diff --git a/drivers/misc/habanalabs/common/command_submission.c b/drivers/misc/habanalabs/common/command_submission.c
index f7fac82ac41d..3affb350070c 100644
--- a/drivers/misc/habanalabs/common/command_submission.c
+++ b/drivers/misc/habanalabs/common/command_submission.c
@@ -479,6 +479,9 @@ static int allocate_cs(struct hl_device *hdev, struct hl_ctx *ctx,
 		return -ENOMEM;
 	}
 
+	/* increment refcnt for context */
+	hl_ctx_get(hdev, ctx);
+
 	cs->ctx = ctx;
 	cs->submitted = false;
 	cs->completed = false;
@@ -550,6 +553,7 @@ free_fence:
 	kfree(cs_cmpl);
 free_cs:
 	kfree(cs);
+	hl_ctx_put(ctx);
 	return rc;
 }
 
@@ -827,14 +831,9 @@ static int cs_ioctl_default(struct hl_fpriv *hpriv, void __user *chunks,
 	if (rc)
 		goto out;
 
-	/* increment refcnt for context */
-	hl_ctx_get(hdev, hpriv->ctx);
-
 	rc = allocate_cs(hdev, hpriv->ctx, CS_TYPE_DEFAULT, &cs);
-	if (rc) {
-		hl_ctx_put(hpriv->ctx);
+	if (rc)
 		goto free_cs_chunk_array;
-	}
 
 	cs->timestamp = !!(flags & HL_CS_FLAGS_TIMESTAMP);
 	*cs_seq = cs->sequence;
@@ -1276,15 +1275,11 @@ static int cs_ioctl_signal_wait(struct hl_fpriv *hpriv, enum hl_cs_type cs_type,
 		}
 	}
 
-	/* increment refcnt for context */
-	hl_ctx_get(hdev, ctx);
-
 	rc = allocate_cs(hdev, ctx, cs_type, &cs);
 	if (rc) {
 		if (cs_type == CS_TYPE_WAIT ||
 			cs_type == CS_TYPE_COLLECTIVE_WAIT)
 			hl_fence_put(sig_fence);
-		hl_ctx_put(ctx);
 		goto free_cs_chunk_array;
 	}