diff --git a/hedera-node/hedera-smart-contract-service-impl/src/main/java/com/hedera/node/app/service/contract/impl/exec/operations/CustomCallOperation.java b/hedera-node/hedera-smart-contract-service-impl/src/main/java/com/hedera/node/app/service/contract/impl/exec/operations/CustomCallOperation.java
index 59ebcce6aaf4..694d9141fe52 100644
--- a/hedera-node/hedera-smart-contract-service-impl/src/main/java/com/hedera/node/app/service/contract/impl/exec/operations/CustomCallOperation.java
+++ b/hedera-node/hedera-smart-contract-service-impl/src/main/java/com/hedera/node/app/service/contract/impl/exec/operations/CustomCallOperation.java
@@ -68,13 +68,13 @@ public CustomCallOperation(
     public OperationResult execute(@NonNull final MessageFrame frame, @NonNull final EVM evm) {
         try {
             final var toAddress = to(frame);
-            if (isLazyCreateButInvalidateAlias(frame, toAddress)) {
-                return new OperationResult(cost(frame), INVALID_ALIAS_KEY);
-            }
             final var isMissing = mustBePresent(frame, toAddress) && !addressChecks.isPresent(toAddress, frame);
             if (isMissing) {
                 return new OperationResult(cost(frame), INVALID_SOLIDITY_ADDRESS);
             }
+            if (isLazyCreateButInvalidateAlias(frame, toAddress)) {
+                return new OperationResult(cost(frame), INVALID_ALIAS_KEY);
+            }
 
             return super.execute(frame, evm);
         } catch (final UnderflowException ignore) {