diff --git a/indexer/packages/v4-protos/src/codegen/dydxprotocol/indexer/protocol/v1/clob.ts b/indexer/packages/v4-protos/src/codegen/dydxprotocol/indexer/protocol/v1/clob.ts
index 92995bc19d..09c933e0d9 100644
--- a/indexer/packages/v4-protos/src/codegen/dydxprotocol/indexer/protocol/v1/clob.ts
+++ b/indexer/packages/v4-protos/src/codegen/dydxprotocol/indexer/protocol/v1/clob.ts
@@ -311,8 +311,9 @@ export enum ClobPairStatus {
   /**
    * CLOB_PAIR_STATUS_FINAL_SETTLEMENT - CLOB_PAIR_STATUS_FINAL_SETTLEMENT represents a clob pair that has been
    * deactivated. Clob pairs in this state do not accept new orders and trading
-   * is blocked. All open positions are closed by the protocol when the clob
-   * pair gains this status.
+   * is blocked. All open positions are closed and open stateful orders canceled
+   * by the protocol when the clob pair transitions to this status. All
+   * short-term orders are left to expire.
    */
   CLOB_PAIR_STATUS_FINAL_SETTLEMENT = 6,
   UNRECOGNIZED = -1,
@@ -360,8 +361,9 @@ export enum ClobPairStatusSDKType {
   /**
    * CLOB_PAIR_STATUS_FINAL_SETTLEMENT - CLOB_PAIR_STATUS_FINAL_SETTLEMENT represents a clob pair that has been
    * deactivated. Clob pairs in this state do not accept new orders and trading
-   * is blocked. All open positions are closed by the protocol when the clob
-   * pair gains this status.
+   * is blocked. All open positions are closed and open stateful orders canceled
+   * by the protocol when the clob pair transitions to this status. All
+   * short-term orders are left to expire.
    */
   CLOB_PAIR_STATUS_FINAL_SETTLEMENT = 6,
   UNRECOGNIZED = -1,
diff --git a/proto/dydxprotocol/indexer/protocol/v1/clob.proto b/proto/dydxprotocol/indexer/protocol/v1/clob.proto
index 60fd2b0367..b061dae39b 100644
--- a/proto/dydxprotocol/indexer/protocol/v1/clob.proto
+++ b/proto/dydxprotocol/indexer/protocol/v1/clob.proto
@@ -175,8 +175,8 @@ enum ClobPairStatus {
   CLOB_PAIR_STATUS_INITIALIZING = 5;
   // CLOB_PAIR_STATUS_FINAL_SETTLEMENT represents a clob pair that has been
   // deactivated. Clob pairs in this state do not accept new orders and trading
-  // is blocked. All open positions are closed by the protocol when the clob
-  // pair gains this status. All open stateful orders are closed and short-term
-  // orders are left to expire.
+  // is blocked. All open positions are closed and open stateful orders canceled
+  // by the protocol when the clob pair transitions to this status. All
+  // short-term orders are left to expire.
   CLOB_PAIR_STATUS_FINAL_SETTLEMENT = 6;
 }
diff --git a/protocol/indexer/protocol/v1/clob.pb.go b/protocol/indexer/protocol/v1/clob.pb.go
index a512c08e4c..1c4958743c 100644
--- a/protocol/indexer/protocol/v1/clob.pb.go
+++ b/protocol/indexer/protocol/v1/clob.pb.go
@@ -49,9 +49,9 @@ const (
 	ClobPairStatus_CLOB_PAIR_STATUS_INITIALIZING ClobPairStatus = 5
 	// CLOB_PAIR_STATUS_FINAL_SETTLEMENT represents a clob pair that has been
 	// deactivated. Clob pairs in this state do not accept new orders and trading
-	// is blocked. All open positions are closed by the protocol when the clob
-	// pair gains this status. All open stateful orders are closed and short-term
-	// orders are left to expire.
+	// is blocked. All open positions are closed and open stateful orders canceled
+	// by the protocol when the clob pair transitions to this status. All
+	// short-term orders are left to expire.
 	ClobPairStatus_CLOB_PAIR_STATUS_FINAL_SETTLEMENT ClobPairStatus = 6
 )
 
diff --git a/protocol/x/clob/keeper/clob_pair.go b/protocol/x/clob/keeper/clob_pair.go
index 2541a6d5f4..d9b1457f06 100644
--- a/protocol/x/clob/keeper/clob_pair.go
+++ b/protocol/x/clob/keeper/clob_pair.go
@@ -501,7 +501,7 @@ func (k Keeper) UpdateClobPair(
 
