diff --git a/Projects/Server.Tests/Tests/Items/DecayRegistrationTests.cs b/Projects/Server.Tests/Tests/Items/DecayRegistrationTests.cs
index 2ceeebf7f..63204165f 100644
--- a/Projects/Server.Tests/Tests/Items/DecayRegistrationTests.cs
+++ b/Projects/Server.Tests/Tests/Items/DecayRegistrationTests.cs
@@ -340,6 +340,40 @@ public class DecayRegistrationTests
         }
     }
 
+    // Once a real move supersedes the reset stamp, the stamp must be dropped so the item's
+    // CompactInfo can collapse instead of holding ~40 bytes forever.
+    [Fact]
+    public void MovingAnItem_ClearsASupersededDecayResetStamp()
+    {
+        var start = Core._now;
+
+        try
+        {
+            var item = new Item(0x1234);
+            item.MoveToWorld(new Point3D(112, 100, 0), Map.Felucca);
+
+            item.Movable = false;
+            Core._now = start + TimeSpan.FromDays(30);
+            item.Movable = true;
+
+            Assert.NotEqual(default, item.DecayResetTime);
+
+            // A real move supersedes the stamp.
+            Core._now += TimeSpan.FromMinutes(1);
+            item.MoveToWorld(new Point3D(113, 100, 0), Map.Felucca);
+
+            Assert.Equal(default, item.DecayResetTime);
+            Assert.Equal(item.LastMoved + item.DecayTime, item.ScheduledDecayTime);
+            Assert.True(DecayScheduler.IsRegistered(item));
+
+            item.Delete();
+        }
+        finally
+        {
+            Core._now = start;
+        }
+    }
+
     // A raw Map assignment (e.g. a GM changing Map through props) is a move: it must enroll
     // an untracked item for decay instead of leaving it to linger forever.
     [Fact]
diff --git a/Projects/Server/Items/Item.cs b/Projects/Server/Items/Item.cs
index 270fecb01..7cddaaa21 100644
--- a/Projects/Server/Items/Item.cs
+++ b/Projects/Server/Items/Item.cs
@@ -335,7 +335,26 @@ public partial class Item : IHued, IComparable<Item>, ISpawnable, IObjectPropert
     [CommandProperty(AccessLevel.GameMaster)]
     public virtual bool Decays => Movable && Visible && Spawner == null;
 
-    public DateTime LastMoved { get; set; }
+    private DateTime _lastMoved;
+
+    public DateTime LastMoved
+    {
+        get => _lastMoved;
+        set
+        {
+            _lastMoved = value;
+
+            // A move at or past the reset stamp supersedes it; drop the stamp so the
+            // CompactInfo it lives in can collapse instead of being held forever.
+            var info = LookupCompactInfo();
+
+            if (info != null && info.m_DecayReset != default && info.m_DecayReset <= value)
+            {
+                info.m_DecayReset = default;
+                VerifyCompactInfo();
+            }
+        }
+    }
 
     [CommandProperty(AccessLevel.GameMaster)]
     public bool Stackable
@@ -2761,7 +2780,14 @@ public partial class Item : IHued, IComparable<Item>, ISpawnable, IObjectPropert
 
                     if (version >= 10 && GetSaveFlag(flags, SaveFlag.DecayReset))
                     {
-                        DecayResetTime = Core.Now - TimeSpan.FromMinutes(reader.ReadEncodedInt());
+                        var reset = Core.Now - TimeSpan.FromMinutes(reader.ReadEncodedInt());
+
+                        // Minute rounding can land the stamp on LastMoved; only keep it while
+                        // it still extends the deadline, so CompactInfo is not held for nothing.
+                        if (reset > LastMoved)
+                        {
+                            DecayResetTime = reset;
+                        }
                     }
 
                     if (GetSaveFlag(flags, SaveFlag.Direction))