T38_MODE_REQUESTED:
             {
-                if (switch_channel_test_app_flag_key("T38", channel, CF_APP_T38)) {
+                if (switch_channel_test_app_flag_key("T38", channel, CF_APP_T38_FAIL)) {
+                    pvt->t38_mode = T38_MODE_REFUSED;
+                    continue;
+                } else if (switch_channel_test_app_flag_key("T38", channel, CF_APP_T38)) {
                     switch_core_session_message_t msg = { 0 };
                     pvt->t38_mode = T38_MODE_NEGOTIATED;
                     spanfax_init(pvt, T38_MODE);
diff --git a/src/mod/endpoints/mod_sofia/mod_sofia.c b/src/mod/endpoints/mod_sofia/mod_sofia.c
index 69f7b24f30..86fa140046 100644
--- a/src/mod/endpoints/mod_sofia/mod_sofia.c
+++ b/src/mod/endpoints/mod_sofia/mod_sofia.c
@@ -524,6 +524,12 @@ switch_status_t sofia_on_hangup(switch_core_session_t *session)
 				if (!sofia_test_flag(tech_pvt, TFLAG_BYE)) {
 					char *cid = generate_pai_str(tech_pvt);
 
+					if (sip_cause > 299) {
+						switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38);
+						switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_REQ);
+						switch_channel_set_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_FAIL);
+					}
+
 					nua_respond(tech_pvt->nh, sip_cause, sip_status_phrase(sip_cause),
 								TAG_IF(!zstr(reason), SIPTAG_REASON_STR(reason)),
 								TAG_IF(cid, SIPTAG_HEADER_STR(cid)), TAG_IF(!zstr(bye_headers), SIPTAG_HEADER_STR(bye_headers)), TAG_END());
diff --git a/src/mod/endpoints/mod_sofia/sofia.c b/src/mod/endpoints/mod_sofia/sofia.c
index 12b0280974..c5efbf63bb 100644
--- a/src/mod/endpoints/mod_sofia/sofia.c
+++ b/src/mod/endpoints/mod_sofia/sofia.c
@@ -4161,6 +4161,16 @@ static void sofia_handle_sip_r_invite(switch_core_session_t *session, int status
 			tech_pvt->last_sdp_str = switch_core_session_strdup(session, sip->sip_payload->pl_data);
 		}
 
+
+		if (status > 299 && switch_channel_test_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_REQ)) {
+			switch_channel_set_private(channel, "t38_options", NULL);
+			switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38);
+			switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_REQ);
+			switch_channel_set_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_FAIL);
+			switch_log_printf(SWITCH_CHANNEL_SESSION_LOG(session), SWITCH_LOG_DEBUG, "%s T38 invite failed\n", switch_channel_get_name(tech_pvt->channel));
+		}
+
+
 		if (sofia_test_pflag(profile, PFLAG_MANAGE_SHARED_APPEARANCE)) {
 			if (channel && sip->sip_call_info) {
 				char *p;
@@ -4462,6 +4472,9 @@ static void sofia_handle_sip_r_invite(switch_core_session_t *session, int status
 						switch_channel_set_private(other_channel, "t38_options", NULL);
 						sofia_clear_flag(tech_pvt, TFLAG_T38_PASSTHRU);
 						sofia_clear_flag(other_tech_pvt, TFLAG_T38_PASSTHRU);
+						switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38);
+						switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_REQ);
+						switch_channel_set_app_flag_key("T38", tech_pvt->channel, CF_APP_T38_FAIL);
 					} else if (status == 200 && sofia_test_flag(tech_pvt, TFLAG_T38_PASSTHRU) && has_t38 && sip->sip_payload && sip->sip_payload->pl_data) {
 						switch_t38_options_t *t38_options = sofia_glue_extract_t38_options(session, sip->sip_payload->pl_data);
 						
diff --git a/src/mod/endpoints/mod_sofia/sofia_glue.c b/src/mod/endpoints/mod_sofia/sofia_glue.c
index b308b6038e..a0f71a9466 100644
--- a/src/mod/endpoints/mod_sofia/sofia_glue.c
+++ b/src/mod/endpoints/mod_sofia/sofia_glue.c
@@ -4391,6 +4391,7 @@ uint8_t sofia_glue_negotiate_sdp(switch_core_session_t *session, const char *r_s
 			switch_t38_options_t *t38_options = tech_process_udptl(tech_pvt, sdp, m);
 			
 			if (switch_true(switch_channel_get_variable(channel, "refuse_t38"))) {
+				switch_channel_clear_app_flag_key("T38", tech_pvt->channel, CF_APP_T38);
 				match = 0;
 				goto done;
 			} else {