diff --git a/packages/contracts/contracts/escrow/CollateralEscrowV1.sol b/packages/contracts/contracts/escrow/CollateralEscrowV1.sol
index 1d1247cae..c3f6d6baf 100644
--- a/packages/contracts/contracts/escrow/CollateralEscrowV1.sol
+++ b/packages/contracts/contracts/escrow/CollateralEscrowV1.sol
@@ -93,13 +93,17 @@ contract CollateralEscrowV1 is OwnableUpgradeable, ICollateralEscrowV1 {
             collateral._amount >= _amount,
             "No collateral balance for asset"
         );
+
+        //this comes first to mitigate re-entrancy via checks-effects-interact pattern
+        collateral._amount -= _amount;
+
         _withdrawCollateral(
             collateral,
             _collateralAddress,
             _amount,
             _recipient
         );
-        collateral._amount -= _amount;
+        
         emit CollateralWithdrawn(_collateralAddress, _amount, _recipient);
     }
 
diff --git a/packages/contracts/lib/forge-std b/packages/contracts/lib/forge-std
index 73a504d2c..2f6762e4f 160000
--- a/packages/contracts/lib/forge-std
+++ b/packages/contracts/lib/forge-std
@@ -1 +1 @@
-Subproject commit 73a504d2cf6f37b7ce285b479f4c681f76e95f1b
+Subproject commit 2f6762e4f73f3d835457c220b5f62dfeeb6f6341