diff --git a/core/src/main/java/haveno/core/support/dispute/arbitration/ArbitrationManager.java b/core/src/main/java/haveno/core/support/dispute/arbitration/ArbitrationManager.java
index 83ab885fc0..42b701d361 100644
--- a/core/src/main/java/haveno/core/support/dispute/arbitration/ArbitrationManager.java
+++ b/core/src/main/java/haveno/core/support/dispute/arbitration/ArbitrationManager.java
@@ -274,15 +274,15 @@ public final class ArbitrationManager extends DisputeManager<ArbitrationDisputeL
                     }
                     dispute.setDisputeResult(disputeResult);
 
-                    // sync and save wallet
-                    if (!trade.isPayoutPublished()) trade.syncAndPollWallet();
-
                     // update multisig hex
                     if (disputeClosedMessage.getUpdatedMultisigHex() != null) trade.getArbitrator().setUpdatedMultisigHex(disputeClosedMessage.getUpdatedMultisigHex());
                     if (trade.walletExists()) trade.importMultisigHex();
 
+                    // sync and save wallet
+                    if (!trade.isPayoutPublished()) trade.syncAndPollWallet();
+
                     // attempt to sign and publish dispute payout tx if given and not already published
-                    if (disputeClosedMessage.getUnsignedPayoutTxHex() != null && !trade.isPayoutPublished()) {
+                    if (!trade.isPayoutPublished() && disputeClosedMessage.getUnsignedPayoutTxHex() != null) {
 
                         // wait to sign and publish payout tx if defer flag set
                         if (disputeClosedMessage.isDeferPublishPayout()) {
diff --git a/core/src/main/java/haveno/core/trade/Trade.java b/core/src/main/java/haveno/core/trade/Trade.java
index 6e774ad152..da7dbb8525 100644
--- a/core/src/main/java/haveno/core/trade/Trade.java
+++ b/core/src/main/java/haveno/core/trade/Trade.java
@@ -92,6 +92,7 @@ import javafx.collections.ObservableList;
 import lombok.Getter;
 import lombok.Setter;
 import lombok.extern.slf4j.Slf4j;
+import monero.common.MoneroError;
 import monero.common.MoneroRpcConnection;
 import monero.common.TaskLooper;
 import monero.daemon.MoneroDaemon;
@@ -886,6 +887,8 @@ public abstract class Trade implements Tradable, Model {
                     try {
                         doImportMultisigHex();
                         break;
+                    } catch (IllegalArgumentException e) {
+                        throw e;
                     } catch (Exception e) {
                         log.warn("Failed to import multisig hex, attempt={}/{}, tradeId={}, error={}", i + 1, TradeProtocol.MAX_ATTEMPTS, getShortId(), e.getMessage());
                         if (i == TradeProtocol.MAX_ATTEMPTS - 1) throw e;
@@ -909,12 +912,44 @@ public abstract class Trade implements Tradable, Model {
         log.info("Importing multisig hexes for {} {}, count={}", getClass().getSimpleName(), getShortId(), multisigHexes.size());
         long startTime = System.currentTimeMillis();
         if (!multisigHexes.isEmpty()) {
-            wallet.importMultisigHex(multisigHexes.toArray(new String[0]));
+            try {
+                wallet.importMultisigHex(multisigHexes.toArray(new String[0]));
+            } catch (MoneroError e) {
+
+                // import multisig hex individually if one is invalid
+                if (isInvalidImportError(e.getMessage())) {
+                    log.warn("Peer has invalid multisig hex for {} {}, importing individually", getClass().getSimpleName(), getShortId());
+                    boolean imported = false;
+                    Exception lastError = null;
+                    for (TradePeer peer : getOtherPeers()) {
+                        if (peer.getUpdatedMultisigHex() == null) continue;
+                        try {
+                            wallet.importMultisigHex(peer.getUpdatedMultisigHex());
+                            imported = true;
+                        } catch (MoneroError e2) {
+                            lastError = e2;
+                            if (isInvalidImportError(e2.getMessage())) {
+                                log.warn("{} has invalid multisig hex for {} {}, error={}, multisigHex={}", getPeerRole(peer), getClass().getSimpleName(), getShortId(), e2.getMessage(), peer.getUpdatedMultisigHex());
+                            } else {
+                                throw e2;
+                            }
+                        }
+                    }
+                    if (!imported) throw new IllegalArgumentException("Could not import any multisig hexes for " + getClass().getSimpleName() + " " + getShortId(), lastError);
+                } else {
+                    throw e;
+                }
+            }
             requestSaveWallet();
         }
         log.info("Done importing multisig hexes for {} {} in {} ms, count={}", getClass().getSimpleName(), getShortId(), System.currentTimeMillis() - startTime, multisigHexes.size());
     }
 
+    // TODO: checking error strings isn't robust, but the library doesn't provide a way to check if multisig hex is invalid. throw IllegalArgumentException from library on invalid multisig hex?
+    private boolean isInvalidImportError(String errMsg) {
+        return errMsg.contains("Failed to parse hex") || errMsg.contains("Multisig info is for a different account");
+    }
+
     public void changeWalletPassword(String oldPassword, String newPassword) {
         synchronized (walletLock) {
             getWallet().changePassword(oldPassword, newPassword);