diff --git a/docs/release-notes/release-notes-0.16.3.md b/docs/release-notes/release-notes-0.16.3.md
index b7b5ff5ba..b5ca8ab71 100644
--- a/docs/release-notes/release-notes-0.16.3.md
+++ b/docs/release-notes/release-notes-0.16.3.md
@@ -1,10 +1,10 @@
 # Release Notes
 
-## Mempool
+## Mempool Optimizations
 
 * Optimized [mempool
-management](https://github.com/lightningnetwork/lnd/pull/7681) to lower the CPU
-usage.
+  management](https://github.com/lightningnetwork/lnd/pull/7681) to lower the
+  CPU usage.
 
 ## Misc
 
@@ -12,7 +12,16 @@ usage.
   all macaroon DB root keys on `ChangePassword`/`GenerateNewRootKey`
   respectively.
 
+## Channel Link Bug Fix
+
+* If we detect the remote link is inactive, [we'll now tear down the
+  connection](https://github.com/lightningnetwork/lnd/pull/7711) in addition to
+  stopping the link's statemachine. If we're persistently connected with the
+  peer, then this'll force a reconnect, which may restart things and help avoid
+  certain force close scenarios.
+
 # Contributors (Alphabetical Order)
 
 * Elle Mouton
+* Olaoluwa Osuntokun
 * Yong Yu
diff --git a/htlcswitch/link.go b/htlcswitch/link.go
index 5886baaa0..7ef6d9a00 100644
--- a/htlcswitch/link.go
+++ b/htlcswitch/link.go
@@ -1036,8 +1036,8 @@ func (l *channelLink) htlcManager() {
 				// storing the transaction in the db.
 				l.fail(
 					LinkFailureError{
-						code:       ErrSyncError,
-						ForceClose: true,
+						code:          ErrSyncError,
+						FailureAction: LinkFailureForceClose, //nolint:lll
 					},
 					"unable to synchronize channel "+
 						"states: %v", err,
@@ -1077,8 +1077,8 @@ func (l *channelLink) htlcManager() {
 
 			l.fail(
 				LinkFailureError{
-					code:       ErrRecoveryError,
-					ForceClose: false,
+					code:          ErrRecoveryError,
+					FailureAction: LinkFailureForceNone,
 				},
 				"unable to synchronize channel "+
 					"states: %v", err,
@@ -1239,8 +1239,13 @@ func (l *channelLink) htlcManager() {
 			}
 
 		case <-l.cfg.PendingCommitTicker.Ticks():
-			l.fail(LinkFailureError{code: ErrRemoteUnresponsive},
-				"unable to complete dance")
+			l.fail(
+				LinkFailureError{
+					code:          ErrRemoteUnresponsive,
+					FailureAction: LinkFailureDisconnect,
+				},
+				"unable to complete dance",
+			)
 			return
 
 		// A message from the switch was just received. This indicates
@@ -1782,8 +1787,8 @@ func (l *channelLink) handleUpstreamMsg(msg lnwire.Message) {
 		if err := l.channel.ReceiveHTLCSettle(pre, idx); err != nil {
 			l.fail(
 				LinkFailureError{
-					code:       ErrInvalidUpdate,
-					ForceClose: true,
+					code:          ErrInvalidUpdate,
+					FailureAction: LinkFailureForceClose,
 				},
 				"unable to handle upstream settle HTLC: %v", err,
 			)
@@ -1947,9 +1952,9 @@ func (l *channelLink) handleUpstreamMsg(msg lnwire.Message) {
 			}
 			l.fail(
 				LinkFailureError{
-					code:       ErrInvalidCommitment,
-					ForceClose: true,
-					SendData:   sendData,
+					code:          ErrInvalidCommitment,
+					FailureAction: LinkFailureForceClose,
+					SendData:      sendData,
 				},
 				"ChannelPoint(%v): unable to accept new "+
 					"commitment: %v",
diff --git a/htlcswitch/link_test.go b/htlcswitch/link_test.go
index 72afa2ebb..e744c75fc 100644
--- a/htlcswitch/link_test.go
+++ b/htlcswitch/link_test.go
@@ -5457,8 +5457,10 @@ func TestChannelLinkFail(t *testing.T) {
 		// If we expect the link to force close the channel in this
 		// case, check that it happens. If not, make sure it does not
 		// happen.
-		require.Equal(
-			t, test.shouldForceClose, linkErr.ForceClose, test.name,
+		isForceCloseErr := (linkErr.FailureAction ==
+			LinkFailureForceClose)
+		require.True(
+			t, test.shouldForceClose == isForceCloseErr, test.name,
 		)
 		require.Equal(
 			t, test.permanentFailure, linkErr.PermanentFailure,
@@ -6342,11 +6344,12 @@ func TestPendingCommitTicker(t *testing.T) {
 	// Assert that we get the expected link failure from Alice.
 	select {
 	case linkErr := <-linkErrs:
-		if linkErr.code != ErrRemoteUnresponsive {
-			t.Fatalf("error code mismatch, "+
-				"want: ErrRemoteUnresponsive, got: %v",
-				linkErr.code)
-		}
+		require.Equal(
+			t, linkErr.code, ErrRemoteUnresponsive,
+			fmt.Sprintf("error code mismatch, want: "+
+				"ErrRemoteUnresponsive, got: %v", linkErr.code),
+		)
+		require.Equal(t, linkErr.FailureAction, LinkFailureDisconnect)
 