 	// If newly transitioning to final settlement, enter final settlement.
 	if newStatus == types.ClobPair_STATUS_FINAL_SETTLEMENT && oldStatus != newStatus {
-		k.mustEnterFinalSettlement(ctx, clobPair.GetClobPairId())
+		k.mustTransitionToFinalSettlement(ctx, clobPair.GetClobPairId())
 	}
 
 	return nil
diff --git a/protocol/x/clob/keeper/final_settlement.go b/protocol/x/clob/keeper/final_settlement.go
index 03f1145e8b..0ccf7b6b9e 100644
--- a/protocol/x/clob/keeper/final_settlement.go
+++ b/protocol/x/clob/keeper/final_settlement.go
@@ -8,13 +8,13 @@ import (
 	"github.com/dydxprotocol/v4-chain/protocol/x/clob/types"
 )
 
-// MustEnterFinalSettlement holds logic executed when a market transitions to FINAL_SETTLEMENT status.
+// mustTransitionToFinalSettlement holds logic executed when a market transitions to FINAL_SETTLEMENT status.
 // This function will forcefully cancel all stateful open orders for the clob pair.
-func (k Keeper) mustEnterFinalSettlement(ctx sdk.Context, clobPairId types.ClobPairId) {
-	// Forcefully cancel all stateful orders from state for this clob pair
+func (k Keeper) mustTransitionToFinalSettlement(ctx sdk.Context, clobPairId types.ClobPairId) {
+	// Forcefully cancel all stateful orders from state for this clob pair.
 	k.mustCancelStatefulOrdersForFinalSettlement(ctx, clobPairId)
 
-	// Delete untriggered conditional orders for this clob pair from memory
+	// Delete untriggered conditional orders for this clob pair from memory.
 	delete(k.UntriggeredConditionalOrders, clobPairId)
 }
 
@@ -42,29 +42,31 @@ func (k Keeper) mustCancelStatefulOrdersForFinalSettlement(ctx sdk.Context, clob
 
 	// TODO(CLOB-1053): Iterate over stateful orders for only specified clob pair
 	for _, order := range statefulOrders {
-		if order.GetClobPairId() == clobPairId {
-			// Remove from state, recovering from panic if necessary
-			safelyRemoveStatefulOrder(ctx, order.OrderId)
+		if order.GetClobPairId() != clobPairId {
+			continue
+		}
+
+		// Remove from state, recovering from panic if necessary
+		safelyRemoveStatefulOrder(ctx, order.OrderId)
 
-			// Append to RemovedStatefulOrderIds so this order gets removed
-			// from the memclob in PrepareCheckState during the PurgeInvalidMemclobState step
-			processProposerMatchesEvents.RemovedStatefulOrderIds = append(
-				processProposerMatchesEvents.RemovedStatefulOrderIds,
-				order.OrderId,
-			)
+		// Append to RemovedStatefulOrderIds so this order gets removed
+		// from the memclob in PrepareCheckState during the PurgeInvalidMemclobState step
+		processProposerMatchesEvents.RemovedStatefulOrderIds = append(
+			processProposerMatchesEvents.RemovedStatefulOrderIds,
+			order.OrderId,
+		)
 
-			k.GetIndexerEventManager().AddTxnEvent(
-				ctx,
-				indexerevents.SubtypeStatefulOrder,
-				indexerevents.StatefulOrderEventVersion,
-				indexer_manager.GetBytes(
-					indexerevents.NewStatefulOrderRemovalEvent(
-						order.OrderId,
-						indexershared.OrderRemovalReason_ORDER_REMOVAL_REASON_FINAL_SETTLEMENT,
-					),
+		k.GetIndexerEventManager().AddTxnEvent(
+			ctx,
+			indexerevents.SubtypeStatefulOrder,
+			indexerevents.StatefulOrderEventVersion,
+			indexer_manager.GetBytes(
+				indexerevents.NewStatefulOrderRemovalEvent(
+					order.OrderId,
+					indexershared.OrderRemovalReason_ORDER_REMOVAL_REASON_FINAL_SETTLEMENT,
 				),
-			)
-		}
+			),
+		)
 	}
 
 	k.MustSetProcessProposerMatchesEvents(ctx, processProposerMatchesEvents)