diff --git a/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validation_test.go b/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validation_test.go
index 5a2f0ba892..f9a965ee08 100644
--- a/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validation_test.go
+++ b/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validation_test.go
@@ -2788,3 +2788,54 @@ func TestContractUpgradeIsRepresentable(t *testing.T) {
 	test(true)
 	test(false)
 }
+
+func TestContractUpgrade(t *testing.T) {
+
+	t.Parallel()
+
+	const oldCode = `
+        access(all)
+        contract Test {
+
+            access(all)
+            resource A {
+
+                access(self)
+                // NOTE: undefined type
+                let cap: Capability<&B{Undefined}>
+            }
+
+            access(all)
+            resource B {}
+        }
+    `
+
+	const newCode = `
+        access(all)
+        contract Test {
+
+            access(all)
+            entitlement E
+
+            access(all)
+            resource A {
+
+                access(self)
+                let cap: Capability<auth(E) &B>
+
+                init(cap: Capability<auth(E) &B>) {
+                    self.cap = cap
+                }
+            }
+
+            access(all)
+            resource B {}
+        }
+    `
+
+	err := testContractUpdate(t, oldCode, newCode)
+	require.Error(t, err)
+
+	cause := getSingleContractUpdateErrorCause(t, err, "Test")
+	assertFieldAuthorizationMismatchError(t, cause, "A", "cap", "all", "E")
+}
diff --git a/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validator.go b/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validator.go
index 7cc5870309..1a9a0d1658 100644
--- a/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validator.go
+++ b/runtime/stdlib/cadence_v0.42_to_v1_contract_upgrade_validator.go
@@ -241,8 +241,12 @@ func (validator *CadenceV042ToV1ContractUpdateValidator) getInterfaceType(intf *
 func (validator *CadenceV042ToV1ContractUpdateValidator) getIntersectedInterfaces(
 	intersection []*ast.NominalType,
 ) (interfaceTypes []*sema.InterfaceType) {
-	for _, interfaceType := range intersection {
-		interfaceTypes = append(interfaceTypes, validator.getInterfaceType(interfaceType))
+	for _, astInterfaceType := range intersection {
+		interfaceType := validator.getInterfaceType(astInterfaceType)
+		if interfaceType == nil {
+			continue
+		}
+		interfaceTypes = append(interfaceTypes, interfaceType)
 	}
 	return
 }
@@ -289,6 +293,10 @@ func (validator *CadenceV042ToV1ContractUpdateValidator) expectedAuthorizationOf
 	// been a restricted type with no legacy type
 	interfaces := validator.getIntersectedInterfaces(intersectionTypes)
 
+	if len(interfaces) == 0 {
+		return sema.UnauthorizedAccess
+	}
+
 	intersectionType := sema.NewIntersectionType(nil, nil, interfaces)
 
 	return intersectionType.SupportedEntitlements().Access()