diff --git a/platform/commonUI/edit/src/capabilities/TransactionalPersistenceCapability.js b/platform/commonUI/edit/src/capabilities/TransactionalPersistenceCapability.js
index ffa6097125..073e5c8fad 100644
--- a/platform/commonUI/edit/src/capabilities/TransactionalPersistenceCapability.js
+++ b/platform/commonUI/edit/src/capabilities/TransactionalPersistenceCapability.js
@@ -67,10 +67,17 @@ define(
             }
 
             function onCancel() {
-                return self.persistenceCapability.refresh().then(function (result) {
+                if (self.domainObject.getModel().persisted) {
+                    //Fetch clean model from persistence
+                    return self.persistenceCapability.refresh().then(function (result) {
+                        self.persistPending = false;
+                        return result;
+                    });
+                } else {
                     self.persistPending = false;
-                    return result;
-                });
+                    //Model is undefined in persistence, so return undefined.
+                    return self.$q.when(undefined);
+                }
             }
 
             if (this.transactionService.isActive()) {
diff --git a/platform/commonUI/edit/test/capabilities/TransactionalPersistenceCapabilitySpec.js b/platform/commonUI/edit/test/capabilities/TransactionalPersistenceCapabilitySpec.js
index 63a9119826..70ad3d8a20 100644
--- a/platform/commonUI/edit/test/capabilities/TransactionalPersistenceCapabilitySpec.js
+++ b/platform/commonUI/edit/test/capabilities/TransactionalPersistenceCapabilitySpec.js
@@ -57,6 +57,15 @@ define(
                 );
                 mockPersistence.persist.andReturn(fastPromise());
                 mockPersistence.refresh.andReturn(fastPromise());
+
+                mockDomainObject = jasmine.createSpyObj(
+                    "domainObject",
+                    [
+                        "getModel"
+                    ]
+                );
+                mockDomainObject.getModel.andReturn({persisted: 1});
+
                 capability = new TransactionalPersistenceCapability(mockQ, mockTransactionService, mockPersistence, mockDomainObject);
             });
 
@@ -78,6 +87,20 @@ define(
                 expect(mockPersistence.refresh).toHaveBeenCalled();
             });
 
+            it("if transaction is active, cancel call is queued that refreshes model when appropriate", function () {
+                mockTransactionService.isActive.andReturn(true);
+                capability.persist();
+                expect(mockTransactionService.addToTransaction).toHaveBeenCalled();
+
+                mockDomainObject.getModel.andReturn({});
+                mockTransactionService.addToTransaction.mostRecentCall.args[1]();
+                expect(mockPersistence.refresh).not.toHaveBeenCalled();
+
+                mockDomainObject.getModel.andReturn({persisted: 1});
+                mockTransactionService.addToTransaction.mostRecentCall.args[1]();
+                expect(mockPersistence.refresh).toHaveBeenCalled();
+            });
+
             it("persist call is only added to transaction once", function () {
                 mockTransactionService.isActive.andReturn(true);
                 capability.persist();