diff --git a/packages/SystemUI/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinator.kt b/packages/SystemUI/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinator.kt
index d59967917e6cf..e5b9a03718bd0 100644
--- a/packages/SystemUI/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinator.kt
+++ b/packages/SystemUI/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinator.kt
@@ -108,13 +108,10 @@ constructor(
         uiEventLogger.logSenderStateChange(chipState)
 
         if (chipState == ChipStateSender.FAR_FROM_RECEIVER) {
-            val removalReason = ChipStateSender.FAR_FROM_RECEIVER.name
-
-            // No need to store the state since it is the default state
-            removeIdFromStore(routeInfo.id, reason = removalReason)
             // Return early if we're not displaying a chip anyway
             val currentDisplayedState = displayedState ?: return
 
+            val removalReason = ChipStateSender.FAR_FROM_RECEIVER.name
             if (
                 currentDisplayedState.transferStatus == TransferStatus.IN_PROGRESS ||
                     currentDisplayedState.transferStatus == TransferStatus.SUCCEEDED
@@ -128,6 +125,8 @@ constructor(
                 return
             }
 
+            // No need to store the state since it is the default state
+            removeIdFromStore(routeInfo.id, reason = removalReason)
             displayedState = null
             chipbarCoordinator.removeView(routeInfo.id, removalReason)
         } else {
diff --git a/packages/SystemUI/tests/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinatorTest.kt b/packages/SystemUI/tests/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinatorTest.kt
index dddc0057a5de9..68eccd7abcbc1 100644
--- a/packages/SystemUI/tests/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinatorTest.kt
+++ b/packages/SystemUI/tests/src/com/android/systemui/media/taptotransfer/sender/MediaTttSenderCoordinatorTest.kt
@@ -742,6 +742,99 @@ class MediaTttSenderCoordinatorTest : SysuiTestCase() {
         verify(windowManager, never()).addView(any(), any())
     }
 
+    /** Regression test for b/266217596. */
+    @Test
+    fun toReceiver_triggeredThenFar_thenSucceeded_updatesToSucceeded() {
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_TRANSFER_TO_RECEIVER_TRIGGERED,
+            routeInfo,
+            null,
+        )
+
+        // WHEN a FAR command comes in
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_FAR_FROM_RECEIVER,
+            routeInfo,
+            null,
+        )
+
+        // THEN it is ignored and the chipbar is stilled displayed
+        val chipbarView = getChipbarView()
+        assertThat(chipbarView.getChipText())
+            .isEqualTo(ChipStateSender.TRANSFER_TO_RECEIVER_TRIGGERED.getExpectedStateText())
+        assertThat(chipbarView.getLoadingIcon().visibility).isEqualTo(View.VISIBLE)
+        verify(windowManager, never()).removeView(any())
+
+        // WHEN a SUCCEEDED command comes in
+        val succeededRouteInfo =
+            MediaRoute2Info.Builder(DEFAULT_ID, "Tablet Succeeded")
+                .addFeature("feature")
+                .setClientPackageName(PACKAGE_NAME)
+                .build()
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_TRANSFER_TO_RECEIVER_SUCCEEDED,
+            succeededRouteInfo,
+            /* undoCallback= */ object : IUndoMediaTransferCallback.Stub() {
+                override fun onUndoTriggered() {}
+            },
+        )
+
+        // THEN it is *not* marked as an invalid transition and the chipbar updates to the succeeded
+        // state. (The "invalid transition" would be FAR => SUCCEEDED.)
+        assertThat(chipbarView.getChipText())
+            .isEqualTo(
+                ChipStateSender.TRANSFER_TO_RECEIVER_SUCCEEDED.getExpectedStateText(
+                    "Tablet Succeeded"
+                )
+            )
+        assertThat(chipbarView.getLoadingIcon().visibility).isEqualTo(View.GONE)
+        assertThat(chipbarView.getUndoButton().visibility).isEqualTo(View.VISIBLE)
+    }
+
+    /** Regression test for b/266217596. */
+    @Test
+    fun toThisDevice_triggeredThenFar_thenSucceeded_updatesToSucceeded() {
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_TRANSFER_TO_THIS_DEVICE_TRIGGERED,
+            routeInfo,
+            null,
+        )
+
+        // WHEN a FAR command comes in
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_FAR_FROM_RECEIVER,
+            routeInfo,
+            null,
+        )
+
+        // THEN it is ignored and the chipbar is stilled displayed
+        val chipbarView = getChipbarView()
+        assertThat(chipbarView.getChipText())
+            .isEqualTo(ChipStateSender.TRANSFER_TO_THIS_DEVICE_TRIGGERED.getExpectedStateText())
+        assertThat(chipbarView.getLoadingIcon().visibility).isEqualTo(View.VISIBLE)
+        verify(windowManager, never()).removeView(any())
+
+        // WHEN a SUCCEEDED command comes in
+        commandQueueCallback.updateMediaTapToTransferSenderDisplay(
+            StatusBarManager.MEDIA_TRANSFER_SENDER_STATE_TRANSFER_TO_THIS_DEVICE_SUCCEEDED,
+            routeInfo,
+            /* undoCallback= */ object : IUndoMediaTransferCallback.Stub() {
+                override fun onUndoTriggered() {}
+            },
+        )
+
+        // THEN it is *not* marked as an invalid transition and the chipbar updates to the succeeded
+        // state. (The "invalid transition" would be FAR => SUCCEEDED.)
+        assertThat(chipbarView.getChipText())
+            .isEqualTo(
+                ChipStateSender.TRANSFER_TO_THIS_DEVICE_SUCCEEDED.getExpectedStateText(
+                    "Tablet Succeeded"
+                )
+            )
+        assertThat(chipbarView.getLoadingIcon().visibility).isEqualTo(View.GONE)
+        assertThat(chipbarView.getUndoButton().visibility).isEqualTo(View.VISIBLE)
+    }
+
     @Test
     fun receivesNewStateFromCommandQueue_isLogged() {
         commandQueueCallback.updateMediaTapToTransferSenderDisplay(
@@ -1117,8 +1210,10 @@ class MediaTttSenderCoordinatorTest : SysuiTestCase() {
 
     private fun ViewGroup.getUndoButton(): View = this.requireViewById(R.id.end_button)
 
-    private fun ChipStateSender.getExpectedStateText(): String? {
-        return this.getChipTextString(context, OTHER_DEVICE_NAME).loadText(context)
+    private fun ChipStateSender.getExpectedStateText(
+        otherDeviceName: String = OTHER_DEVICE_NAME,
+    ): String? {
+        return this.getChipTextString(context, otherDeviceName).loadText(context)
     }
 
     // display receiver triggered state helper method to make sure we start from a valid state