diff --git a/CHANGELOG.md b/CHANGELOG.md
index f0093ba92..e2a7bb5b3 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,3 +1,10 @@
+# 5.7.4
+
+SMP agent:
+- remove re-subscription timeouts (as they are tracked per operation, and could cause failed subscriptions).
+- reconnect XFTP clients when network settings changes.
+- fix lock contention resulting in stuck subscriptions on network change.
+
 # 5.7.3
 
 SMP/NTF protocol:
diff --git a/src/Simplex/Messaging/Agent/Client.hs b/src/Simplex/Messaging/Agent/Client.hs
index addd889a8..7d07e7366 100644
--- a/src/Simplex/Messaging/Agent/Client.hs
+++ b/src/Simplex/Messaging/Agent/Client.hs
@@ -702,12 +702,11 @@ resubscribeSMPSession c@AgentClient {smpSubWorkers, workerSeq} tSess =
       atomically $ putTMVar (sessionVar v) a
     runSubWorker = do
       ri <- asks $ reconnectInterval . config
-      timeoutCounts <- newTVarIO 0
       withRetryInterval ri $ \_ loop -> do
         pending <- atomically getPending
         forM_ (L.nonEmpty pending) $ \qs -> do
-          lift $ waitForUserNetwork c
-          void . tryAgentError' $ reconnectSMPClient timeoutCounts c tSess qs
+          liftIO $ waitForUserNetwork c
+          reconnectSMPClient c tSess qs
           loop
     getPending = RQ.getSessQueues tSess $ pendingSubs c
     cleanup :: SessionVar (Async ()) -> STM ()
@@ -717,41 +716,26 @@ resubscribeSMPSession c@AgentClient {smpSubWorkers, workerSeq} tSess =
       whenM (isEmptyTMVar $ sessionVar v) retry
       removeSessVar v tSess smpSubWorkers
 
-reconnectSMPClient :: TVar Int -> AgentClient -> SMPTransportSession -> NonEmpty RcvQueue -> AM ()
-reconnectSMPClient tc c tSess@(_, srv, _) qs = do
-  NetworkConfig {tcpTimeout} <- atomically $ getNetworkConfig c
-  -- this allows 3x of timeout per batch of subscription (90 queues per batch empirically)
-  let t = (length qs `div` 90 + 1) * tcpTimeout * 3
-  ExceptT (sequence <$> (t `timeout` runExceptT resubscribe)) >>= \case
-    Just _ -> resetTimeouts
-    -- reset and do not report consecutive timeouts while offline
-    Nothing -> ifM (atomically $ isNetworkOnline c) notifyTimeout resetTimeouts
+reconnectSMPClient :: AgentClient -> SMPTransportSession -> NonEmpty RcvQueue -> AM' ()
+reconnectSMPClient c tSess@(_, srv, _) qs = handleNotify $ do
+  cs <- readTVarIO $ RQ.getConnections $ activeSubs c
+  (rs, sessId_) <- subscribeQueues c $ L.toList qs
+  let (errs, okConns) = partitionEithers $ map (\(RcvQueue {connId}, r) -> bimap (connId,) (const connId) r) rs
+      conns = filter (`M.notMember` cs) okConns
+  unless (null conns) $ notifySub "" $ UP srv conns
+  let (tempErrs, finalErrs) = partition (temporaryAgentError . snd) errs
+  mapM_ (\(connId, e) -> notifySub connId $ ERR e) finalErrs
+  forM_ (listToMaybe tempErrs) $ \(connId, e) -> do
+    when (null okConns && M.null cs && null finalErrs) . liftIO $
+      forM_ sessId_ $ \sessId -> do
+        -- We only close the client session that was used to subscribe.
+        v_ <- atomically $ ifM (activeClientSession c tSess sessId) (TM.lookupDelete tSess $ smpClients c) (pure Nothing)
+        mapM_ (closeClient_ c) v_
+    notifySub connId $ ERR e
   where
-    resetTimeouts = atomically $ writeTVar tc 0
-    notifyTimeout = do
-      tc' <- atomically $ stateTVar tc $ \i -> (i + 1, i + 1)
-      maxTC <- asks $ maxSubscriptionTimeouts . config
-      when (tc' >= maxTC) $ do
-        let msg = show tc' <> " consecutive subscription timeouts: " <> show (length qs) <> " queues, transport session: " <> show tSess
-        atomically $ writeTBQueue (subQ c) ("", "", APC SAEConn $ ERR $ INTERNAL msg)
-    resubscribe :: AM ()
-    resubscribe = do
-      cs <- readTVarIO $ RQ.getConnections $ activeSubs c
-      (rs, sessId_) <- lift . subscribeQueues c $ L.toList qs
-      let (errs, okConns) = partitionEithers $ map (\(RcvQueue {connId}, r) -> bimap (connId,) (const connId) r) rs
-      liftIO $ do
-        let conns = filter (`M.notMember` cs) okConns
-        unless (null conns) $ notifySub "" $ UP srv conns
-      let (tempErrs, finalErrs) = partition (temporaryAgentError . snd) errs
-      liftIO $ mapM_ (\(connId, e) -> notifySub connId $ ERR e) finalErrs
-      forM_ (listToMaybe tempErrs) $ \(_, err) -> do
-        when (null okConns && M.null cs && null finalErrs) . liftIO $
-          forM_ sessId_ $ \sessId -> do
-            -- We only close the client session that was used to subscribe.
-            v_ <- atomically $ ifM (activeClientSession c tSess sessId) (TM.lookupDelete tSess $ smpClients c) (pure Nothing)
-            mapM_ (closeClient_ c) v_
-        throwError err
-    notifySub :: forall e. AEntityI e => ConnId -> ACommand 'Agent e -> IO ()
+    handleNotify :: AM' () -> AM' ()
+    handleNotify = E.handleAny $ notifySub "" . ERR . INTERNAL . show
+    notifySub :: forall e. AEntityI e => ConnId -> ACommand 'Agent e -> AM' ()
     notifySub connId cmd = atomically $ writeTBQueue (subQ c) ("", connId, APC (sAEntity @e) cmd)
 
