[PM 20621]Update error message when lowering seat count (#5836)

* implement the seat decrease error message * Resolve the comment regarding abstraction * Resolved the database failure Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing upgrade test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Removed the unused method * Remove the total calculation from the stored procedure * Refactoring base on pr feedback * Refactoring base on pr feedback * Resolve the fauiling database * Resolve the failing database test * Resolve the database test * Remove duplicate migrations * resolve the failing test * Removed the unneeded change * remove this file * Reverted Deleted migration * revert the added space * resolve the stored procedure name * Rename the migration name * Updated the stored procedure name * Revert the changes on the sproc * Revert unrelated changes * Remove the unused method * improved the xmldoc * Add an integration testing * Add the use of helper test class Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * Resolve the failing test Signed-off-by: Cy Okeke <cokeke@bitwarden.com> * remove object look up * Resolve message rollback Signed-off-by: Cy Okeke <cokeke@bitwarden.com> --------- Signed-off-by: Cy Okeke <cokeke@bitwarden.com>
2025-06-13 14:30:50 -05:00 · 2025-06-11 14:03:45 +01:00 · 2025-06-11 14:03:45 +01:00 · a618f97234
commit a618f97234
parent f532236f05
24 changed files with 715 additions and 157 deletions
--- a/bitwarden_license/src/Sso/Controllers/AccountController.cs
+++ b/bitwarden_license/src/Sso/Controllers/AccountController.cs
@ -499,9 +499,9 @@ public class AccountController : Controller
        // Before any user creation - if Org User doesn't exist at this point - make sure there are enough seats to add one
        if (orgUser == null && organization.Seats.HasValue)
        {
-            var occupiedSeats = await _organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+            var occupiedSeats = await _organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
            var initialSeatCount = organization.Seats.Value;
-            var availableSeats = initialSeatCount - occupiedSeats;
+            var availableSeats = initialSeatCount - occupiedSeats.Total;
            if (availableSeats < 1)
            {
                try
--- a/src/Core/AdminConsole/OrganizationFeatures/OrganizationUsers/InviteUsers/InviteOrganizationUsersCommand.cs
+++ b/src/Core/AdminConsole/OrganizationFeatures/OrganizationUsers/InviteUsers/InviteOrganizationUsersCommand.cs
@ -87,7 +87,7 @@ public class InviteOrganizationUsersCommand(IEventService eventService,
            InviteOrganization = request.InviteOrganization,
            PerformedBy = request.PerformedBy,
            PerformedAt = request.PerformedAt,
-            OccupiedPmSeats = await organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(request.InviteOrganization.OrganizationId),
+            OccupiedPmSeats = (await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(request.InviteOrganization.OrganizationId)).Total,
            OccupiedSmSeats = await organizationUserRepository.GetOccupiedSmSeatCountByOrganizationIdAsync(request.InviteOrganization.OrganizationId)
        });

--- a/src/Core/AdminConsole/OrganizationFeatures/OrganizationUsers/RestoreUser/v1/RestoreOrganizationUserCommand.cs
+++ b/src/Core/AdminConsole/OrganizationFeatures/OrganizationUsers/RestoreUser/v1/RestoreOrganizationUserCommand.cs
@ -70,8 +70,8 @@ public class RestoreOrganizationUserCommand(
        }

        var organization = await organizationRepository.GetByIdAsync(organizationUser.OrganizationId);
-        var occupiedSeats = await organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-        var availableSeats = organization.Seats.GetValueOrDefault(0) - occupiedSeats;
+        var seatCounts = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+        var availableSeats = organization.Seats.GetValueOrDefault(0) - seatCounts.Total;

        if (availableSeats < 1)
        {
@ -163,8 +163,8 @@ public class RestoreOrganizationUserCommand(
        }

        var organization = await organizationRepository.GetByIdAsync(organizationId);
-        var occupiedSeats = await organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-        var availableSeats = organization.Seats.GetValueOrDefault(0) - occupiedSeats;
+        var seatCounts = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+        var availableSeats = organization.Seats.GetValueOrDefault(0) - seatCounts.Total;
        var newSeatsRequired = organizationUserIds.Count() - availableSeats;
        await organizationService.AutoAddSeatsAsync(organization, newSeatsRequired);

--- a/src/Core/AdminConsole/Repositories/IOrganizationRepository.cs
+++ b/src/Core/AdminConsole/Repositories/IOrganizationRepository.cs
@ -1,6 +1,7 @@
 using Bit.Core.AdminConsole.Entities;
 using Bit.Core.AdminConsole.Enums.Provider;
 using Bit.Core.Models.Data.Organizations;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;

 #nullable enable

@ -25,4 +26,14 @@ public interface IOrganizationRepository : IRepository<Organization, Guid>
    Task<ICollection<Organization>> GetByVerifiedUserEmailDomainAsync(Guid userId);
    Task<ICollection<Organization>> GetAddableToProviderByUserIdAsync(Guid userId, ProviderType providerType);
    Task<ICollection<Organization>> GetManyByIdsAsync(IEnumerable<Guid> ids);
+
+    /// <summary>
+    /// Returns the number of occupied seats for an organization.
+    /// OrganizationUsers occupy a seat, unless they are revoked.
+    /// As of https://bitwarden.atlassian.net/browse/PM-17772, a seat is also occupied by a Families for Enterprise sponsorship sent by an
+    /// organization admin, even if the user sent the invitation doesn't have a corresponding OrganizationUser in the Enterprise organization.
+    /// </summary>
+    /// <param name="organizationId">The ID of the organization to get the occupied seat count for.</param>
+    /// <returns>The number of occupied seats for the organization.</returns>
+    Task<OrganizationSeatCounts> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId);
 }
--- a/src/Core/AdminConsole/Repositories/IOrganizationUserRepository.cs
+++ b/src/Core/AdminConsole/Repositories/IOrganizationUserRepository.cs
@ -18,16 +18,6 @@ public interface IOrganizationUserRepository : IRepository<OrganizationUser, