diff --git a/src/engine/net/client/handlers/DismissGuildHandler.java b/src/engine/net/client/handlers/DismissGuildHandler.java
index 02957ce1..10dd32e3 100644
--- a/src/engine/net/client/handlers/DismissGuildHandler.java
+++ b/src/engine/net/client/handlers/DismissGuildHandler.java
@@ -85,8 +85,8 @@ public class DismissGuildHandler extends AbstractClientMsgHandler {
                     return true;
                 }
                 nation.getSubGuildList().remove(toDismiss);
-                toDismiss.downgradeGuildState();
-                toDismiss.setNation(null);
+                toDismiss.guildState = mbEnums.GuildState.Errant;
+                toDismiss.setNation(Guild.getErrantNation());
                 GuildManager.updateAllGuildBinds(toDismiss, null);
 
                 break;
@@ -96,24 +96,32 @@ public class DismissGuildHandler extends AbstractClientMsgHandler {
                     return true;
                 }
                 nation.getSubGuildList().remove(toDismiss);
-                toDismiss.downgradeGuildState();
+                toDismiss.guildState = mbEnums.GuildState.Sovereign;
                 toDismiss.setNation(toDismiss);
 
                 break;
             case Petitioner:
                 nation.getSubGuildList().remove(toDismiss);
-                toDismiss.downgradeGuildState();
+                if (toDismiss.getNation().isEmptyGuild()) {
+                    toDismiss.guildState = mbEnums.GuildState.Errant;
+                    toDismiss.setNation(Guild.getErrantNation());
+                } else {
+                    toDismiss.guildState = mbEnums.GuildState.Sovereign;
+                    toDismiss.setNation(toDismiss);
+                }
                 break;
             case Protectorate:
                 nation.getSubGuildList().remove(toDismiss);
-                toDismiss.downgradeGuildState();
+                toDismiss.guildState = mbEnums.GuildState.Sovereign;
+                ;
+                toDismiss.setNation(toDismiss);
                 break;
         }
 
         GuildManager.updateAllGuildTags(toDismiss);
 
         if (nation.getSubGuildList().isEmpty())
-            nation.downgradeGuildState();
+            nation.guildState = mbEnums.GuildState.Sovereign;
 
         SendGuildEntryMsg msg = new SendGuildEntryMsg(player);
         dispatch = Dispatch.borrow(player, msg);