diff --git a/core/src/main/java/com/netflix/conductor/core/utils/ExternalPayloadStorageUtils.java b/core/src/main/java/com/netflix/conductor/core/utils/ExternalPayloadStorageUtils.java
index 68c1c81ff2..faf191d916 100644
--- a/core/src/main/java/com/netflix/conductor/core/utils/ExternalPayloadStorageUtils.java
+++ b/core/src/main/java/com/netflix/conductor/core/utils/ExternalPayloadStorageUtils.java
@@ -192,6 +192,8 @@ public <T> void verifyAndUpload(T entity, PayloadType payloadType) {
             }
         } catch (TransientException te) {
             throw te;
+        } catch (TerminateWorkflowException twe) {
+            throw twe;
         } catch (Exception e) {
             LOGGER.error(
                     "Unable to upload payload to external storage for workflow: {}", workflowId, e);
diff --git a/test-harness/src/test/groovy/com/netflix/conductor/test/integration/ExternalPayloadStorageSpec.groovy b/test-harness/src/test/groovy/com/netflix/conductor/test/integration/ExternalPayloadStorageSpec.groovy
index dfa5394720..599adad48a 100644
--- a/test-harness/src/test/groovy/com/netflix/conductor/test/integration/ExternalPayloadStorageSpec.groovy
+++ b/test-harness/src/test/groovy/com/netflix/conductor/test/integration/ExternalPayloadStorageSpec.groovy
@@ -852,6 +852,104 @@ class ExternalPayloadStorageSpec extends AbstractSpecification {
         }
     }
 
+    def "Test fork join workflow exceed external storage limit should fail the task and workflow"() {
+
+        given: "An existing fork join workflow definition"
+        metadataService.getWorkflowDef(FORK_JOIN_WF, 1)
+
+        and: "input required to start large payload workflow"
+        def correlationId = 'fork_join_external_storage'
+        String workflowInputPath = uploadInitialWorkflowInput()
+
+        when: "the workflow is started"
+        def workflowInstanceId = startWorkflow(FORK_JOIN_WF, 1, correlationId, null, workflowInputPath)
+
+        then: "verify that the workflow is in a RUNNING state"
+        with(workflowExecutionService.getExecutionStatus(workflowInstanceId, true)) {
+            status == Workflow.WorkflowStatus.RUNNING
+            tasks.size() == 4
+            tasks[0].status == Task.Status.COMPLETED
+            tasks[0].taskType == 'FORK'
+            tasks[1].status == Task.Status.SCHEDULED
+            tasks[1].taskType == 'integration_task_1'
+            tasks[2].status == Task.Status.SCHEDULED
+            tasks[2].taskType == 'integration_task_2'
+            tasks[3].status == Task.Status.IN_PROGRESS
+            tasks[3].taskType == 'JOIN'
+        }
+
+        when: "the first task of the left fork is polled and completed"
+        def polledAndAckTask = workflowTestUtil.pollAndCompleteTask('integration_task_1', 'task1.integration.worker')
+
+        then: "verify that the 'integration_task_1' was polled and acknowledged"
+        verifyPolledAndAcknowledgedTask(polledAndAckTask)
+
+        and: "task is completed and the next task in the fork is scheduled"
+        with(workflowExecutionService.getExecutionStatus(workflowInstanceId, true)) {
+            status == Workflow.WorkflowStatus.RUNNING
+            tasks.size() == 5
+            tasks[0].status == Task.Status.COMPLETED
+            tasks[0].taskType == 'FORK'
+            tasks[1].status == Task.Status.COMPLETED
+            tasks[1].taskType == 'integration_task_1'
+            tasks[2].status == Task.Status.SCHEDULED
+            tasks[2].taskType == 'integration_task_2'
+            tasks[3].status == Task.Status.IN_PROGRESS
+            tasks[3].taskType == 'JOIN'
+            tasks[4].status == Task.Status.SCHEDULED
+            tasks[4].taskType == 'integration_task_3'
+        }
+
+        when: "the first task of the right fork is polled and completed with external payload storage"
+        String taskOutputPath = "${UUID.randomUUID()}.json"
+        mockExternalPayloadStorage.upload(taskOutputPath, mockExternalPayloadStorage.createLargePayload(500))
