diff --git a/erpnext/support/doctype/issue/test_issue.py b/erpnext/support/doctype/issue/test_issue.py
index d566f33f24..477ac7260c 100644
--- a/erpnext/support/doctype/issue/test_issue.py
+++ b/erpnext/support/doctype/issue/test_issue.py
@@ -211,6 +211,43 @@ class TestIssue(TestSetUp):
 		self.assertEquals(issue.agreement_status, 'Fulfilled')
 		self.assertEquals(issue.resolution_date, frappe.flags.current_time)
 
+	def test_recording_of_assignment_on_first_reponse_failure(self):
+		from frappe.desk.form.assign_to import add as add_assignment
+
+		frappe.flags.current_time = get_datetime("2021-11-01 19:00")
+
+		issue = make_issue(frappe.flags.current_time, index=1)
+		create_communication(issue.name, "test@example.com", "Received", frappe.flags.current_time)
+		add_assignment({
+			'doctype': issue.doctype,
+			'name': issue.name,
+			'assign_to': ['test@admin.com']
+		})
+		issue.reload()
+
+		# send a reply failing response SLA
+		frappe.flags.current_time = get_datetime("2021-11-02 15:00")
+		create_communication(issue.name, "test@admin.com", "Sent", frappe.flags.current_time)
+
+		# assert if a new timeline item has been added
+		# to record the assignment
+		comment = frappe.get_last_doc('Comment')
+		self.assertTrue('First Response SLA Failed' in comment.content)
+
+	def test_agreement_status_on_response(self):
+		frappe.flags.current_time = get_datetime("2021-11-01 19:00")
+
+		issue = make_issue(frappe.flags.current_time, index=1)
+		create_communication(issue.name, "test@example.com", "Received", frappe.flags.current_time)
+		self.assertTrue(issue.status == 'Open')
+
+		# send a reply within response SLA
+		frappe.flags.current_time = get_datetime("2021-11-02 11:00")
+		create_communication(issue.name, "test@admin.com", "Sent", frappe.flags.current_time)
+
+		issue.reload()
+		self.assertEquals(issue.first_responded_on, frappe.flags.current_time)
+		self.assertEquals(issue.agreement_status, 'Resolution Due')
 
 class TestFirstResponseTime(TestSetUp):
 	# working hours used in all cases: Mon-Fri, 10am to 6pm
@@ -425,6 +462,7 @@ class TestFirstResponseTime(TestSetUp):
 def create_issue_and_communication(issue_creation, first_responded_on):
 	issue = make_issue(issue_creation, index=1)
 	sender = create_user("test@admin.com")
+	frappe.flags.current_time = first_responded_on
 	create_communication(issue.name, sender.email, "Sent", first_responded_on)
 	issue.reload()
 
diff --git a/erpnext/support/doctype/service_level_agreement/service_level_agreement.py b/erpnext/support/doctype/service_level_agreement/service_level_agreement.py
index 9ae2d64d6f..19aa5783f7 100644
--- a/erpnext/support/doctype/service_level_agreement/service_level_agreement.py
+++ b/erpnext/support/doctype/service_level_agreement/service_level_agreement.py
@@ -397,6 +397,12 @@ def handle_status_change(doc, apply_sla_for_resolution):
 	def is_open_status(status):
 		return status not in hold_statuses and status not in fulfillment_statuses
 
+	def set_first_response():
+		if doc.meta.has_field("first_responded_on") and not doc.get('first_responded_on'):
+			doc.first_responded_on = now_time
+			if get_datetime(doc.get('first_responded_on')) > get_datetime(doc.get('response_by')):
+				record_assigned_users_on_failure(doc)
+
 	def calculate_hold_hours():
 		# In case issue was closed and after few days it has been opened
 		# The hold time should be calculated from resolution_date
@@ -408,9 +414,7 @@ def handle_status_change(doc, apply_sla_for_resolution):
 		doc.on_hold_since = None
 
 	if ((is_open_status(prev_status) and not is_open_status(doc.status)) or doc.flags.on_first_reply):
-		# status changed from Open to something else
-		if doc.meta.has_field("first_responded_on") and not doc.get('first_responded_on'):
-			doc.first_responded_on = now_time
+		set_first_response()
 
 	# Open to Replied
 	if is_open_status(prev_status) and is_hold_status(doc.status):
@@ -688,6 +692,18 @@ def set_resolution_by(doc, start_date_time, priority):
 			doc.resolution_by = add_to_date(doc.resolution_by, seconds=round(doc.get('total_hold_time')))
 
 
+def record_assigned_users_on_failure(doc):
+	assigned_users = doc.get_assigned_users()
+	if assigned_users:
+		from frappe.utils import get_fullname
+		assigned_users = ', '.join((get_fullname(user) for user in assigned_users))
+		message = _(f'First Response SLA Failed by {assigned_users}')
+		doc.add_comment(
+			comment_type='Assigned',
+			text=message
+		)
+
+
 def get_service_level_agreement_fields():
 	return [
 		{