diff --git a/mvnw b/mvnw
old mode 100644
new mode 100755
diff --git a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/FlagdProvider.java b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/FlagdProvider.java
index bed6c8380..24f614656 100644
--- a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/FlagdProvider.java
+++ b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/FlagdProvider.java
@@ -80,7 +80,7 @@ public synchronized void initialize(EvaluationContext evaluationContext) throws
 
     @Override
     public synchronized void shutdown() {
-        if (!initialized) {
+        if (!this.initialized) {
             return;
         }
 
@@ -162,6 +162,12 @@ private void handleStateTransition(ProviderState oldState, ProviderState newStat
             log.debug("Init completed");
             return;
         }
+        // we got shutdown, not checking oldState as behavior remains the same for shutdown 
+        if (ProviderState.NOT_READY.equals(newState)) {
+            // nothing to do
+            log.debug("shutdown completed");
+            return;
+        }
         // configuration changed
         if (ProviderState.READY.equals(oldState) && ProviderState.READY.equals(newState)) {
             log.debug("Configuration changed");
diff --git a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/grpc/GrpcConnector.java b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/grpc/GrpcConnector.java
index 1f89e260e..290ba3669 100644
--- a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/grpc/GrpcConnector.java
+++ b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/grpc/GrpcConnector.java
@@ -100,6 +100,7 @@ public void shutdown() throws Exception {
                 this.channel.awaitTermination(this.deadline, TimeUnit.MILLISECONDS);
                 log.warn(String.format("Unable to shut down channel by %d deadline", this.deadline));
             }
+            this.stateConsumer.accept(ProviderState.NOT_READY);
         }
     }
 
diff --git a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/process/InProcessResolver.java b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/process/InProcessResolver.java
index 358b7cd6c..e62a9fd49 100644
--- a/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/process/InProcessResolver.java
+++ b/providers/flagd/src/main/java/dev/openfeature/contrib/providers/flagd/resolver/process/InProcessResolver.java
@@ -100,6 +100,7 @@ public void init() throws Exception {
     public void shutdown() throws InterruptedException {
         flagStore.shutdown();
         this.connected.set(false);
+        stateConsumer.accept(ProviderState.NOT_READY);
     }
 
     /**
diff --git a/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/FlagdProviderTest.java b/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/FlagdProviderTest.java
index 3235b0d50..fede10600 100644
--- a/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/FlagdProviderTest.java
+++ b/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/FlagdProviderTest.java
@@ -8,6 +8,7 @@
 import static org.mockito.ArgumentMatchers.any;
 import static org.mockito.ArgumentMatchers.anyLong;
 import static org.mockito.ArgumentMatchers.argThat;
+import static org.mockito.Mockito.doAnswer;
 import static org.mockito.Mockito.mock;
 import static org.mockito.Mockito.mockStatic;
 import static org.mockito.Mockito.times;
@@ -16,15 +17,18 @@
 
 import java.lang.reflect.Field;
 import java.util.ArrayList;
+import java.util.Arrays;
 import java.util.HashMap;
 import java.util.List;
 import java.util.Map;
 import java.util.concurrent.TimeUnit;
 import java.util.function.Supplier;
+import java.util.concurrent.LinkedBlockingQueue;
 
 import org.junit.jupiter.api.BeforeAll;
 import org.junit.jupiter.api.Test;
 import org.mockito.MockedStatic;
+import org.mockito.Mockito;
 
 import com.google.protobuf.Struct;
 
@@ -32,6 +36,10 @@
 import dev.openfeature.contrib.providers.flagd.resolver.grpc.GrpcConnector;
 import dev.openfeature.contrib.providers.flagd.resolver.grpc.GrpcResolver;
 import dev.openfeature.contrib.providers.flagd.resolver.grpc.cache.Cache;
+import dev.openfeature.contrib.providers.flagd.resolver.process.InProcessResolver;
+import dev.openfeature.contrib.providers.flagd.resolver.process.MockStorage;
+import dev.openfeature.contrib.providers.flagd.resolver.process.model.FeatureFlag;
+import dev.openfeature.contrib.providers.flagd.resolver.process.storage.StorageState;
 import dev.openfeature.flagd.grpc.evaluation.ServiceGrpc;
 import dev.openfeature.flagd.grpc.evaluation.Evaluation.ResolveBooleanRequest;
 import dev.openfeature.flagd.grpc.evaluation.Evaluation.ResolveBooleanResponse;
@@ -824,6 +832,43 @@ void initializationAndShutdown() throws Exception{
         verify(resolverMock, times(1)).shutdown();
     }
 
