diff --git a/openair2/COMMON/e1ap_messages_def.h b/openair2/COMMON/e1ap_messages_def.h
index a5b9422f14..d5de6e8f56 100644
--- a/openair2/COMMON/e1ap_messages_def.h
+++ b/openair2/COMMON/e1ap_messages_def.h
@@ -42,6 +42,8 @@ MESSAGE_DEF(E1AP_BEARER_CONTEXT_SETUP_RESP , MESSAGE_PRIORITY_MED , e1ap_bearer_
 MESSAGE_DEF(E1AP_BEARER_CONTEXT_MODIFICATION_REQ , MESSAGE_PRIORITY_MED , e1ap_bearer_mod_req_t , e1ap_bearer_mod_req)
 /* E1AP Bearer Context Modification Response: gNB-CU-UP -> gNB-CU-CP */
 MESSAGE_DEF(E1AP_BEARER_CONTEXT_MODIFICATION_RESP, MESSAGE_PRIORITY_MED, e1ap_bearer_modif_resp_t, e1ap_bearer_modif_resp)
+/* E1AP Bearer Context Modification Failure: gNB-CU-UP -> gNB-CU-CP */
+MESSAGE_DEF(E1AP_BEARER_CONTEXT_MODIFICATION_FAIL, MESSAGE_PRIORITY_MED, e1ap_bearer_context_mod_failure_t, e1ap_bearer_modif_fail)
 /* E1AP Bearer Context Release Request: gNB-CU-CP -> gNB-CU-UP */
 MESSAGE_DEF(E1AP_BEARER_CONTEXT_RELEASE_CMD, MESSAGE_PRIORITY_MED, e1ap_bearer_release_cmd_t, e1ap_bearer_release_cmd)
 /* E1AP Bearer Context Release Response: gNB-CU-UP -> gNB-CU-CP */
diff --git a/openair2/COMMON/e1ap_messages_types.h b/openair2/COMMON/e1ap_messages_types.h
index adcff5e8cd..0709d8b00b 100644
--- a/openair2/COMMON/e1ap_messages_types.h
+++ b/openair2/COMMON/e1ap_messages_types.h
@@ -52,6 +52,7 @@
 #define E1AP_BEARER_CONTEXT_SETUP_RESP(mSGpTR)            (mSGpTR)->ittiMsg.e1ap_bearer_setup_resp
 #define E1AP_BEARER_CONTEXT_MODIFICATION_REQ(mSGpTR)      (mSGpTR)->ittiMsg.e1ap_bearer_mod_req
 #define E1AP_BEARER_CONTEXT_MODIFICATION_RESP(mSGpTR)     (mSGpTR)->ittiMsg.e1ap_bearer_modif_resp
+#define E1AP_BEARER_CONTEXT_MODIFICATION_FAIL(mSGpTR)     (mSGpTR)->ittiMsg.e1ap_bearer_modif_fail
 #define E1AP_BEARER_CONTEXT_RELEASE_CMD(mSGpTR)           (mSGpTR)->ittiMsg.e1ap_bearer_release_cmd
 #define E1AP_BEARER_CONTEXT_RELEASE_CPLT(mSGpTR)          (mSGpTR)->ittiMsg.e1ap_bearer_release_cplt
 #define E1AP_LOST_CONNECTION(mSGpTR)                      (mSGpTR)->ittiMsg.e1ap_lost_connection
diff --git a/openair2/E1AP/e1ap.c b/openair2/E1AP/e1ap.c
index f0e4d5578d..e8d901db52 100644
--- a/openair2/E1AP/e1ap.c
+++ b/openair2/E1AP/e1ap.c
@@ -57,7 +57,7 @@ const e1ap_message_processing_t e1ap_message_processing[E1AP_NUM_MSG_HANDLERS][3
      e1apCUCP_handle_BEARER_CONTEXT_SETUP_FAILURE}, /* bearerContextSetup */
     {e1apCUUP_handle_BEARER_CONTEXT_MODIFICATION_REQUEST,
      e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_RESPONSE,
-     0}, /* bearerContextModification */
+     e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_FAILURE}, /* bearerContextModification */
     {0, 0, 0}, /* bearerContextModificationRequired */
     {e1apCUUP_handle_BEARER_CONTEXT_RELEASE_COMMAND, e1apCUCP_handle_BEARER_CONTEXT_RELEASE_COMPLETE, 0}, /* bearerContextRelease */
     {0, 0, 0}, /* bearerContextReleaseRequired */
@@ -439,10 +439,11 @@ static int e1apCUUP_send_BEARER_CONTEXT_MODIFICATION_RESPONSE(sctp_assoc_t assoc
   return e1ap_encode_send(UPtype, assoc_id, pdu, 0, __func__);
 }
 
-int e1apCUUP_send_BEARER_CONTEXT_MODIFICATION_FAILURE(instance_t instance)
+static int e1apCUUP_send_BEARER_CONTEXT_MODIFICATION_FAILURE(sctp_assoc_t assoc_id, const e1ap_bearer_context_mod_failure_t *out)
 {
-  AssertFatal(false, "Not implemented yet\n");
-  return -1;
+  E1AP_E1AP_PDU_t *pdu = encode_E1_bearer_context_mod_failure(out);
+  e1ap_encode_send(UPtype, assoc_id, pdu, 0, __func__);
+  return 0;
 }
 
 /**
@@ -478,13 +479,21 @@ int e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_RESPONSE(sctp_assoc_t assoc_id,
   return 0;
 }
 
