diff --git a/cardano-api/cardano-api.cabal b/cardano-api/cardano-api.cabal
index ae5590c301..6285925c43 100644
--- a/cardano-api/cardano-api.cabal
+++ b/cardano-api/cardano-api.cabal
@@ -317,8 +317,8 @@ test-suite cardano-api-test
   build-depends:
     QuickCheck,
     aeson >=1.5.6.0,
-    bytestring,
     base16-bytestring,
+    bytestring,
     cardano-api,
     cardano-api:gen,
     cardano-api:internal,
diff --git a/cardano-api/internal/Cardano/Api/Script.hs b/cardano-api/internal/Cardano/Api/Script.hs
index 9e4a17e748..8b9dd93410 100644
--- a/cardano-api/internal/Cardano/Api/Script.hs
+++ b/cardano-api/internal/Cardano/Api/Script.hs
@@ -459,23 +459,19 @@ instance IsScriptLanguage lang => SerialiseAsCBOR (Script lang) where
           <$> deserialiseFromCBOR (AsPlutusScript AsPlutusScriptV3) bs
 
 -- | Previously we were double encoding the plutus script
--- bytes. This decoder is used to check if the plutus
--- script bytes are double encoded. If it is, it removes
--- a layer of encoding to return the original plutus script bytes.
-data IsDoubleEncoded
-  = -- | Original plutus script bytes
-    IsDoubleEncoded
-      Crypto.ByteString
-  | NotDoubleEncoded
-
-isPlutusScriptDoubleEncoded :: LBS.ByteString -> IsDoubleEncoded
-isPlutusScriptDoubleEncoded plutusScriptBytes =
+-- bytes. This function removes a layer of encoding to return
+-- the original plutus script bytes if it exists.
+removePlutusScriptDoubleEncoding :: LBS.ByteString -> Crypto.ByteString
+removePlutusScriptDoubleEncoding plutusScriptBytes =
   case CBOR.deserialiseFromBytes CBOR.decodeBytes plutusScriptBytes of
-    Left _ -> NotDoubleEncoded
-    Right (_, needToEncode) ->
-      case CBOR.deserialiseFromBytes CBOR.decodeBytes $ LBS.fromStrict needToEncode of
-        Left _ -> NotDoubleEncoded
-        Right (_, final) -> IsDoubleEncoded $ CBOR.toStrictByteString $ CBOR.encodeBytes final
+    Left _ -> LBS.toStrict plutusScriptBytes
+    Right (_, unwrapped) ->
+      -- 'unwrapped' is potentially valid plutus bytes i.e it is no longer double encoded
+      case CBOR.deserialiseFromBytes CBOR.decodeBytes $ LBS.fromStrict unwrapped of
+        Left _ -> LBS.toStrict plutusScriptBytes
+        -- We were able to decode a cbor in cbor bytes value. Therefore the original bytes
+        -- were likely a double encoded plutus script so we can now return the unwrapped bytes.
+        Right{} -> unwrapped
 
 instance IsScriptLanguage lang => HasTextEnvelope (Script lang) where
   textEnvelopeType _ =
@@ -1032,9 +1028,7 @@ data PlutusScript lang where
 instance HasTypeProxy lang => SerialiseAsCBOR (PlutusScript lang) where
   serialiseToCBOR (PlutusScriptSerialised sbs) = SBS.fromShort sbs
   deserialiseFromCBOR _ bs =
-    case isPlutusScriptDoubleEncoded $ LBS.fromStrict bs of
-      NotDoubleEncoded -> Right $ PlutusScriptSerialised $ SBS.toShort bs
-      IsDoubleEncoded normalised -> Right $ PlutusScriptSerialised $ SBS.toShort normalised
+    Right $ PlutusScriptSerialised $ SBS.toShort $ removePlutusScriptDoubleEncoding $ LBS.fromStrict bs
 