+    @Test
+    void test_state_on_grpc_resolver_shutdown() throws Exception {
+        // setup mock provider
+        final FlagdProvider grpcProvider = Mockito.spy(FlagdProvider.class);
+        try {
+            doAnswer(invocation -> {
+                final Field stateField = FlagdProvider.class.getDeclaredField("state");
+                stateField.setAccessible(true);
+                stateField.set(grpcProvider, ProviderState.READY);
+
+                final Field intializedField = FlagdProvider.class.getDeclaredField("initialized");
+                intializedField.setAccessible(true);
+                intializedField.set(grpcProvider, true);
+
+                return null;
+            }).when(grpcProvider).initialize(any());
+        } catch (Exception e) {
+            throw new RuntimeException(e);
+        }
+
+        grpcProvider.initialize(new ImmutableContext());
+        assertEquals(ProviderState.READY, grpcProvider.getState());
+        grpcProvider.shutdown();
+        assertEquals(ProviderState.NOT_READY, grpcProvider.getState());
+    }
+
+    @Test
+    void test_state_on_in_process_resolver_shutdown() throws Exception {
+        // setup mock in-process provider
+        FlagdProvider inProcessProvider = createInProcessProvider();
+
+        inProcessProvider.initialize(new ImmutableContext());
+        assertEquals(ProviderState.READY, inProcessProvider.getState());
+        inProcessProvider.shutdown();
+        assertEquals(ProviderState.NOT_READY, inProcessProvider.getState());
+    }
+
 
     // test helper
 
@@ -863,4 +908,29 @@ private FlagdProvider createProvider(GrpcConnector grpc, Cache cache, Supplier<P
         return provider;
     }
 
+    // Create an in process provider
+    private FlagdProvider createInProcessProvider() {
+
+        final FlagdOptions flagdOptions = FlagdOptions.builder()
+                .resolverType(Config.Resolver.IN_PROCESS)
+                .deadline(1000)
+                .build();
+        final FlagdProvider provider = new FlagdProvider(flagdOptions);
+        final MockStorage mockStorage = new MockStorage(new HashMap<String, FeatureFlag>(), new LinkedBlockingQueue<StorageState>(Arrays.asList(StorageState.OK)));
+        
+        try {
+            final Field flagResolver = FlagdProvider.class.getDeclaredField("flagResolver");
+            flagResolver.setAccessible(true);
+            final Resolver resolver = (Resolver) flagResolver.get(provider);
+
+            final Field flagStore = InProcessResolver.class.getDeclaredField("flagStore");
+            flagStore.setAccessible(true);
+            flagStore.set(resolver, mockStorage);
+        } catch (NoSuchFieldException | IllegalAccessException e) {
+            throw new RuntimeException(e);
+        }
+
+        return provider;
+    }
+
 }
diff --git a/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/resolver/process/MockStorage.java b/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/resolver/process/MockStorage.java
index 2219b02b9..04c043bf4 100644
--- a/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/resolver/process/MockStorage.java
+++ b/providers/flagd/src/test/java/dev/openfeature/contrib/providers/flagd/resolver/process/MockStorage.java
@@ -8,17 +8,17 @@
 import java.util.Map;
 import java.util.concurrent.BlockingQueue;
 
-class MockStorage implements Storage {
+public class MockStorage implements Storage {
 
     private final Map<String, FeatureFlag> mockFlags;
     private final BlockingQueue<StorageState> mockQueue;
 
-    MockStorage(Map<String, FeatureFlag> mockFlags, BlockingQueue<StorageState> mockQueue) {
+    public MockStorage(Map<String, FeatureFlag> mockFlags, BlockingQueue<StorageState> mockQueue) {
         this.mockFlags = mockFlags;
         this.mockQueue = mockQueue;
     }
 
-    MockStorage(Map<String, FeatureFlag> flagMap) {
+    public MockStorage(Map<String, FeatureFlag> flagMap) {
         this.mockFlags = flagMap;
         this.mockQueue = null;
     }