diff --git a/src/main.ts b/src/main.ts
index eb766c00..e72c8265 100644
--- a/src/main.ts
+++ b/src/main.ts
@@ -47,8 +47,9 @@ export default function main() {
   let trackingHost: string = TRACKING_HOST;
   let sessionUserId: string | undefined = undefined;
   let persistUser: boolean = !isForNode;
+  let liveSatisfactionActive: boolean = false;
   let sseChannel: AblySSEChannel | undefined = undefined;
-  let liveFeedback: boolean = !isForNode;
+  let liveSatisfactionEnabled: boolean = !isForNode;
   let feedbackPromptHandler: FeedbackPromptHandler | undefined = undefined;
   let feedbackPromptingUserId: string | undefined = undefined;
   let feedbackPosition: FeedbackPosition | undefined = undefined;
@@ -101,8 +102,6 @@ export default function main() {
     return userId!;
   }
 
-  // methods
-
   function init(key: Key, options: Options = {}) {
     reset();
     if (!key) {
@@ -127,18 +126,18 @@ export default function main() {
     }
 
     if (typeof options.feedback?.enableLiveFeedback !== "undefined") {
-      liveFeedback = options.feedback.enableLiveFeedback;
+      liveSatisfactionEnabled = options.feedback.enableLiveFeedback;
     }
 
     if (typeof options.feedback?.enableLiveSatisfaction !== "undefined") {
-      liveFeedback = options.feedback.enableLiveSatisfaction;
+      liveSatisfactionEnabled = options.feedback.enableLiveSatisfaction;
     }
 
-    if (liveFeedback && isForNode) {
+    if (liveSatisfactionEnabled && isForNode) {
       err("Feedback prompting is not supported in Node.js environment");
     }
 
-    if (liveFeedback && !persistUser) {
+    if (liveSatisfactionEnabled && !persistUser) {
       err("Feedback prompting is not supported when persistUser is disabled");
     }
 
@@ -162,7 +161,7 @@ export default function main() {
         reset();
       }
       sessionUserId = userId;
-      if (liveFeedback && !sseChannel) {
+      if (liveSatisfactionEnabled && !liveSatisfactionActive) {
         await initLiveSatisfaction(userId);
       }
     }
@@ -264,7 +263,7 @@ export default function main() {
       err("Feedback prompting is not supported in Node.js environment");
     }
 
-    if (sseChannel) {
+    if (liveSatisfactionActive) {
       err("Feedback prompting already initialized. Use reset() first.");
     }
 
@@ -275,28 +274,38 @@ export default function main() {
 
     userId = resolveUser(userId);
 
-    const res = await request(`${getUrl()}/feedback/prompting-init`, {
-      userId,
-    });
-    log(`feedback prompting status sent`, res);
-    const body: { success: boolean; channel?: string } = await res.json();
-    if (!body.success || !body.channel) {
-      log(`feedback prompting not enabled`);
-      return res;
-    }
+    // while initializing, consider the channel active
+    liveSatisfactionActive = true;
+    try {
+      const res = await request(`${getUrl()}/feedback/prompting-init`, {
+        userId,
+      });
+
+      log(`feedback prompting status sent`, res);
+      const body: { success: boolean; channel?: string } = await res.json();
+      if (!body.success || !body.channel) {
+        log(`feedback prompting not enabled`);
+        return res;
+      }
 
-    log(`feedback prompting enabled`);
+      log(`feedback prompting enabled`);
 
-    feedbackPromptingUserId = userId;
-    sseChannel = openAblySSEChannel(
-      `${getUrl()}/feedback/prompting-auth`,
-      userId,
-      body.channel,
-      (message) => handleFeedbackPromptRequest(userId!, message),
-      { debug },
-    );
-    log(`feedback prompting connection established`);
-    return res;
+      sseChannel = openAblySSEChannel(
+        `${getUrl()}/feedback/prompting-auth`,
+        userId,
+        body.channel,
+        (message) => handleFeedbackPromptRequest(userId!, message),
+        { debug },
+      );
+
+      feedbackPromptingUserId = userId;
+
+      log(`feedback prompting connection established`);
+      return res;
+    } finally {
+      // check that SSE channel has actually been opened, otherwise reset the value
+      liveSatisfactionActive = !!sseChannel;
+    }
   }
 
   function handleFeedbackPromptRequest(userId: User["userId"], message: any) {
@@ -483,6 +492,7 @@ export default function main() {
   function reset() {
     sessionUserId = undefined;
     feedbackPromptingUserId = undefined;
+    liveSatisfactionActive = false;
     if (sseChannel) {
       closeAblySSEChannel(sseChannel);
       log(`feedback prompting connection closed`);
diff --git a/src/sse.ts b/src/sse.ts
index c7dca885..c5b76742 100644
--- a/src/sse.ts
+++ b/src/sse.ts
@@ -107,19 +107,21 @@ export class AblySSEChannel {
         errorCode >= ABLY_TOKEN_ERROR_MIN &&
         errorCode <= ABLY_TOKEN_ERROR_MAX
       ) {
-        this.log("token expired, refreshing");
-        await this.connect().catch((x) =>
-          this.warn("failed to refresh token", x),
-        );
+        this.log("event source token expired, refresh required");
       }
-      return;
-    }
-
-    if ((e as any)?.target?.readyState === 2) {
-      this.log("event source connection closed");
     } else {
-      this.warn("unexpected error occured", e);
+      const connectionState = (e as any)?.target?.readyState;
+      if (connectionState === 2) {
+        this.log("event source connection closed", e);
+      }
+      if (connectionState === 1) {
+        this.warn("event source connection failed to open", e);
+      } else {
+        this.warn("event source unexpected error occured", e);
+      }
     }
+
+    this.disconnect();
   }
 
