diff --git a/.changeset/khaki-cameras-glow.md b/.changeset/khaki-cameras-glow.md
new file mode 100644
index 000000000000..87470d5c497b
--- /dev/null
+++ b/.changeset/khaki-cameras-glow.md
@@ -0,0 +1,5 @@
+---
+'@rocket.chat/meteor': patch
+---
+
+Fixes an issue where the retention policy warning keep displaying even if the retention is disabled inside the room
diff --git a/apps/meteor/client/views/room/hooks/useRetentionPolicy.spec.ts b/apps/meteor/client/views/room/hooks/useRetentionPolicy.spec.ts
index 9b99d6e4d781..b5d9079c9cab 100644
--- a/apps/meteor/client/views/room/hooks/useRetentionPolicy.spec.ts
+++ b/apps/meteor/client/views/room/hooks/useRetentionPolicy.spec.ts
@@ -72,16 +72,13 @@ it('should return enabled and active true global retention is active for rooms o
 	expect(result.current).toEqual(expect.objectContaining({ ...defaultValue, enabled: true, isActive: true }));
 });
 
-it.failing(
-	'should isActive be false if global retention is active for rooms of the type and room has retention.enabled false',
-	async () => {
-		const fakeRoom = createFakeRoom({ t: CHANNELS_TYPE, retention: { enabled: false } });
-
-		const { result } = renderHook(() => useRetentionPolicy(fakeRoom), {
-			legacyRoot: true,
-			wrapper: getGlobalSettings({ enabled: true, ...roomTypeConfig[CHANNELS_TYPE] }).build(),
-		});
-
-		expect(result.current?.isActive).toBe(false);
-	},
-);
+it('should isActive be false if global retention is active for rooms of the type and room has retention.enabled false', async () => {
+	const fakeRoom = createFakeRoom({ t: CHANNELS_TYPE, retention: { enabled: false } });
+
+	const { result } = renderHook(() => useRetentionPolicy(fakeRoom), {
+		legacyRoot: true,
+		wrapper: getGlobalSettings({ enabled: true, ...roomTypeConfig[CHANNELS_TYPE] }).build(),
+	});
+
+	expect(result.current?.isActive).toBe(false);
+});
diff --git a/apps/meteor/client/views/room/hooks/useRetentionPolicy.ts b/apps/meteor/client/views/room/hooks/useRetentionPolicy.ts
index 96efedef692e..076ad13c5a0f 100644
--- a/apps/meteor/client/views/room/hooks/useRetentionPolicy.ts
+++ b/apps/meteor/client/views/room/hooks/useRetentionPolicy.ts
@@ -4,7 +4,9 @@ import { useSetting } from '@rocket.chat/ui-contexts';
 import { TIMEUNIT, isValidTimespan, timeUnitToMs } from '../../../lib/convertTimeUnit';
 
 const hasRetentionPolicy = (room: IRoom & { retention?: any }): room is IRoomWithRetentionPolicy =>
-	'retention' in room && room.retention !== undefined && 'overrideGlobal' in room.retention && isValidTimespan(room.retention.maxAge);
+	'retention' in room && room.retention !== undefined;
+
+const isRetentionOverridden = (room: IRoom & { retention?: any }) => 'overrideGlobal' in room.retention && room.retention.overrideGlobal;
 
 type RetentionPolicySettings = {
 	enabled: boolean;
@@ -41,7 +43,7 @@ const isActive = (room: IRoom, { enabled, appliesToChannels, appliesToGroups, ap
 };
 
 const extractFilesOnly = (room: IRoom, { filesOnly }: RetentionPolicySettings): boolean => {
-	if (hasRetentionPolicy(room) && room.retention.overrideGlobal) {
+	if (hasRetentionPolicy(room) && isRetentionOverridden(room)) {
 		return room.retention.filesOnly;
 	}
 
@@ -49,7 +51,7 @@ const extractFilesOnly = (room: IRoom, { filesOnly }: RetentionPolicySettings):
 };
 
 const extractExcludePinned = (room: IRoom, { doNotPrunePinned }: RetentionPolicySettings): boolean => {
-	if (hasRetentionPolicy(room) && room.retention.overrideGlobal) {
+	if (hasRetentionPolicy(room) && isRetentionOverridden(room)) {
 		return room.retention.excludePinned;
 	}
 
@@ -57,7 +59,7 @@ const extractExcludePinned = (room: IRoom, { doNotPrunePinned }: RetentionPolicy
 };
 
 const extractIgnoreThreads = (room: IRoom, { ignoreThreads }: RetentionPolicySettings): boolean => {
-	if (hasRetentionPolicy(room) && room.retention.overrideGlobal) {
+	if (hasRetentionPolicy(room) && isRetentionOverridden(room)) {
 		return room.retention.ignoreThreads;
 	}
 
@@ -65,7 +67,7 @@ const extractIgnoreThreads = (room: IRoom, { ignoreThreads }: RetentionPolicySet
 };
 
 const getMaxAge = (room: IRoom, { maxAgeChannels, maxAgeGroups, maxAgeDMs }: RetentionPolicySettings): number => {
-	if (hasRetentionPolicy(room) && room.retention.overrideGlobal) {
+	if (hasRetentionPolicy(room) && isRetentionOverridden(room) && isValidTimespan(room.retention.maxAge)) {
 		return timeUnitToMs(TIMEUNIT.days, room.retention.maxAge);
 	}