diff --git a/src/ripple/app/tx/impl/PayChan.cpp b/src/ripple/app/tx/impl/PayChan.cpp
index a347eacffa1..280a9b7b480 100644
--- a/src/ripple/app/tx/impl/PayChan.cpp
+++ b/src/ripple/app/tx/impl/PayChan.cpp
@@ -248,6 +248,13 @@ PayChanCreate::doApply()
     if (!sle)
         return tefINTERNAL;
 
+    if (ctx_.view().rules().enabled(fixPayChanCancelAfter))
+    {
+        auto const closeTime = ctx_.view().info().parentCloseTime;
+        if (ctx_.tx[~sfCancelAfter] && after(closeTime, ctx_.tx[sfCancelAfter]))
+            return tecEXPIRED;
+    }
+
     auto const dst = ctx_.tx[sfDestination];
 
     // Create PayChan in ledger.
@@ -270,13 +277,6 @@ PayChanCreate::doApply()
     (*slep)[~sfSourceTag] = ctx_.tx[~sfSourceTag];
     (*slep)[~sfDestinationTag] = ctx_.tx[~sfDestinationTag];
 
-    if (ctx_.view().rules().enabled(fixPayChanCancelAfter))
-    {
-        auto const closeTime = ctx_.view().info().parentCloseTime;
-        if (ctx_.tx[~sfCancelAfter] && after(closeTime, ctx_.tx[sfCancelAfter]))
-            return tecEXPIRED;
-    }
-
     ctx_.view().insert(slep);
 
     // Add PayChan to owner directory