diff --git a/contracts/Aavegotchi/facets/ERC721MarketplaceFacet.sol b/contracts/Aavegotchi/facets/ERC721MarketplaceFacet.sol
index 12b4aa01..9dc60a34 100644
--- a/contracts/Aavegotchi/facets/ERC721MarketplaceFacet.sol
+++ b/contracts/Aavegotchi/facets/ERC721MarketplaceFacet.sol
@@ -182,11 +182,10 @@ contract ERC721MarketplaceFacet is Modifiers {
             uint256 listingId = _listingIds[i];
             // ListingListItem storage listingItem = s.erc721ListingListItem[listingId];
             // require(listingItem.listingId != 0, "ERC721Marketplace: listingId does not exist");
-            require(s.erc721Listings[listingId].timeCreated != 0, "ERC721Marketplace: listingId does not exist");
             ERC721Listing storage listing = s.erc721Listings[listingId];
-            listing.cancelled = true;
-            emit LibERC721Marketplace.ERC721ListingCancelled(listingId, listing.category, block.number);
-            LibERC721Marketplace.removeERC721ListingItem(listingId, listing.seller);
+            require(listing.timeCreated != 0, "ERC721Marketplace: listingId does not exist");
+            // Reuse the shared cancel flow so Aavegotchis are correctly unlocked and escrows are restored.
+            LibERC721Marketplace.cancelERC721Listing(listingId, listing.seller);
         }
     }
 
diff --git a/test/foundryTests/ERC721BatchCancelUnlock.t.sol b/test/foundryTests/ERC721BatchCancelUnlock.t.sol
new file mode 100644
index 00000000..40e3d5c3
--- /dev/null
+++ b/test/foundryTests/ERC721BatchCancelUnlock.t.sol
@@ -0,0 +1,157 @@
+// SPDX-License-Identifier: UNLICENSED
+pragma solidity 0.8.1;
+
+import {Constants} from "./constants.sol";
+
+import {CollateralEscrow} from "../../contracts/Aavegotchi/CollateralEscrow.sol";
+import {AavegotchiFacet} from "../../contracts/Aavegotchi/facets/AavegotchiFacet.sol";
+import {AavegotchiGameFacet} from "../../contracts/Aavegotchi/facets/AavegotchiGameFacet.sol";
+import {ERC721MarketplaceFacet} from "../../contracts/Aavegotchi/facets/ERC721MarketplaceFacet.sol";
+import {EscrowFacet} from "../../contracts/Aavegotchi/facets/EscrowFacet.sol";
+import {MarketplaceGetterFacet} from "../../contracts/Aavegotchi/facets/MarketplaceGetterFacet.sol";
+import {Modifiers, ERC721Listing} from "../../contracts/Aavegotchi/libraries/LibAppStorage.sol";
+import {DiamondLoupeFacet} from "../../contracts/shared/facets/DiamondLoupeFacet.sol";
+import {OwnershipFacet} from "../../contracts/shared/facets/OwnershipFacet.sol";
+import {IDiamondCut} from "../../contracts/shared/interfaces/IDiamondCut.sol";
+
+/// @dev Test-only facet used to seed listing + gotchi locked state without calling addERC721Listing,
+/// which is extremely slow on forks (LibAavegotchi.getAavegotchi causes many storage reads).
+contract ERC721BatchCancelUnlockSeederFacet is Modifiers {
+    function seedERC721AavegotchiListing(
+        uint256 listingId,
+        uint256 tokenId,
+        address seller,
+        uint256 priceInWei
+    ) external onlyOwner returns (address escrow) {
+        require(s.erc721Listings[listingId].timeCreated == 0, "seed: listing already exists");
+
+        // Deploy a fresh escrow so we can deterministically verify the ownership transfer behavior.
+        escrow = address(new CollateralEscrow(address(this), tokenId, seller));
+        s.aavegotchis[tokenId].escrow = escrow;
+
+        // Mimic the listing side effects for category 3 (claimed Aavegotchi).
+        s.aavegotchis[tokenId].locked = true;
+        CollateralEscrow(payable(escrow)).transferOwnership(address(0));
+
+        s.erc721TokenToListingId[address(this)][tokenId][seller] = listingId;
+        s.erc721Listings[listingId] = ERC721Listing({
+            listingId: listingId,
+            seller: seller,
+            erc721TokenAddress: address(this),
+            erc721TokenId: tokenId,
+            category: 3,
+            priceInWei: priceInWei,
+            timeCreated: block.timestamp,
+            timePurchased: 0,
+            cancelled: false,
+            principalSplit: [uint16(10000), uint16(0)],
+            affiliate: address(0),
+            whitelistId: 0
+        });
+    }
+}
+
+contract ERC721BatchCancelUnlockTest is Constants {
+    Contracts c;
+
+    uint256 constant TOKEN_ID = 3410;
+    uint256 constant LISTING_ID = 999_999_999;
+    uint256 constant PRICE_IN_WEI = 1e18;
+
+    address owner;
+    address seller;
+    address escrow;
+
+    function setUp() public {
+        vm.createSelectFork(baseMainnetRpcUrl());
+        c = contractByChainId(block.chainid);
+
+        owner = OwnershipFacet(c.aavegotchiDiamond).owner();
+        seller = AavegotchiFacet(c.aavegotchiDiamond).ownerOf(TOKEN_ID);
+
+        vm.startPrank(owner);
+
+        // Replace the selector with the patched facet (PR #41).
