diff --git a/build.gradle b/build.gradle
index 16493aa68a..d60cee8ea2 100644
--- a/build.gradle
+++ b/build.gradle
@@ -69,7 +69,7 @@ dependencies {
         implementation 'com.epam.reportportal:commons'
         implementation 'com.epam.reportportal:plugin-api:5.11.1'
     } else {
-        implementation 'com.github.reportportal:commons-dao:c5ebfac'
+        implementation 'com.github.reportportal:commons-dao:69da66d'
         implementation 'com.github.reportportal:commons:7f23a5f'
         implementation 'com.github.reportportal:plugin-api:d1c0f0e'
     }
diff --git a/src/main/java/com/epam/ta/reportportal/core/project/impl/OrganizationProjectHandlerImpl.java b/src/main/java/com/epam/ta/reportportal/core/project/impl/OrganizationProjectHandlerImpl.java
index 6821659c01..11061035f8 100644
--- a/src/main/java/com/epam/ta/reportportal/core/project/impl/OrganizationProjectHandlerImpl.java
+++ b/src/main/java/com/epam/ta/reportportal/core/project/impl/OrganizationProjectHandlerImpl.java
@@ -155,7 +155,8 @@ public OrganizationProjectInfo createProject(Long orgId, ProjectDetails projectD
     }
     var projectKey = organization.getSlug() + "." + projectDetails.getSlug();
 
-    Optional<Project> existProject = projectRepository.findByKey(projectKey);
+    Optional<Project> existProject =
+        projectRepository.findByNameAndOrganizationId(projectDetails.getName(), orgId);
     expect(existProject, not(isPresent())).verify(ErrorType.PROJECT_ALREADY_EXISTS, projectKey);
 
     var projectToSave = generateProjectBody(orgId, projectDetails, projectKey);
diff --git a/src/test/java/com/epam/ta/reportportal/ws/controller/OrganizationProjectControllerTest.java b/src/test/java/com/epam/ta/reportportal/ws/controller/OrganizationProjectControllerTest.java
index 3bfd11825e..c9d9097f7b 100644
--- a/src/test/java/com/epam/ta/reportportal/ws/controller/OrganizationProjectControllerTest.java
+++ b/src/test/java/com/epam/ta/reportportal/ws/controller/OrganizationProjectControllerTest.java
@@ -24,7 +24,6 @@
 import static org.springframework.test.web.servlet.result.MockMvcResultMatchers.status;
 
 import com.epam.reportportal.api.model.OffsetRequest.OrderEnum;
-import com.epam.reportportal.api.model.OrganizationProfilesPage;
 import com.epam.reportportal.api.model.OrganizationProjectsPage;
 import com.epam.reportportal.api.model.SearchCriteriaRQ;
 import com.epam.reportportal.api.model.SearchCriteriaSearchCriteria;
@@ -144,4 +143,23 @@ void createProject(String name, String slug, String expectSlug) throws Exception
         .andExpect(jsonPath("$.slug").value(expectSlug));
   }
 
+
+  @Test
+  void createDuplicateProjectFails() throws Exception {
+    JsonObject jsonBody = new JsonObject();
+    jsonBody.addProperty("name", "uniq_name_123");
+
+    mockMvc.perform(post("/organizations/1/projects")
+            .contentType(MediaType.APPLICATION_JSON)
+            .with(token(oAuthHelper.getSuperadminToken()))
+            .content(jsonBody.toString()))
+        .andExpect(status().isOk());
+
+    mockMvc.perform(post("/organizations/1/projects")
+            .contentType(MediaType.APPLICATION_JSON)
+            .with(token(oAuthHelper.getSuperadminToken()))
+            .content(jsonBody.toString()))
+        .andExpect(status().is4xxClientError());
+  }
+
 }