diff --git a/irohad/multi_sig_transactions/impl/mst_processor_impl.cpp b/irohad/multi_sig_transactions/impl/mst_processor_impl.cpp
index 3d71e7aa87..9a58cbb75a 100644
--- a/irohad/multi_sig_transactions/impl/mst_processor_impl.cpp
+++ b/irohad/multi_sig_transactions/impl/mst_processor_impl.cpp
@@ -86,10 +86,12 @@ namespace iroha {
   // -------------------| MstTransportNotification override |-------------------
 
   void FairMstProcessor::onNewState(const shared_model::crypto::PublicKey &from,
-                                    ConstRefState new_state) {
+                                    MstState new_state) {
     log_->info("Applying new state");
     auto current_time = time_provider_->getCurrentTime();
 
+    // no need to add already expired batches to local state
+    new_state.eraseExpired(current_time);
     auto state_update = storage_->apply(from, new_state);
 
     // updated batches
@@ -101,7 +103,8 @@ namespace iroha {
     completedBatchesNotify(*state_update.completed_state_);
 
     // expired batches
-    expiredBatchesNotify(storage_->getDiffState(from, current_time));
+    // not nesessary to do it right here, just use the occasion to clean storage
+    expiredBatchesNotify(storage_->extractExpiredTransactions(current_time));
   }
 
   // -----------------------------| private api |-----------------------------
diff --git a/irohad/multi_sig_transactions/mst_processor_impl.hpp b/irohad/multi_sig_transactions/mst_processor_impl.hpp
index 6cf3aca34f..d16130448e 100644
--- a/irohad/multi_sig_transactions/mst_processor_impl.hpp
+++ b/irohad/multi_sig_transactions/mst_processor_impl.hpp
@@ -55,7 +55,7 @@ namespace iroha {
     // ------------------| MstTransportNotification override |------------------
 
     void onNewState(const shared_model::crypto::PublicKey &from,
-                    ConstRefState new_state) override;
+                    MstState new_state) override;
 
     // ----------------------------| end override |-----------------------------
 
diff --git a/irohad/network/mst_transport.hpp b/irohad/network/mst_transport.hpp
index f238f40d49..dc6d8aa6d6 100644
--- a/irohad/network/mst_transport.hpp
+++ b/irohad/network/mst_transport.hpp
@@ -23,9 +23,8 @@ namespace iroha {
        * @param from - key of the peer emitted the state
        * @param new_state - state propagated from peer
        */
-      virtual void onNewState(
-          const shared_model::crypto::PublicKey &from,
-          const MstState &new_state) = 0;
+      virtual void onNewState(const shared_model::crypto::PublicKey &from,
+                              MstState new_state) = 0;
 
       virtual ~MstTransportNotification() = default;
     };
diff --git a/test/module/irohad/multi_sig_transactions/mst_mocks.hpp b/test/module/irohad/multi_sig_transactions/mst_mocks.hpp
index fbdbfee445..0e9bfbeae3 100644
--- a/test/module/irohad/multi_sig_transactions/mst_mocks.hpp
+++ b/test/module/irohad/multi_sig_transactions/mst_mocks.hpp
@@ -33,7 +33,7 @@ namespace iroha {
    public:
     MOCK_METHOD2(onNewState,
                  void(const shared_model::crypto::PublicKey &from,
-                      const MstState &state));
+                      MstState state));
   };
 
   /**
diff --git a/test/module/irohad/multi_sig_transactions/mst_processor_test.cpp b/test/module/irohad/multi_sig_transactions/mst_processor_test.cpp
index 4e4aacd004..0fee0420f1 100644
--- a/test/module/irohad/multi_sig_transactions/mst_processor_test.cpp
+++ b/test/module/irohad/multi_sig_transactions/mst_processor_test.cpp
@@ -319,3 +319,30 @@ TEST_F(MstProcessorTest, emptyStatePropagation) {
       another_peer};
   propagation_subject.get_subscriber().on_next(peers);
 }
+
+/**
+ * @given initialized mst processor with empty state
+ *
+ * @when received other peer's state containing an outdated batch
+ *
+ * @then check that transport was not invoked
+ * @and queues are not pushed to
+ * @and the batch does not get into our state
+ */
+TEST_F(MstProcessorTest, receivedOutdatedState) {
+  // ---------------------------------| then |----------------------------------
+  EXPECT_CALL(*transport, sendState(_, _)).Times(0);
+  auto observers = initObservers(mst_processor, 0, 0, 0);
+
+  // ---------------------------------| when |----------------------------------
+  shared_model::crypto::PublicKey another_peer_key("another_pubkey");
+  auto transported_state = MstState::empty(getTestLogger("MstState"),
+                                           std::make_shared<TestCompleter>());
+  const auto expired_batch = makeTestBatch(txBuilder(1, time_before, 3));
+  transported_state += addSignaturesFromKeyPairs(expired_batch, 0, makeKey());
+  mst_processor->onNewState(another_peer_key, transported_state);
+
+  // ---------------------------------| then |----------------------------------
+  EXPECT_FALSE(storage->batchInStorage(expired_batch));
+  check(observers);
+}