-int e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_FAILURE(instance_t instance,
-                                                        sctp_assoc_t assoc_id,
-                                                        uint32_t stream,
-                                                        E1AP_E1AP_PDU_t *pdu)
+int e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_FAILURE(sctp_assoc_t assoc_id, e1ap_upcp_inst_t *inst, const E1AP_E1AP_PDU_t *pdu)
 {
-  AssertFatal(false, "Not implemented yet\n");
-  return -1;
+  e1ap_bearer_context_mod_failure_t failure = {0};
+  if (!decode_E1_bearer_context_mod_failure(&failure, pdu)) {
+    free_E1_bearer_context_mod_failure(&failure);
+    return -1;
+  }
+  LOG_E(E1AP,
+        "Received Bearer Context Modification Failure from CU-UP %d with cause value %d \n",
+        failure.gNB_cu_up_ue_id,
+        failure.cause.value);
+  MessageDef *msg = itti_alloc_new_message(TASK_CUUP_E1, 0, E1AP_BEARER_CONTEXT_MODIFICATION_FAIL);
+  E1AP_BEARER_CONTEXT_MODIFICATION_FAIL(msg) = cp_E1_bearer_context_mod_failure(&failure);
+  itti_send_msg_to_task(TASK_RRC_GNB, 0, msg);
+  return 0;
 }
 
 int e1apCUUP_send_BEARER_CONTEXT_MODIFICATION_REQUIRED(instance_t instance)
@@ -1036,6 +1045,14 @@ void *E1AP_CUUP_task(void *arg)
         free_e1ap_context_mod_response(resp);
       } break;
 
+      case E1AP_BEARER_CONTEXT_MODIFICATION_FAIL: {
+        const e1ap_bearer_context_mod_failure_t *fail = &E1AP_BEARER_CONTEXT_MODIFICATION_FAIL(msg);
+        const e1ap_upcp_inst_t *inst = getCxtE1(myInstance);
+        AssertFatal(inst, "no E1 instance found for instance %ld\n", myInstance);
+        e1apCUUP_send_BEARER_CONTEXT_MODIFICATION_FAILURE(inst->cuup.assoc_id, fail);
+        free_E1_bearer_context_mod_failure(fail);
+      } break;
+
       case E1AP_BEARER_CONTEXT_RELEASE_CPLT: {
         const e1ap_bearer_release_cplt_t *cplt = &E1AP_BEARER_CONTEXT_RELEASE_CPLT(msg);
         const e1ap_upcp_inst_t *inst = getCxtE1(myInstance);
diff --git a/openair2/E1AP/e1ap.h b/openair2/E1AP/e1ap.h
index b41559de09..66984f3b13 100644
--- a/openair2/E1AP/e1ap.h
+++ b/openair2/E1AP/e1ap.h
@@ -44,6 +44,8 @@ int e1apCUUP_handle_BEARER_CONTEXT_MODIFICATION_REQUEST(sctp_assoc_t assoc_id, e
 
 int e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_RESPONSE(sctp_assoc_t assoc_id, e1ap_upcp_inst_t *e1_inst, const E1AP_E1AP_PDU_t *pdu);
 
+int e1apCUCP_handle_BEARER_CONTEXT_MODIFICATION_FAILURE(sctp_assoc_t assoc_id, e1ap_upcp_inst_t *inst, const E1AP_E1AP_PDU_t *pdu);
+
 void e1apCUUP_send_BEARER_CONTEXT_SETUP_RESPONSE(sctp_assoc_t assoc_id, const e1ap_bearer_setup_resp_t *resp);
 
 int e1apCUUP_handle_BEARER_CONTEXT_RELEASE_COMMAND(sctp_assoc_t assoc_id, e1ap_upcp_inst_t *inst, const E1AP_E1AP_PDU_t *pdu);
diff --git a/openair2/RRC/NR/rrc_gNB.c b/openair2/RRC/NR/rrc_gNB.c
index a110e4af53..1c76eebccf 100644
--- a/openair2/RRC/NR/rrc_gNB.c
+++ b/openair2/RRC/NR/rrc_gNB.c
@@ -2570,6 +2570,23 @@ void rrc_gNB_process_e1_bearer_context_modif_resp(const e1ap_bearer_modif_resp_t
   }
 }
 
+/** @brief E1AP Bearer Context Modification Failure processing on CU-CP */
+static void rrc_gNB_process_e1_bearer_context_modif_fail(const e1ap_bearer_context_mod_failure_t *fail)
+{
+  gNB_RRC_INST *rrc = RC.nrrrc[0];
+  rrc_gNB_ue_context_t *ue_context_p = rrc_gNB_get_ue_context(rrc, fail->gNB_cu_cp_ue_id);
+  if (ue_context_p == NULL) {
+    LOG_E(NR_RRC, "No UE with CU-CP UE ID %d found (Bearer Context Modification Failure)\n", fail->gNB_cu_cp_ue_id);
+    return;
+  }
+
+  LOG_W(NR_RRC,
+        "Bearer Context Modification Failure received for UE ID %d (CU-UP ID %d), cause: %d\n",
+        fail->gNB_cu_cp_ue_id,
+        fail->gNB_cu_up_ue_id,
+        fail->cause.value);
+}
+
 /**
  * @brief E1AP Bearer Context Release processing
  */
@@ -2869,6 +2886,10 @@ void *rrc_gnb_task(void *args_p) {
         free_e1ap_context_mod_response(&E1AP_BEARER_CONTEXT_MODIFICATION_RESP(msg_p));
         break;
 
+      case E1AP_BEARER_CONTEXT_MODIFICATION_FAIL:
+        rrc_gNB_process_e1_bearer_context_modif_fail(&E1AP_BEARER_CONTEXT_MODIFICATION_FAIL(msg_p));
+        break;
+
       case E1AP_BEARER_CONTEXT_RELEASE_CPLT:
         rrc_gNB_process_e1_bearer_context_release_cplt(&E1AP_BEARER_CONTEXT_RELEASE_CPLT(msg_p));
         break;