   private onMessage(e: MessageEvent) {
@@ -170,25 +172,40 @@ export class AblySSEChannel {
 
   public open(options?: { retryInterval?: number; retryCount?: number }) {
     const retryInterval = options?.retryInterval ?? 1000 * 30;
-    let retryCount = options?.retryCount ?? 3;
+    const retryCount = options?.retryCount ?? 3;
+    let retriesRemaining = retryCount;
 
     const tryConnect = async () => {
-      await this.connect().catch((e) =>
-        this.warn(`failed to connect. ${retryCount} retries remaining`, e),
-      );
+      try {
+        await this.connect();
+        retriesRemaining = retryCount;
+      } catch (e) {
+        if (retriesRemaining > 0) {
+          this.warn(
+            `failed to connect, ${retriesRemaining} retries remaining`,
+            e,
+          );
+        } else {
+          this.warn(`failed to connect, no retries remaining`, e);
+        }
+      }
     };
 
     void tryConnect();
 
     this.retryInterval = setInterval(() => {
       if (!this.eventSource && this.retryInterval) {
-        if (retryCount <= 0) {
+        if (retriesRemaining <= 0) {
+          this.warn(
+            "failed to initiate a connection to feedback prompting, all retries exhausted",
+          );
+
           clearInterval(this.retryInterval);
           this.retryInterval = null;
           return;
         }
 
-        retryCount--;
+        retriesRemaining--;
         void tryConnect();
       }
     }, retryInterval);
@@ -198,8 +215,8 @@ export class AblySSEChannel {
     if (this.retryInterval) {
       clearInterval(this.retryInterval);
       this.retryInterval = null;
-      this.disconnect();
     }
+    this.disconnect();
   }
 
   public isOpen() {
diff --git a/test/sse.test.ts b/test/sse.test.ts
index 2ba9db89..667cefaf 100644
--- a/test/sse.test.ts
+++ b/test/sse.test.ts
@@ -34,6 +34,7 @@ vitest.mock("reconnecting-eventsource", () => {
   return {
     default: vi.fn().mockReturnValue({
       addEventListener: vi.fn(),
+      close: vi.fn(),
     }),
   };
 });
@@ -225,7 +226,7 @@ describe("message handling", () => {
     expect(callback).toHaveBeenCalledTimes(1);
   });
 
-  test("does not respond to unknown errors", async () => {
+  test("disconnects on unknown event source errors without data", async () => {
     const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
 
     let errorCallback: ((e: Event) => Promise<void>) | undefined = undefined;
@@ -246,7 +247,28 @@ describe("message handling", () => {
     expect(errorCallback).toBeDefined();
 
     await errorCallback!({} as any);
-    expect(close).not.toHaveBeenCalled();
+    expect(close).toHaveBeenCalledTimes(1);
+  });
+
+  test("disconnects on unknown event source errors with data", async () => {
+    const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
+
+    let errorCallback: ((e: Event) => Promise<void>) | undefined = undefined;
+    const addEventListener = (event: string, cb: (e: Event) => void) => {
+      if (event === "error") {
+        errorCallback = cb as typeof errorCallback;
+      }
+    };
+
+    const close = vi.fn();
+    vi.mocked(ReconnectingEventSource).mockReturnValue({
+      addEventListener,
+      close,
+    } as any);
+
+    await sse.connect();
+
+    expect(errorCallback).toBeDefined();
 
     await errorCallback!(
       new MessageEvent("error", {
@@ -254,10 +276,10 @@ describe("message handling", () => {
       }),
     );
 
-    expect(close).not.toHaveBeenCalled();
+    expect(close).toHaveBeenCalledTimes(1);
   });
 
-  test("resets the connection and refreshes token for ably expiry errors", async () => {
+  test("disconnects when ably reports token is expired", async () => {
     const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
 
     let errorCallback: ((e: Event) => Promise<void>) | undefined = undefined;
@@ -275,9 +297,6 @@ describe("message handling", () => {
 
     await sse.connect();
 
-    setupAuthNock(true);
-    setupTokenNock(true);
-
     await errorCallback!(
       new MessageEvent("error", {
         data: JSON.stringify({ code: 40140 }),
@@ -285,11 +304,10 @@ describe("message handling", () => {
     );
 
     expect(close).toHaveBeenCalled();
-    expect(vi.mocked(ReconnectingEventSource)).toHaveBeenCalledTimes(2);
   });
 });
 