+        def polledAndAckLargePayloadTask = workflowTestUtil.pollAndCompleteLargePayloadTask('integration_task_2', 'task2.integration.worker', taskOutputPath)
+
+        then: "verify that the 'integration_task_2' was polled and acknowledged"
+        verifyPolledAndAcknowledgedLargePayloadTask(polledAndAckLargePayloadTask)
+
+        and: "task is completed and the workflow is in running state"
+        with(workflowExecutionService.getExecutionStatus(workflowInstanceId, true)) {
+            status == Workflow.WorkflowStatus.RUNNING
+            tasks.size() == 5
+            tasks[0].status == Task.Status.COMPLETED
+            tasks[0].taskType == 'FORK'
+            tasks[1].status == Task.Status.COMPLETED
+            tasks[1].taskType == 'integration_task_1'
+            tasks[2].status == Task.Status.COMPLETED
+            tasks[2].taskType == 'integration_task_2'
+            tasks[3].status == Task.Status.IN_PROGRESS
+            tasks[3].taskType == 'JOIN'
+            tasks[4].status == Task.Status.SCHEDULED
+            tasks[4].taskType == 'integration_task_3'
+        }
+
+        when: "the second task of the left fork is polled and completed with external payload storage"
+        taskOutputPath = "${UUID.randomUUID()}.json"
+        mockExternalPayloadStorage.upload(taskOutputPath, mockExternalPayloadStorage.createLargePayload(500))
+        polledAndAckLargePayloadTask = workflowTestUtil.pollAndCompleteLargePayloadTask('integration_task_3', 'task3.integration.worker', taskOutputPath)
+
+        then: "verify that the 'integration_task_3' was polled and acknowledged"
+        verifyPolledAndAcknowledgedLargePayloadTask(polledAndAckLargePayloadTask)
+
+        and: "task is completed and the join task is failed because of exceeding size limit"
+        Thread.sleep(5000L)
+        with(workflowExecutionService.getExecutionStatus(workflowInstanceId, true)) {
+            status == Workflow.WorkflowStatus.FAILED
+            tasks.size() == 5
+            tasks[0].status == Task.Status.COMPLETED
+            tasks[0].taskType == 'FORK'
+            tasks[1].status == Task.Status.COMPLETED
+            tasks[1].taskType == 'integration_task_1'
+            tasks[2].status == Task.Status.COMPLETED
+            tasks[2].taskType == 'integration_task_2'
+            tasks[2].outputData.isEmpty()
+            tasks[3].status == Task.Status.FAILED_WITH_TERMINAL_ERROR
+            tasks[3].taskType == 'JOIN'
+            tasks[3].outputData.isEmpty()
+        }
+    }
+
     private String uploadLargeTaskOutput() {
         String taskOutputPath = "${UUID.randomUUID()}.json"
         mockExternalPayloadStorage.upload(taskOutputPath, mockExternalPayloadStorage.readOutputDotJson(), 0)
diff --git a/test-harness/src/test/java/com/netflix/conductor/test/utils/MockExternalPayloadStorage.java b/test-harness/src/test/java/com/netflix/conductor/test/utils/MockExternalPayloadStorage.java
index e004c24369..f93baf6d25 100644
--- a/test-harness/src/test/java/com/netflix/conductor/test/utils/MockExternalPayloadStorage.java
+++ b/test-harness/src/test/java/com/netflix/conductor/test/utils/MockExternalPayloadStorage.java
@@ -168,4 +168,19 @@ public Map<String, Object> downloadPayload(String path) {
         }
         return new HashMap<>();
     }
+
+    public Map<String, Object> createLargePayload(int repeat) {
+        Map<String, Object> largePayload = new HashMap<>();
+        try {
+            InputStream inputStream = readOutputDotJson();
+            Map<String, Object> payload = objectMapper.readValue(inputStream, Map.class);
+            for (int i = 0; i < repeat; i++) {
+                largePayload.put(String.valueOf(i), payload);
+            }
+        } catch (IOException e) {
+            // just handle this exception here and return empty map so that test will fail in case
+            // this exception is thrown
+        }
+        return largePayload;
+    }
 }