diff --git a/src/init.cpp b/src/init.cpp
--- a/src/init.cpp
+++ b/src/init.cpp
@@ -1111,8 +1111,8 @@
         "-whitelistforcerelay",
         strprintf("Add 'forcerelay' permission to whitelisted inbound peers"
                   " with default permissions. This will relay transactions "
-                  "even if the transactions were already in the mempool or "
-                  "violate local relay policy (default: %d)",
+                  "even if the transactions were already in the mempool "
+                  "(default: %d)",
                   DEFAULT_WHITELISTFORCERELAY),
         ArgsManager::ALLOW_ANY, OptionsCategory::NODE_RELAY);
 
diff --git a/src/net_permissions.h b/src/net_permissions.h
--- a/src/net_permissions.h
+++ b/src/net_permissions.h
@@ -22,8 +22,8 @@
     // This peer is also not subject to limits on how many transaction INVs are
     // tracked
     PF_RELAY = (1U << 3),
-    // Always relay transactions from this peer, even if already in mempool or
-    // rejected from policy Keep parameter interaction: forcerelay implies relay
+    // Always relay transactions from this peer, even if already in mempool
+    // Keep parameter interaction: forcerelay implies relay
     PF_FORCERELAY = (1U << 2) | PF_RELAY,
     // Allow getheaders during IBD and block-download after maxuploadtarget
     // limit
diff --git a/src/net_processing.cpp b/src/net_processing.cpp
--- a/src/net_processing.cpp
+++ b/src/net_processing.cpp
@@ -1389,15 +1389,6 @@
     }
 }
 
-/**
- * Returns true if the given validation state result may result in a peer
- * banning/disconnecting us. We use this to determine which unaccepted
- * transactions from a whitelisted peer that we can safely relay.
- */
-static bool TxRelayMayResultInDisconnect(const TxValidationState &state) {
-    return state.GetResult() == TxValidationResult::TX_CONSENSUS;
-}
-
 bool PeerManager::MaybePunishNodeForBlock(NodeId nodeid,
                                           const BlockValidationState &state,
                                           bool via_compact_block,
@@ -3693,17 +3684,13 @@
 
             if (pfrom.HasPermission(PF_FORCERELAY)) {
                 // Always relay transactions received from whitelisted peers,
-                // even if they were already in the mempool or rejected from it
-                // due to policy, allowing the node to function as a gateway for
+                // even if they were already in the mempool, allowing the node
+                // to function as a gateway for
                 // nodes hidden behind it.
-                //
-                // Never relay transactions that might result in being
-                // disconnected (or banned).
-                if (state.IsInvalid() && TxRelayMayResultInDisconnect(state)) {
-                    LogPrintf("Not relaying invalid transaction %s from "
-                              "whitelisted peer=%d (%s)\n",
-                              tx.GetId().ToString(), pfrom.GetId(),
-                              state.ToString());
+                if (!m_mempool.exists(tx.GetId())) {
+                    LogPrintf("Not relaying non-mempool transaction %s from "
+                              "whitelisted peer=%d\n",
+                              tx.GetId().ToString(), pfrom.GetId());
                 } else {
                     LogPrintf("Force relaying tx %s from whitelisted peer=%d\n",
                               tx.GetId().ToString(), pfrom.GetId());
diff --git a/test/functional/p2p_permissions.py b/test/functional/p2p_permissions.py
--- a/test/functional/p2p_permissions.py
+++ b/test/functional/p2p_permissions.py
@@ -164,6 +164,18 @@
             p2p_rebroadcast_wallet.send_txs_and_test([tx], self.nodes[1])
             wait_until(lambda: txid in self.nodes[0].getrawmempool())
 
+        self.log.debug(
+            "Check that node[1] will not send an invalid tx to node[0]")
+        tx.vout[0].nValue += 1
+        txid = tx.rehash()
+        p2p_rebroadcast_wallet.send_txs_and_test(
+            [tx],
+            self.nodes[1],
+            success=False,
+            reject_reason='Not relaying non-mempool transaction '
+                          '{} from whitelisted peer=0'.format(txid),
+        )
+
     def checkpermission(self, args, expectedPermissions, whitelisted):
         self.restart_node(1, args)
         connect_nodes(self.nodes[0], self.nodes[1])