+        ERC721MarketplaceFacet newMarketplaceFacet = new ERC721MarketplaceFacet();
+        replaceFunctionInDiamond(
+            c.aavegotchiDiamond,
+            address(newMarketplaceFacet),
+            ERC721MarketplaceFacet.cancelERC721Listings.selector,
+            ERC721MarketplaceFacet.cancelERC721Listings.selector
+        );
+
+        // Add the test-only seeder facet.
+        ERC721BatchCancelUnlockSeederFacet seederFacet = new ERC721BatchCancelUnlockSeederFacet();
+        addFunctionToDiamond(
+            c.aavegotchiDiamond,
+            address(seederFacet),
+            ERC721MarketplaceFacet.cancelERC721Listings.selector,
+            ERC721BatchCancelUnlockSeederFacet.seedERC721AavegotchiListing.selector
+        );
+
+        escrow = ERC721BatchCancelUnlockSeederFacet(c.aavegotchiDiamond).seedERC721AavegotchiListing(
+            LISTING_ID,
+            TOKEN_ID,
+            seller,
+            PRICE_IN_WEI
+        );
+
+        vm.stopPrank();
+    }
+
+    function test_adminBatchCancel_unlocksGotchi_and_restoresEscrowOwner() public {
+        assertTrue(AavegotchiGameFacet(c.aavegotchiDiamond).isAavegotchiLocked(TOKEN_ID));
+        assertEq(EscrowFacet(c.aavegotchiDiamond).gotchiEscrow(TOKEN_ID), escrow);
+        assertEq(CollateralEscrow(payable(escrow)).owner(), address(0));
+        assertEq(MarketplaceGetterFacet(c.aavegotchiDiamond).getERC721Listing(LISTING_ID).seller, seller);
+
+        uint256[] memory listingIds = new uint256[](1);
+        listingIds[0] = LISTING_ID;
+
+        vm.prank(owner);
+        ERC721MarketplaceFacet(c.aavegotchiDiamond).cancelERC721Listings(listingIds);
+
+        assertFalse(AavegotchiGameFacet(c.aavegotchiDiamond).isAavegotchiLocked(TOKEN_ID));
+        assertEq(CollateralEscrow(payable(escrow)).owner(), seller);
+        assertTrue(MarketplaceGetterFacet(c.aavegotchiDiamond).getERC721Listing(LISTING_ID).cancelled);
+    }
+
+    function addFunctionToDiamond(address diamond, address deployedFacet, bytes4 existingFnSelector, bytes4 newSelector) internal {
+        address facetAddress = DiamondLoupeFacet(diamond).facetAddress(existingFnSelector);
+        assert(facetAddress != address(0));
+
+        bytes4[] memory functionSelectors = new bytes4[](1);
+        functionSelectors[0] = newSelector;
+
+        IDiamondCut.FacetCut memory facetCut = IDiamondCut.FacetCut({
+            facetAddress: deployedFacet,
+            action: IDiamondCut.FacetCutAction.Add,
+            functionSelectors: functionSelectors
+        });
+
+        IDiamondCut.FacetCut[] memory cuts = new IDiamondCut.FacetCut[](1);
+        cuts[0] = facetCut;
+
+        IDiamondCut(diamond).diamondCut(cuts, address(0), "");
+    }
+
+    function replaceFunctionInDiamond(address diamond, address deployedFacet, bytes4 existingFnSelector, bytes4 newSelector) internal {
+        address facetAddress = DiamondLoupeFacet(diamond).facetAddress(existingFnSelector);
+        assert(facetAddress != address(0));
+
+        bytes4[] memory functionSelectors = new bytes4[](1);
+        functionSelectors[0] = newSelector;
+
+        IDiamondCut.FacetCut memory facetCut = IDiamondCut.FacetCut({
+            facetAddress: deployedFacet,
+            action: IDiamondCut.FacetCutAction.Replace,
+            functionSelectors: functionSelectors
+        });
+
+        IDiamondCut.FacetCut[] memory cuts = new IDiamondCut.FacetCut[](1);
+        cuts[0] = facetCut;
+
+        IDiamondCut(diamond).diamondCut(cuts, address(0), "");
+    }
+}
+