 	case <-time.After(time.Second):
 		t.Fatalf("did not receive failure")
@@ -6523,7 +6526,7 @@ func TestPipelineSettle(t *testing.T) {
 	// ForceClose should be false.
 	select {
 	case linkErr := <-linkErrors:
-		require.False(t, linkErr.ForceClose)
+		require.False(t, linkErr.FailureAction == LinkFailureForceClose)
 	case <-forwardChan:
 		t.Fatal("packet was erroneously forwarded")
 	}
@@ -6559,7 +6562,7 @@ func TestPipelineSettle(t *testing.T) {
 	// ForceClose should be false.
 	select {
 	case linkErr := <-linkErrors:
-		require.False(t, linkErr.ForceClose)
+		require.False(t, linkErr.FailureAction == LinkFailureForceClose)
 	case <-forwardChan:
 		t.Fatal("packet was erroneously forwarded")
 	}
diff --git a/htlcswitch/linkfailure.go b/htlcswitch/linkfailure.go
index 1f454a7bb..f04a41603 100644
--- a/htlcswitch/linkfailure.go
+++ b/htlcswitch/linkfailure.go
@@ -53,6 +53,24 @@ const (
 	ErrCircuitError
 )
 
+// LinkFailureAction is an enum-like type that describes the action that should
+// be taken in response to a link failure.
+type LinkFailureAction uint8
+
+const (
+	// LinkFailureForceNone indicates no action is to be taken.
+	LinkFailureForceNone LinkFailureAction = iota
+
+	// LinkFailureForceClose indicates that the channel should be force
+	// closed.
+	LinkFailureForceClose
+
+	// LinkFailureDisconnect indicates that we should disconnect in an
+	// attempt to recycle the connection. This can be useful if we think a
+	// TCP connection or state machine is stalled.
+	LinkFailureDisconnect
+)
+
 // LinkFailureError encapsulates an error that will make us fail the current
 // link. It contains the necessary information needed to determine if we should
 // force close the channel in the process, and if any error data should be sent
@@ -61,9 +79,8 @@ type LinkFailureError struct {
 	// code is the type of error this LinkFailureError encapsulates.
 	code errorCode
 
-	// ForceClose indicates whether we should force close the channel
-	// because of this error.
-	ForceClose bool
+	// FailureAction describes what we should do to fail the channel.
+	FailureAction LinkFailureAction
 
 	// PermanentFailure indicates whether this failure is permanent, and
 	// the channel should not be attempted loaded again.
diff --git a/peer/brontide.go b/peer/brontide.go
index 08cad15de..1b1534b2d 100644
--- a/peer/brontide.go
+++ b/peer/brontide.go
@@ -3094,11 +3094,10 @@ func (p *Brontide) handleLinkFailure(failure linkFailureReport) {
 	// being applied.
 	p.WipeChannel(&failure.chanPoint)
 
-	// If the error encountered was severe enough, we'll now force close the
-	// channel to prevent reading it to the switch in the future.
-	if failure.linkErr.ForceClose {
-		p.log.Warnf("Force closing link(%v)",
-			failure.shortChanID)
+	// If the error encountered was severe enough, we'll now force close
+	// the channel to prevent reading it to the switch in the future.
+	if failure.linkErr.FailureAction == htlcswitch.LinkFailureForceClose {
+		p.log.Warnf("Force closing link(%v)", failure.shortChanID)
 
 		closeTx, err := p.cfg.ChainArb.ForceCloseContract(
 			failure.chanPoint,
@@ -3143,6 +3142,13 @@ func (p *Brontide) handleLinkFailure(failure linkFailureReport) {
 				"remote peer: %v", err)
 		}
 	}
+
+	// If the failure action is disconnect, then we'll execute that now. If
+	// we had to send an error above, it was a sync call, so we expect the
+	// message to be flushed on the wire by now.
+	if failure.linkErr.FailureAction == htlcswitch.LinkFailureDisconnect {
+		p.Disconnect(fmt.Errorf("link requested disconnect"))
+	}
 }
 
 // tryLinkShutdown attempts to fetch a target link from the switch, calls