diff --git a/libs/common/src/vault/abstractions/cipher.service.ts b/libs/common/src/vault/abstractions/cipher.service.ts
index 88cd476606..2e34f0ac60 100644
--- a/libs/common/src/vault/abstractions/cipher.service.ts
+++ b/libs/common/src/vault/abstractions/cipher.service.ts
@@ -93,7 +93,7 @@ export abstract class CipherService implements UserKeyRotationDataProvider<Ciphe
     organizationId: string,
     collectionIds: string[],
     userId: UserId,
-  ) => Promise<any>;
+  ) => Promise<Cipher>;
   shareManyWithServer: (
     ciphers: CipherView[],
     organizationId: string,
diff --git a/libs/common/src/vault/services/cipher.service.ts b/libs/common/src/vault/services/cipher.service.ts
index fe946fbb06..b1cdf72e08 100644
--- a/libs/common/src/vault/services/cipher.service.ts
+++ b/libs/common/src/vault/services/cipher.service.ts
@@ -786,7 +786,7 @@ export class CipherService implements CipherServiceAbstraction {
     organizationId: string,
     collectionIds: string[],
     userId: UserId,
-  ): Promise<any> {
+  ): Promise<Cipher> {
     const attachmentPromises: Promise<any>[] = [];
     if (cipher.attachments != null) {
       cipher.attachments.forEach((attachment) => {
@@ -806,6 +806,7 @@ export class CipherService implements CipherServiceAbstraction {
     const response = await this.apiService.putShareCipher(cipher.id, request);
     const data = new CipherData(response, collectionIds);
     await this.upsert(data);
+    return new Cipher(data, cipher.localData);
   }
 
   async shareManyWithServer(
diff --git a/libs/vault/src/cipher-form/components/item-details/item-details-section.component.spec.ts b/libs/vault/src/cipher-form/components/item-details/item-details-section.component.spec.ts
index ee1f27b712..26f967e4a5 100644
--- a/libs/vault/src/cipher-form/components/item-details/item-details-section.component.spec.ts
+++ b/libs/vault/src/cipher-form/components/item-details/item-details-section.component.spec.ts
@@ -157,8 +157,11 @@ describe("ItemDetailsSectionComponent", () => {
   });
 
   describe("allowOwnershipChange", () => {
-    it("should not allow ownership change in edit mode", () => {
+    it("should not allow ownership change if in edit mode and the cipher is owned by an organization", () => {
       component.config.mode = "edit";
+      component.originalCipherView = {
+        organizationId: "org1",
+      } as CipherView;
       expect(component.allowOwnershipChange).toBe(false);
     });
 
@@ -195,6 +198,7 @@ describe("ItemDetailsSectionComponent", () => {
     it("should show personal ownership when the configuration allows", () => {
       component.config.mode = "edit";
       component.config.allowPersonalOwnership = true;
+      component.originalCipherView = {} as CipherView;
       component.config.organizations = [{ id: "134-433-22" } as Organization];
       fixture.detectChanges();
 
@@ -208,6 +212,7 @@ describe("ItemDetailsSectionComponent", () => {
     it("should show personal ownership when the control is disabled", async () => {
       component.config.mode = "edit";
       component.config.allowPersonalOwnership = false;
+      component.originalCipherView = {} as CipherView;
       component.config.organizations = [{ id: "134-433-22" } as Organization];
       await component.ngOnInit();
       fixture.detectChanges();
diff --git a/libs/vault/src/cipher-form/components/item-details/item-details-section.component.ts b/libs/vault/src/cipher-form/components/item-details/item-details-section.component.ts
index a01d25f060..e6799c54cb 100644
--- a/libs/vault/src/cipher-form/components/item-details/item-details-section.component.ts
+++ b/libs/vault/src/cipher-form/components/item-details/item-details-section.component.ts
@@ -150,8 +150,8 @@ export class ItemDetailsSectionComponent implements OnInit {
   }
 
   get allowOwnershipChange() {
-    // Do not allow ownership change in edit mode.
-    if (this.config.mode === "edit") {
+    // Do not allow ownership change in edit mode and the cipher is owned by an organization
+    if (this.config.mode === "edit" && this.originalCipherView.organizationId != null) {
       return false;
     }
 
diff --git a/libs/vault/src/cipher-form/services/default-cipher-form.service.ts b/libs/vault/src/cipher-form/services/default-cipher-form.service.ts
index 92a28f9b15..059214cc18 100644
--- a/libs/vault/src/cipher-form/services/default-cipher-form.service.ts
+++ b/libs/vault/src/cipher-form/services/default-cipher-form.service.ts
@@ -63,8 +63,16 @@ export class DefaultCipherFormService implements CipherFormService {
     const originalCollectionIds = new Set(config.originalCipher.collectionIds ?? []);
     const newCollectionIds = new Set(cipher.collectionIds ?? []);
 
-    // If the collectionIds are the same, update the cipher normally
-    if (isSetEqual(originalCollectionIds, newCollectionIds)) {
+    // Call shareWithServer if the owner is changing from a user to an organization
+    if (config.originalCipher.organizationId === null && cipher.organizationId != null) {
+      savedCipher = await this.cipherService.shareWithServer(
+        cipher,
+        cipher.organizationId,
+        cipher.collectionIds,
+        activeUserId,
+      );
+      // If the collectionIds are the same, update the cipher normally
+    } else if (isSetEqual(originalCollectionIds, newCollectionIds)) {
       savedCipher = await this.cipherService.updateWithServer(encryptedCipher, config.admin);
     } else {
       // Updating a cipher with collection changes is not supported with a single request currently