diff --git a/backend/benefit/applications/api/v1/serializers/application.py b/backend/benefit/applications/api/v1/serializers/application.py
index 346dd89b98..ea922f1ebf 100755
--- a/backend/benefit/applications/api/v1/serializers/application.py
+++ b/backend/benefit/applications/api/v1/serializers/application.py
@@ -1074,6 +1074,10 @@ def _validate_employee_consent(self, instance):
 
     def _update_applicant_terms_approval(self, instance, approve_terms):
         if ApplicantTermsApproval.terms_approval_needed(instance):
+            # Ignore applicant's terms if app origin is from handler
+            if instance.application_origin == ApplicationOrigin.HANDLER:
+                return
+
             if not approve_terms:
                 raise serializers.ValidationError(
                     {"approve_terms": _("Terms must be approved")}
diff --git a/backend/benefit/applications/tests/factories.py b/backend/benefit/applications/tests/factories.py
index 09027f5806..80f1015730 100755
--- a/backend/benefit/applications/tests/factories.py
+++ b/backend/benefit/applications/tests/factories.py
@@ -136,10 +136,51 @@ class Meta:
         model = Application
 
 
+attachment_factory_string = "applications.tests.factories.AttachmentFactory"
+
+
 class ApplicationWithAttachmentFactory(ApplicationFactory):
     attachment = factory.RelatedFactory(
-        "applications.tests.factories.AttachmentFactory",
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="employment_contract",
+    )
+    attachment_2 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="pay_subsidy_decision",
+    )
+
+    attachment_3 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="commission_contract",
+    )
+
+    attachment_4 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="education_contract",
+    )
+    attachment_5 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="helsinki_benefit_voucher",
+    )
+    attachment_6 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="employee_consent",
+    )
+    attachment_7 = factory.RelatedFactory(
+        attachment_factory_string,
+        factory_related_name="application",
+        attachment_type="full_application",
+    )
+    attachment_8 = factory.RelatedFactory(
+        attachment_factory_string,
         factory_related_name="application",
+        attachment_type="other_attachment",
     )
 
 
diff --git a/frontend/benefit/handler/src/hooks/useUpdateApplicationQuery.ts b/frontend/benefit/handler/src/hooks/useUpdateApplicationQuery.ts
index bb32b0a8da..dddca586e4 100644
--- a/frontend/benefit/handler/src/hooks/useUpdateApplicationQuery.ts
+++ b/frontend/benefit/handler/src/hooks/useUpdateApplicationQuery.ts
@@ -1,7 +1,9 @@
 import { AxiosError } from 'axios';
 import { BackendEndpoint } from 'benefit-shared/backend-api/backend-api';
 import { ApplicationData } from 'benefit-shared/types/application';
+import { useTranslation } from 'next-i18next';
 import { useMutation, UseMutationResult, useQueryClient } from 'react-query';
+import showErrorToast from 'shared/components/toast/show-error-toast';
 import useBackendAPI from 'shared/hooks/useBackendAPI';
 
 import { ErrorData } from '../types/common';
@@ -12,7 +14,9 @@ const useUpdateApplicationQuery = (): UseMutationResult<
   ApplicationData
 > => {
   const { axios, handleResponse } = useBackendAPI();
+  const { t } = useTranslation();
   const queryClient = useQueryClient();
+
   return useMutation<ApplicationData, AxiosError<ErrorData>, ApplicationData>(
     'updateApplication',
     (application: ApplicationData) =>
@@ -27,6 +31,17 @@ const useUpdateApplicationQuery = (): UseMutationResult<
         void queryClient.invalidateQueries('applications');
         void queryClient.invalidateQueries('application');
       },
+      onError: (error: AxiosError) => {
+        const errorStatus = error.response?.data
+          ? Object.values(error.response.data)
+          : error.code;
+        showErrorToast(
+          t('common:applications.list.errors.fetch.label'),
+          t('common:applications.list.errors.fetch.text', {
+            status: errorStatus,
+          })
+        );
+      },
     }
   );
 };