diff --git a/Examples/xx-messenger/Sources/ContactLookupFeature/ContactLookupFeature.swift b/Examples/xx-messenger/Sources/ContactLookupFeature/ContactLookupFeature.swift
index 82a775dd574227f7e95d09f29cbd1a02cd4fd08a..0b6f92dd46b351f6d10f78ef4b50961dad3e1fae 100644
--- a/Examples/xx-messenger/Sources/ContactLookupFeature/ContactLookupFeature.swift
+++ b/Examples/xx-messenger/Sources/ContactLookupFeature/ContactLookupFeature.swift
@@ -57,6 +57,7 @@ public let contactLookupReducer = Reducer<ContactLookupState, ContactLookupActio
   switch action {
   case .lookupTapped:
     state.isLookingUp = true
+    state.failure = nil
     return Effect.result { [state] in
       do {
         let contact = try env.messenger.lookupContact(id: state.id)
@@ -71,11 +72,12 @@ public let contactLookupReducer = Reducer<ContactLookupState, ContactLookupActio
 
   case .didLookup(_):
     state.isLookingUp = false
+    state.failure = nil
     return .none
 
   case .didFail(let error):
-    state.failure = error.localizedDescription
     state.isLookingUp = false
+    state.failure = error.localizedDescription
     return .none
   }
 }
diff --git a/Examples/xx-messenger/Tests/ContactLookupFeatureTests/ContactLookupFeatureTests.swift b/Examples/xx-messenger/Tests/ContactLookupFeatureTests/ContactLookupFeatureTests.swift
index 34ecabc362be0541b52517d1885bffe5c8a18303..76dde8d07350e240ccf86acdbef175834851b56f 100644
--- a/Examples/xx-messenger/Tests/ContactLookupFeatureTests/ContactLookupFeatureTests.swift
+++ b/Examples/xx-messenger/Tests/ContactLookupFeatureTests/ContactLookupFeatureTests.swift
@@ -23,12 +23,14 @@ final class ContactLookupFeatureTests: XCTestCase {
 
     store.send(.lookupTapped) {
       $0.isLookingUp = true
+      $0.failure = nil
     }
 
     XCTAssertEqual(didLookupId, [id])
 
     store.receive(.didLookup(lookedUpContact)) {
       $0.isLookingUp = false
+      $0.failure = nil
     }
   }
 
@@ -47,11 +49,12 @@ final class ContactLookupFeatureTests: XCTestCase {
 
     store.send(.lookupTapped) {
       $0.isLookingUp = true
+      $0.failure = nil
     }
 
     store.receive(.didFail(failure)) {
-      $0.failure = failure.localizedDescription
       $0.isLookingUp = false
+      $0.failure = failure.localizedDescription
     }
   }
 }