diff --git a/rpcserver.go b/rpcserver.go
index 29ade4fe..64f6168b 100644
--- a/rpcserver.go
+++ b/rpcserver.go
@@ -824,7 +824,6 @@ func (r *rpcServer) CloseChannel(in *lnrpc.CloseChannelRequest,
 		}
 		defer func() {
 			channel.Stop()
-			channel.CancelObserver()
 		}()
 
 		_, bestHeight, err := r.server.cc.chainIO.GetBestBlock()
@@ -872,6 +871,8 @@ func (r *rpcServer) CloseChannel(in *lnrpc.CloseChannelRequest,
 			},
 		}
 
+		channel.CancelObserver()
+
 		errChan = make(chan error, 1)
 		notifier := r.server.cc.chainNotifier
 		go waitForChanToClose(uint32(bestHeight), notifier, errChan, chanPoint,