Index: firmware/App/Services/AlarmMgmt.c
===================================================================
diff -u -r7d4711edd7b40cd3e29f43e766f79a8a09586fe9 -r7222a614c8600a977597ed38911bc82e85306223
--- firmware/App/Services/AlarmMgmt.c	(.../AlarmMgmt.c)	(revision 7d4711edd7b40cd3e29f43e766f79a8a09586fe9)
+++ firmware/App/Services/AlarmMgmt.c	(.../AlarmMgmt.c)	(revision 7222a614c8600a977597ed38911bc82e85306223)
@@ -67,7 +67,7 @@
 static void activateAlarm( ALARM_ID_T alarm );
 static void publishAlarmInfo( void );
 static void alarmUserNotify( void );
-static BOOL isTransitionToFaultRequired( void );
+static BOOL isTransitionToFaultOrClearImmediateRequired( void );
 
 /*********************************************************************//**
  * @brief
@@ -134,14 +134,14 @@
                 // There is a DG fault alarm.
                 isAFaultAlarmActive = TRUE;
 
-                if ( TRUE == isTransitionToFaultRequired() )
+                if ( TRUE == isTransitionToFaultOrClearImmediateRequired() )
                 {
                     // If alarm is a DG fault and the alarm manager can transition to fault immediately, go to fault mode
                     requestNewOperationMode( DG_MODE_FAUL );
                 }
             }
             // If alarm has clear condition immediately property, clear condition now
-            if ( TRUE == ALARM_TABLE[ alarm ].alarmConditionClearImmed )
+            if ( ( TRUE == ALARM_TABLE[ alarm ].alarmConditionClearImmed ) && ( TRUE == isTransitionToFaultOrClearImmediateRequired() ) )
             {
                 clearAlarmCondition( alarm );
             }
@@ -428,13 +428,14 @@
 
 /*********************************************************************//**
  * @brief
- * The isTransitionToFaultRequired function checks whether the alarm management
- * should request a transition to fault mode immediately or it should be deferred
+ * The isTransitionToFaultOrClearImmediateRequired function checks whether
+ * the alarm management should request a transition to fault mode immediately
+ * or it should be deferred
  * @details Inputs: none
  * @details Outputs: none
  * @return TRUE if transition to fault is required otherwise, FALSE
  *************************************************************************/
-static BOOL isTransitionToFaultRequired( void )
+static BOOL isTransitionToFaultOrClearImmediateRequired( void )
 {
     BOOL status         = TRUE;
     DG_OP_MODE_T opMode = getCurrentOperationMode();