diff --git a/packages/core/data-transfer/src/engine/index.ts b/packages/core/data-transfer/src/engine/index.ts
index fad735aa3c..cfdc52a2a2 100644
--- a/packages/core/data-transfer/src/engine/index.ts
+++ b/packages/core/data-transfer/src/engine/index.ts
@@ -23,6 +23,7 @@ import type {
   TransferFilters,
   TransferFilterPreset,
   SchemaDiffHandler,
+  SchemaDiffHandlerContext,
   SchemaMap,
 } from '../../types';
 import type { Diff } from '../utils/json';
@@ -30,11 +31,7 @@ import type { Diff } from '../utils/json';
 import { compareSchemas, validateProvider } from './validation';
 import { filter, map } from '../utils/stream';
 
-import {
-  TransferEngineError,
-  TransferEngineInitializationError,
-  TransferEngineValidationError,
-} from './errors';
+import { TransferEngineError, TransferEngineValidationError } from './errors';
 import {
   createDiagnosticReporter,
   IDiagnosticReporter,
@@ -98,8 +95,6 @@ class TransferEngine<
 
   #metadata: { source?: IMetadata; destination?: IMetadata } = {};
 
-  #ignoredDiffs: Record<string, utils.json.Diff[]> = {};
-
   // Progress of the current stage
   progress: {
     // metrics on the progress such as size and record count
@@ -556,7 +551,7 @@ class TransferEngine<
     if (!this.#currentStream) {
       throw err;
     }
-    this.#currentStream?.destroy(err);
+    this.#currentStream.destroy(err);
   }
 
   async init(): Promise<void> {
@@ -640,20 +635,29 @@ class TransferEngine<
       if (error instanceof TransferEngineValidationError && error.details?.details?.diffs) {
         const schemaDiffs = error.details?.details?.diffs as Record<string, Diff[]>;
 
-        const context = {
-          ignoreDiffs: {},
+        const context: SchemaDiffHandlerContext = {
+          ignoredDiffs: {},
           diffs: schemaDiffs,
           source: this.sourceProvider,
           destination: this.destinationProvider,
         };
 
-        await runMiddleware<typeof context>(context, this.#handlers.schemaDiff);
+        // if we don't have any handlers, throw the original error
+        if (isEmpty(this.#handlers.schemaDiff)) {
+          throw error;
+        }
 
-        this.#ignoredDiffs = context.ignoreDiffs;
+        await runMiddleware<SchemaDiffHandlerContext>(context, this.#handlers.schemaDiff);
 
         // if there are any remaining diffs that weren't ignored
-        if (utils.json.diff(context.diffs, this.#ignoredDiffs).length) {
-          this.panic(new TransferEngineInitializationError('Unresolved differences in schema'));
+        const unresolvedDiffs = utils.json.diff(context.diffs, context.ignoredDiffs);
+        if (unresolvedDiffs.length) {
+          this.panic(
+            new TransferEngineValidationError('Unresolved differences in schema', {
+              check: 'schema.changes',
+              unresolvedDiffs,
+            })
+          );
         }
 
         return;
diff --git a/packages/core/data-transfer/types/transfer-engine.d.ts b/packages/core/data-transfer/types/transfer-engine.d.ts
index 5ecc0bce21..1c9c729739 100644
--- a/packages/core/data-transfer/types/transfer-engine.d.ts
+++ b/packages/core/data-transfer/types/transfer-engine.d.ts
@@ -8,15 +8,16 @@ export type TransferFilterPreset = 'content' | 'files' | 'config';
 type SchemaMap = Record<string, Schema>;
 
 // Error resolving handler middleware for the transfer engine
-export type Next<T> = (context: T) => void | Promise<void>;
-export type Middleware<T> = (context: T, next: Next) => Promise<void> | void;
+export type NextMiddleware<T> = (context: T) => void | Promise<void>;
+export type Middleware<T> = (context: T, next: NextMiddleware<T>) => Promise<void> | void;
 
 export type SchemaDiffHandlerContext = {
+  ignoredDiffs: Record<string, Diff[]>;
   diffs: Record<string, Diff[]>;
   source: ISourceProvider;
   destination: IDestinationProvider;
 };
-export type SchemaDiffHandler = (data: SchemaDiffHandlerContext, next: SchemaDiffHandler) => void;
+export type SchemaDiffHandler = Middleware<SchemaDiffHandlerContext>;
 
 /**
  * Defines the capabilities and properties of the transfer engine
diff --git a/packages/core/strapi/lib/commands/utils/data-transfer.js b/packages/core/strapi/lib/commands/utils/data-transfer.js
index 9aef8343d3..a87b9a3a76 100644
--- a/packages/core/strapi/lib/commands/utils/data-transfer.js
+++ b/packages/core/strapi/lib/commands/utils/data-transfer.js
@@ -334,7 +334,7 @@ const getDiffHandler = (engine, { force }) => {
     setSignalHandler(() => abortTransfer({ engine, strapi }));
 
     if (confirmed) {
-      context.ignoreDiffs = merge(context.diffs, context.ignoredDiffs);
+      context.ignoredDiffs = merge(context.diffs, context.ignoredDiffs);
     }
 
     return next(context);