 getNtfServerClient :: AgentClient -> NtfTransportSession -> AM NtfClient
diff --git a/src/Simplex/Messaging/Agent/Env/SQLite.hs b/src/Simplex/Messaging/Agent/Env/SQLite.hs
index 9613adf3c..b753a4226 100644
--- a/src/Simplex/Messaging/Agent/Env/SQLite.hs
+++ b/src/Simplex/Messaging/Agent/Env/SQLite.hs
@@ -102,7 +102,6 @@ data AgentConfig = AgentConfig
     cleanupInterval :: Int64,
     cleanupStepInterval :: Int,
     maxWorkerRestartsPerMin :: Int,
-    maxSubscriptionTimeouts :: Int,
     storedMsgDataTTL :: NominalDiffTime,
     rcvFilesTTL :: NominalDiffTime,
     sndFilesTTL :: NominalDiffTime,
@@ -173,9 +172,6 @@ defaultAgentConfig =
       cleanupInterval = 30 * 60 * 1000000, -- 30 minutes
       cleanupStepInterval = 200000, -- 200ms
       maxWorkerRestartsPerMin = 5,
-      -- 5 consecutive subscription timeouts will result in alert to the user
-      -- this is a fallback, as the timeout set to 3x of expected timeout, to avoid potential locking.
-      maxSubscriptionTimeouts = 5,
       storedMsgDataTTL = 21 * nominalDay,
       rcvFilesTTL = 2 * nominalDay,
       sndFilesTTL = nominalDay,
diff --git a/tests/AgentTests.hs b/tests/AgentTests.hs
index 65713aaa4..7a3077532 100644
--- a/tests/AgentTests.hs
+++ b/tests/AgentTests.hs
@@ -95,23 +95,24 @@ type AEntityTransmission p e = (ACorrId, ConnId, ACommand p e)
 type AEntityTransmissionOrError p e = (ACorrId, ConnId, Either AgentErrorType (ACommand p e))
 
 tGetAgent :: Transport c => c -> IO (AEntityTransmissionOrError 'Agent 'AEConn)
-tGetAgent = tGetAgent'
+tGetAgent = tGetAgent' True
 
-tGetAgent' :: forall c e. (Transport c, AEntityI e) => c -> IO (AEntityTransmissionOrError 'Agent e)
-tGetAgent' h = do
-  (corrId, connId, cmdOrErr) <- pGetAgent h
+tGetAgent' :: forall c e. (Transport c, AEntityI e) => Bool -> c -> IO (AEntityTransmissionOrError 'Agent e)
+tGetAgent' skipErr h = do
+  (corrId, connId, cmdOrErr) <- pGetAgent skipErr h
   case cmdOrErr of
     Right (APC e cmd) -> case testEquality e (sAEntity @e) of
       Just Refl -> pure (corrId, connId, Right cmd)
       _ -> error $ "unexpected command " <> show cmd
     Left err -> pure (corrId, connId, Left err)
 