-describe("automatic auth retries", () => {
+describe("automatic retries", () => {
   const nockWait = (n: nock.Scope) => {
     return new Promise((resolve) => {
       n.on("replied", () => {
@@ -298,13 +316,15 @@ describe("automatic auth retries", () => {
     });
   };
 
-  afterEach(() => {
-    expect(nock.isDone()).toBe(true);
-
+  beforeEach(() => {
     vi.clearAllMocks();
     nock.cleanAll();
   });
 
+  afterEach(() => {
+    expect(nock.isDone()).toBe(true);
+  });
+
   test("opens and connects to a channel", async () => {
     const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
 
@@ -348,6 +368,59 @@ describe("automatic auth retries", () => {
     expect(sse.isOpen()).toBe(true);
   });
 
+  test("resets retry count on successfull connect", async () => {
+    const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
+
+    // mock event source
+    let errorCallback: ((e: Event) => Promise<void>) | undefined = undefined;
+    const addEventListener = (event: string, cb: (e: Event) => void) => {
+      if (event === "error") {
+        errorCallback = cb as typeof errorCallback;
+      }
+    };
+
+    const close = vi.fn();
+    vi.mocked(ReconnectingEventSource).mockReturnValue({
+      addEventListener,
+      close,
+    } as any);
+
+    // make initial failed attempt
+    vi.useFakeTimers();
+    const n = setupAuthNock(false);
+    sse.open({ retryInterval: 100, retryCount: 1 });
+    await nockWait(n);
+
+    const attempt = async () => {
+      const n1 = setupAuthNock(true);
+      const n2 = setupTokenNock(true);
+
+      vi.advanceTimersByTime(100);
+
+      await nockWait(n1);
+      await nockWait(n2);
+
+      await flushPromises();
+      vi.advanceTimersByTime(100);
+
+      expect(sse.isConnected()).toBe(true);
+
+      // simulate an error
+      vi.advanceTimersByTime(100);
+
+      await errorCallback!({} as any);
+      await flushPromises();
+
+      expect(sse.isConnected()).toBe(false);
+    };
+
+    await attempt();
+    await attempt();
+    await attempt();
+
+    vi.useRealTimers();
+  });
+
   test("reconnects if manually disconnected", async () => {
     const sse = new AblySSEChannel(userId, channel, ablyAuthUrl, vi.fn());
 
diff --git a/test/usage.test.ts b/test/usage.test.ts
index ac7794cb..674d94cb 100644
--- a/test/usage.test.ts
+++ b/test/usage.test.ts
@@ -381,6 +381,68 @@ describe("feedback prompting", () => {
       "Feedback prompting already initialized. Use reset() first.",
     );
   });
+
+  test("rejects if feedback prompting already initialized (loop)", async () => {
+    nock(`${TRACKING_HOST}/${KEY}`)
+      .post(/.*\/feedback\/prompting-init/)
+      .reply(200, { success: true, channel: "test-channel" });
+
+    const bucketInstance = bucket();
+    bucketInstance.init(KEY, {
+      persistUser: false,
+      feedback: { enableLiveSatisfaction: false },
+    });
+
+    const init = bucketInstance.initLiveSatisfaction("foo");
+
+    const p1 = bucketInstance.initLiveSatisfaction("foo");
+    const p2 = bucketInstance.initLiveSatisfaction("moo");
+
+    await expect(p1).rejects.toThrowError(
+      "Feedback prompting already initialized. Use reset() first.",
+    );
+    await expect(p2).rejects.toThrowError(
+      "Feedback prompting already initialized. Use reset() first.",
+    );
+
+    await expect(init).resolves.not.toBeUndefined();
+  });
+
+  test("does not think it is connected if the connection fails", async () => {
+    nock(`${TRACKING_HOST}/${KEY}`)
+      .post(/.*\/feedback\/prompting-init/)
+      .reply(200, { success: false });
+
+    const bucketInstance = bucket();
+    bucketInstance.init(KEY, {
+      persistUser: false,
+      feedback: { enableLiveSatisfaction: false },
+    });
+
+    await bucketInstance.initLiveSatisfaction("foo");
+
+    nock(`${TRACKING_HOST}/${KEY}`)
+      .post(/.*\/feedback\/prompting-init/)
+      .reply(200, { success: true, channel: "test-channel" });
+
+    vi.mocked(openAblySSEChannel).mockImplementation(() => {
+      throw new Error("something bad happened");
+    });
+
+    await expect(() =>
+      bucketInstance.initLiveSatisfaction("foo"),
+    ).rejects.toThrowError("something bad happened");
+
+    nock(`${TRACKING_HOST}/${KEY}`)
+      .post(/.*\/feedback\/prompting-init/)
+      .reply(200, { success: true, channel: "test-channel" });
+
+    vi.mocked(openAblySSEChannel).mockImplementation(() => {
+      return "fake_client" as any;
+    });
+
+    await bucketInstance.initLiveSatisfaction("foo");
+  });
 });
 
 describe("feedback state management", () => {