diff --git a/contracts/events/src/event_ops.rs b/contracts/events/src/event_ops.rs
index 54ab7d6..9961690 100644
--- a/contracts/events/src/event_ops.rs
+++ b/contracts/events/src/event_ops.rs
@@ -192,6 +192,10 @@ pub fn propose_manager(env: &Env, event_id: u64, new_manager: Address) -> Result
     let event = storage::get_event(env, event_id).ok_or(Error::EventNotFound)?;
     resolve_manager(env, event_id, &event.owner).require_auth();
 
+    if storage::get_pending_manager(env, event_id).is_some() {
+        evt::PendingManagerCancelled { event_id }.publish(env);
+    }
+
     let expires_at = env
         .ledger()
         .sequence()
diff --git a/contracts/events/src/tests/cross_contract.rs b/contracts/events/src/tests/cross_contract.rs
index f4ab428..3cf3789 100644
--- a/contracts/events/src/tests/cross_contract.rs
+++ b/contracts/events/src/tests/cross_contract.rs
@@ -1076,6 +1076,22 @@ fn manager_can_be_rotated_via_propose_accept() {
     assert_eq!(ctx.events.get_manager(&id), manager2);
 }
 
+#[test]
+fn propose_manager_emits_cancellation_when_replacing_pending_proposal() {
+    let ctx = setup();
+    let manager1 = Address::generate(&ctx.env);
+    let id = create_bounty_with_manager(&ctx, &manager1);
+    assert!(ctx.events.get_pending_manager(&id).is_some());
+
+    let manager2 = Address::generate(&ctx.env);
+    ctx.events.propose_manager(&id, &manager2);
+    let pending = ctx.events.get_pending_manager(&id).unwrap();
+    assert_eq!(pending.target, manager2);
+
+    ctx.events.accept_manager(&id);
+    assert_eq!(ctx.events.get_manager(&id), manager2);
+}
+
 #[test]
 fn cancel_pending_manager_vetoes_a_proposal() {
     let ctx = setup();