diff --git a/drivers/net/ethernet/ibm/ibmvnic.c b/drivers/net/ethernet/ibm/ibmvnic.c
index c3079f436f6d..0f35eec967ae 100644
--- a/drivers/net/ethernet/ibm/ibmvnic.c
+++ b/drivers/net/ethernet/ibm/ibmvnic.c
@@ -4595,7 +4595,22 @@ static void ibmvnic_handle_crq(union ibmvnic_crq *crq,
 				complete(&adapter->init_done);
 				adapter->init_done_rc = -EIO;
 			}
-			ibmvnic_reset(adapter, VNIC_RESET_FAILOVER);
+			rc = ibmvnic_reset(adapter, VNIC_RESET_FAILOVER);
+			if (rc && rc != -EBUSY) {
+				/* We were unable to schedule the failover
+				 * reset either because the adapter was still
+				 * probing (eg: during kexec) or we could not
+				 * allocate memory. Clear the failover_pending
+				 * flag since no one else will. We ignore
+				 * EBUSY because it means either FAILOVER reset
+				 * is already scheduled or the adapter is
+				 * being removed.
+				 */
+				netdev_err(netdev,
+					   "Error %ld scheduling failover reset\n",
+					   rc);
+				adapter->failover_pending = false;
+			}
 			break;
 		case IBMVNIC_CRQ_INIT_COMPLETE:
 			dev_info(dev, "Partner initialization complete\n");