diff --git a/repos/gems/src/app/sculpt_manager/main.cc b/repos/gems/src/app/sculpt_manager/main.cc
index 1bc8c04eb3..d8d6850962 100644
--- a/repos/gems/src/app/sculpt_manager/main.cc
+++ b/repos/gems/src/app/sculpt_manager/main.cc
@@ -407,6 +407,7 @@ struct Sculpt::Main : Input_event_handler,
 	{
 		_scan_rom.update();
 		_popup_dialog.depot_users_scan_updated();
+		_system_dialog.sanitize_user_selection();
 	}
 
 	Attached_rom_dataspace _image_index_rom { _env, "report -> runtime/depot_query/image_index" };
diff --git a/repos/gems/src/app/sculpt_manager/view/depot_users_dialog.h b/repos/gems/src/app/sculpt_manager/view/depot_users_dialog.h
index 24d72eb874..50864d6f85 100644
--- a/repos/gems/src/app/sculpt_manager/view/depot_users_dialog.h
+++ b/repos/gems/src/app/sculpt_manager/view/depot_users_dialog.h
@@ -39,6 +39,8 @@ struct Sculpt::Depot_users_dialog
 
 		using Url_edit_field = Text_entry_field<50>;
 
+		User const _default_user;
+
 		Depot_users const &_depot_users;
 
 		Action &_action;
@@ -227,7 +229,8 @@ struct Sculpt::Depot_users_dialog
 		                   User        const &default_user,
 		                   Action            &action)
 		:
-			_depot_users(depot_users), _action(action), _selected(default_user)
+			_default_user(default_user), _depot_users(depot_users),
+			_action(action), _selected(default_user)
 		{ }
 
 		User selected() const
@@ -325,6 +328,24 @@ struct Sculpt::Depot_users_dialog
 		}
 
 		bool one_selected() const { return !_unfolded && _selected.length() > 1; }
+
+		void sanitize_unfold_state()
+		{
+			/*
+			 * If the selected depot user does not exist in the depot, show
+			 * list of available users.
+			 */
+			bool selected_user_exists = false;
+
+			_depot_users.xml().for_each_sub_node([&] (Xml_node const &user) {
+				if (_selected == user.attribute_value("name", User()))
+					selected_user_exists = true; });
+
+			if (!selected_user_exists) {
+				_selected = _default_user;
+				_unfolded = true;
+			}
+		}
 };
 
 #endif /* _VIEW__DEPOT_USERS_DIALOG_H_ */
diff --git a/repos/gems/src/app/sculpt_manager/view/software_update_dialog.h b/repos/gems/src/app/sculpt_manager/view/software_update_dialog.h
index 9fa59e4f21..d09afdf1cc 100644
--- a/repos/gems/src/app/sculpt_manager/view/software_update_dialog.h
+++ b/repos/gems/src/app/sculpt_manager/view/software_update_dialog.h
@@ -356,6 +356,8 @@ struct Sculpt::Software_update_dialog
 	bool keyboard_needed() const { return _users.keyboard_needed(); }
 
 	void handle_key(Codepoint c) { _users.handle_key(c); }
+
+	void sanitize_user_selection() { _users.sanitize_unfold_state(); }
 };
 
 #endif /* _VIEW__SOFTWARE_UPDATE_DIALOG_H_ */
diff --git a/repos/gems/src/app/sculpt_manager/view/system_dialog.h b/repos/gems/src/app/sculpt_manager/view/system_dialog.h
index 2199c56eee..a202cb39ae 100644
--- a/repos/gems/src/app/sculpt_manager/view/system_dialog.h
+++ b/repos/gems/src/app/sculpt_manager/view/system_dialog.h
@@ -137,6 +137,8 @@ struct Sculpt::System_dialog : Noncopyable, Dialog
 	bool keyboard_needed() const { return _update_dialog.keyboard_needed(); }
 
 	void handle_key(Codepoint c) { _update_dialog.handle_key(c); }
+
+	void sanitize_user_selection() { _update_dialog.sanitize_user_selection(); }
 };
 
 #endif /* _VIEW__SYSTEM_DIALOG_H_ */