diff --git a/ipacm/src/IPACM_Lan.cpp b/ipacm/src/IPACM_Lan.cpp
index f68e113..e2beea6 100644
--- a/ipacm/src/IPACM_Lan.cpp
+++ b/ipacm/src/IPACM_Lan.cpp
@@ -1209,7 +1209,7 @@
 			dev_name, IF_NAME_LEN);
 		IPACMDBG_H("Adding new tether iface :%s, State: UP\n", dev_name);
 	}
-	else if (free_index == -1)
+	else if (!state_update && free_index == -1)
 	{
 		IPACMERR("Exceeded max tether ifaces: not storing info for %s\n", dev_name);
 		return;