 instance HasTypeProxy lang => HasTypeProxy (PlutusScript lang) where
   data AsType (PlutusScript lang) = AsPlutusScript (AsType lang)
@@ -1352,18 +1346,16 @@ instance
     SBS.fromShort s
   deserialiseFromCBOR _ bs = do
     let v = Ledger.eraProtVerLow @(ShelleyLedgerEra era)
-        shortBsPlutusScript = PlutusScriptSerialised scriptShortBs
-        scriptShortBs = case isPlutusScriptDoubleEncoded $ LBS.fromStrict bs of
-          IsDoubleEncoded normalized -> SBS.toShort normalized
-          NotDoubleEncoded -> SBS.toShort bs
+        scriptShortBs = SBS.toShort $ removePlutusScriptDoubleEncoding $ LBS.fromStrict bs
     let plutusScript :: Plutus.Plutus (ToLedgerPlutusLanguage lang)
-        plutusScript = Plutus.Plutus $ Plutus.PlutusBinary scriptShortBs
+        plutusScript = PlutusScriptBinary scriptShortBs
+        plutusScriptInEra = PlutusScriptInEra $ PlutusScriptSerialised scriptShortBs
 
     case Plutus.decodePlutusRunnable v plutusScript of
       Left e ->
         Left $
           CBOR.DecoderErrorCustom "PlutusLedgerApi.Common.ScriptDecodeError" (Text.pack . show $ pretty e)
-      Right{} -> Right $ PlutusScriptInEra shortBsPlutusScript
+      Right{} -> Right plutusScriptInEra
 
 -- ----------------------------------------------------------------------------
 -- JSON serialisation
diff --git a/cardano-api/test/cardano-api-test/Test/Cardano/Api/CBOR.hs b/cardano-api/test/cardano-api-test/Test/Cardano/Api/CBOR.hs
index 679599cbd3..177918a60d 100644
--- a/cardano-api/test/cardano-api-test/Test/Cardano/Api/CBOR.hs
+++ b/cardano-api/test/cardano-api-test/Test/Cardano/Api/CBOR.hs
@@ -17,6 +17,7 @@ import           Cardano.Api.SerialiseTextEnvelope (TextEnvelopeDescr (TextEnvel
 import           Cardano.Api.Shelley (AsType (..))
 
 import qualified Data.ByteString.Base16 as Base16
+import qualified Data.ByteString.Lazy as LBS
 import qualified Data.ByteString.Short as SBS
 import           Data.Proxy (Proxy (..))
 import qualified Data.Text as T
@@ -30,7 +31,6 @@ import           Hedgehog (Property, forAll, property, tripping)
 import qualified Hedgehog as H
 import qualified Hedgehog.Extras as H
 import qualified Hedgehog.Gen as Gen
-import           Hedgehog.Internal.Property (failWith)
 import qualified Test.Hedgehog.Roundtrip.CBOR as H
 import           Test.Hedgehog.Roundtrip.CBOR
 import           Test.Tasty (TestTree, testGroup)
@@ -249,14 +249,10 @@ prop_decode_only_wrapped_plutus_script_V3_CBOR = H.property $ do
     (AsScript AsPlutusScriptV3)
 
 prop_double_encoded_sanity_check :: Property
-prop_double_encoded_sanity_check = H.property $ do
-  case isPlutusScriptDoubleEncoded exampleDoubleEncodedBytes of
-    NotDoubleEncoded ->
-      failWith Nothing $
-        unlines
-          [ "Input expected to be double encoded"
-          ]
-    IsDoubleEncoded{} -> H.success
+prop_double_encoded_sanity_check = H.propertyOnce $ do
+  let fixed = removePlutusScriptDoubleEncoding exampleDoubleEncodedBytes
+
+  LBS.fromStrict fixed H./== exampleDoubleEncodedBytes
 
 prop_roundtrip_ScriptData_CBOR :: Property
 prop_roundtrip_ScriptData_CBOR = H.property $ do