-pGetAgent :: forall c. Transport c => c -> IO (ATransmissionOrError 'Agent)
-pGetAgent h = do
+pGetAgent :: forall c. Transport c => Bool -> c -> IO (ATransmissionOrError 'Agent)
+pGetAgent skipErr h = do
   (corrId, connId, cmdOrErr) <- tGet SAgent h
   case cmdOrErr of
-    Right (APC _ CONNECT {}) -> pGetAgent h
-    Right (APC _ DISCONNECT {}) -> pGetAgent h
+    Right (APC _ CONNECT {}) -> pGetAgent skipErr h
+    Right (APC _ DISCONNECT {}) -> pGetAgent skipErr h
+    Right (APC _ (ERR (BROKER _ NETWORK))) | skipErr -> pGetAgent skipErr h
     cmd -> pure (corrId, connId, cmd)
 
 -- | receive message to handle `h`
@@ -119,15 +120,18 @@ pGetAgent h = do
 (<#:) = tGetAgent
 
 (<#:?) :: Transport c => c -> IO (ATransmissionOrError 'Agent)
-(<#:?) = pGetAgent
+(<#:?) = pGetAgent True
 
 (<#:.) :: Transport c => c -> IO (AEntityTransmissionOrError 'Agent 'AENone)
-(<#:.) = tGetAgent'
+(<#:.) = tGetAgent' True
 
 -- | send transmission `t` to handle `h` and get response
 (#:) :: Transport c => c -> (ByteString, ByteString, ByteString) -> IO (AEntityTransmissionOrError 'Agent 'AEConn)
 h #: t = tPutRaw h t >> (<#:) h
 
+(#:!) :: Transport c => c -> (ByteString, ByteString, ByteString) -> IO (AEntityTransmissionOrError 'Agent 'AEConn)
+h #:! t = tPutRaw h t >> tGetAgent' False h
+
 -- | action and expected response
 -- `h #:t #> r` is the test that sends `t` to `h` and validates that the response is `r`
 (#>) :: IO (AEntityTransmissionOrError 'Agent 'AEConn) -> AEntityTransmission 'Agent 'AEConn -> Expectation
@@ -426,8 +430,8 @@ testServerConnectionAfterError t _ = do
 
   withAgent1 $ \bob -> do
     withAgent2 $ \alice -> do
-      bob #: ("1", "alice", "SUB") =#> \("1", "alice", ERR (BROKER _ e)) -> e == NETWORK || e == TIMEOUT
-      alice #: ("1", "bob", "SUB") =#> \("1", "bob", ERR (BROKER _ e)) -> e == NETWORK || e == TIMEOUT
+      bob #:! ("1", "alice", "SUB") =#> \("1", "alice", ERR (BROKER _ e)) -> e == NETWORK || e == TIMEOUT
+      alice #:! ("1", "bob", "SUB") =#> \("1", "bob", ERR (BROKER _ e)) -> e == NETWORK || e == TIMEOUT
       withServer $ do
         alice <#=? \case ("", "bob", APC SAEConn (SENT 4)) -> True; ("", "", APC _ (UP s ["bob"])) -> s == server; _ -> False
         alice <#=? \case ("", "bob", APC SAEConn (SENT 4)) -> True; ("", "", APC _ (UP s ["bob"])) -> s == server; _ -> False
diff --git a/tests/AgentTests/FunctionalAPITests.hs b/tests/AgentTests/FunctionalAPITests.hs
index d7bddd9ec..ef283a7d9 100644
--- a/tests/AgentTests/FunctionalAPITests.hs
+++ b/tests/AgentTests/FunctionalAPITests.hs
@@ -145,6 +145,7 @@ pGet c = do
   case cmd of
     CONNECT {} -> pGet c
     DISCONNECT {} -> pGet c
+    ERR (BROKER _ NETWORK) -> pGet c
     _ -> pure t
 
 pattern CONF :: ConfirmationId -> [SMPServer] -> ConnInfo -> ACommand 'Agent e