diff --git a/packages/cli/src/license/__tests__/license.service.test.ts b/packages/cli/src/license/__tests__/license.service.test.ts
index 895861ce86..f1894e8fbf 100644
--- a/packages/cli/src/license/__tests__/license.service.test.ts
+++ b/packages/cli/src/license/__tests__/license.service.test.ts
@@ -76,6 +76,15 @@ describe('LicenseService', () => {
 	});
 
 	describe('renewLicense', () => {
+		test('should skip renewal for unlicensed user (Community plan)', async () => {
+			license.getPlanName.mockReturnValueOnce('Community');
+
+			await licenseService.renewLicense();
+
+			expect(license.renew).not.toHaveBeenCalled();
+			expect(eventService.emit).not.toHaveBeenCalled();
+		});
+
 		test('on success', async () => {
 			license.renew.mockResolvedValueOnce();
 			await licenseService.renewLicense();
diff --git a/packages/cli/src/license/license.service.ts b/packages/cli/src/license/license.service.ts
index 97bc9a3bdc..7f2ebbc37f 100644
--- a/packages/cli/src/license/license.service.ts
+++ b/packages/cli/src/license/license.service.ts
@@ -120,6 +120,8 @@ export class LicenseService {
 	}
 
 	async renewLicense() {
+		if (this.license.getPlanName() === 'Community') return; // unlicensed, nothing to renew
+
 		try {
 			await this.license.renew();
 		} catch (e) {
diff --git a/packages/cli/test/integration/license.api.test.ts b/packages/cli/test/integration/license.api.test.ts
index 3d044c4f85..357ef5fed7 100644
--- a/packages/cli/test/integration/license.api.test.ts
+++ b/packages/cli/test/integration/license.api.test.ts
@@ -101,6 +101,7 @@ describe('POST /license/renew', () => {
 	});
 
 	test('errors out properly', async () => {
+		License.prototype.getPlanName = jest.fn().mockReturnValue('Enterprise');
 		License.prototype.renew = jest.fn().mockImplementation(() => {
 			throw new Error(GENERIC_ERROR_MESSAGE);
 		});