diff --git a/e2e/packages/contracts/src/codegen/world/IAddressPayableArraySystem.sol b/e2e/packages/contracts/src/codegen/world/IAddressPayableArraySystem.sol
new file mode 100644
index 0000000000..353b5da213
--- /dev/null
+++ b/e2e/packages/contracts/src/codegen/world/IAddressPayableArraySystem.sol
@@ -0,0 +1,13 @@
+// SPDX-License-Identifier: MIT
+pragma solidity >=0.8.24;
+
+/* Autogenerated file. Do not edit manually. */
+
+/**
+ * @title IAddressPayableArraySystem
+ * @author MUD (https://mud.dev) by Lattice (https://lattice.xyz)
+ * @dev This interface is automatically generated from the corresponding system contract. Do not edit manually.
+ */
+interface IAddressPayableArraySystem {
+  function getAddressPayableArray(address payable[] memory array) external pure returns (address payable[] memory);
+}
diff --git a/e2e/packages/contracts/src/codegen/world/IWorld.sol b/e2e/packages/contracts/src/codegen/world/IWorld.sol
index e52b4ae995..05791065bf 100644
--- a/e2e/packages/contracts/src/codegen/world/IWorld.sol
+++ b/e2e/packages/contracts/src/codegen/world/IWorld.sol
@@ -4,6 +4,7 @@ pragma solidity >=0.8.24;
 /* Autogenerated file. Do not edit manually. */
 
 import { IBaseWorld } from "@latticexyz/world/src/codegen/interfaces/IBaseWorld.sol";
+import { IAddressPayableArraySystem } from "./IAddressPayableArraySystem.sol";
 import { ICustomErrorsSystem } from "./ICustomErrorsSystem.sol";
 import { ILibWrapperSystem } from "./ILibWrapperSystem.sol";
 import { INumberListSystem } from "./INumberListSystem.sol";
@@ -19,6 +20,7 @@ import { IVectorSystem } from "./IVectorSystem.sol";
  */
 interface IWorld is
   IBaseWorld,
+  IAddressPayableArraySystem,
   ICustomErrorsSystem,
   ILibWrapperSystem,
   INumberListSystem,
diff --git a/e2e/packages/contracts/src/systems/AddressPayableArraySystem.sol b/e2e/packages/contracts/src/systems/AddressPayableArraySystem.sol
new file mode 100644
index 0000000000..af217912e9
--- /dev/null
+++ b/e2e/packages/contracts/src/systems/AddressPayableArraySystem.sol
@@ -0,0 +1,10 @@
+// SPDX-License-Identifier: MIT
+pragma solidity >=0.8.24;
+
+import { System } from "@latticexyz/world/src/System.sol";
+
+contract AddressPayableArraySystem is System {
+  function getAddressPayableArray(address payable[] memory array) public pure returns (address payable[] memory) {
+    return array;
+  }
+}
diff --git a/packages/common/src/codegen/utils/contractToInterface.ts b/packages/common/src/codegen/utils/contractToInterface.ts
index 914860b188..2bc64a0421 100644
--- a/packages/common/src/codegen/utils/contractToInterface.ts
+++ b/packages/common/src/codegen/utils/contractToInterface.ts
@@ -101,13 +101,8 @@ export function contractToInterface(
 function parseParameter({ name, typeName, storageLocation }: VariableDeclaration): string {
   let typedNameWithLocation = "";
 
-  const { name: flattenedTypeName, stateMutability } = flattenTypeName(typeName);
   // type name (e.g. uint256)
-  typedNameWithLocation += flattenedTypeName;
-  // optional mutability (e.g. address payable)
-  if (stateMutability !== null) {
-    typedNameWithLocation += ` ${stateMutability}`;
-  }
+  typedNameWithLocation += flattenTypeName(typeName);
   // location, when relevant (e.g. string memory)
   if (storageLocation !== null) {
     typedNameWithLocation += ` ${storageLocation}`;
@@ -120,23 +115,20 @@ function parseParameter({ name, typeName, storageLocation }: VariableDeclaration
   return typedNameWithLocation;
 }
 
-function flattenTypeName(typeName: TypeName | null): { name: string; stateMutability: string | null } {
+function flattenTypeName(typeName: TypeName | null): string {
   if (typeName === null) {
-    return {
-      name: "",
-      stateMutability: null,
-    };
+    return "";
   }
   if (typeName.type === "ElementaryTypeName") {
-    return {
-      name: typeName.name,
-      stateMutability: typeName.stateMutability,
-    };
+    if (typeName.stateMutability !== null) {
+      // for elementary types mutability can only be `payable`, and should be part of the elementary type name
+      // meaning that `address payable[]` is correct, not `address[] payable`
+      return `${typeName.name} ${typeName.stateMutability}`;
+    } else {
+      return typeName.name;
+    }
   } else if (typeName.type === "UserDefinedTypeName") {
-    return {
-      name: typeName.namePath,
-      stateMutability: null,
-    };
+    return typeName.namePath;
   } else if (typeName.type === "ArrayTypeName") {
     let length = "";
     if (typeName.length?.type === "NumberLiteral") {
@@ -145,11 +137,8 @@ function flattenTypeName(typeName: TypeName | null): { name: string; stateMutabi
       length = typeName.length.name;
     }
 
-    const { name, stateMutability } = flattenTypeName(typeName.baseTypeName);
-    return {
-      name: `${name}[${length}]`,
-      stateMutability,
-    };
+    const name = flattenTypeName(typeName.baseTypeName);
+    return `${name}[${length}]`;
   } else {
     // TODO function types are unsupported but could be useful
     throw new MUDError(`Invalid typeName.type ${typeName.type}`);
diff --git a/test/system-libraries/src/namespaces/a/ASystem.sol b/test/system-libraries/src/namespaces/a/ASystem.sol
index 664f501fb1..240da3fb2e 100644
--- a/test/system-libraries/src/namespaces/a/ASystem.sol
+++ b/test/system-libraries/src/namespaces/a/ASystem.sol
@@ -64,4 +64,11 @@ contract ASystem is System {
     Value.set(values[3]);
   }
   */
+
+  /*
+  // TODO: support this case
+  function getAddressPayableArray(address payable[] memory array) public pure returns (address payable[] memory) {
+    return array;
+  }
+  */
 }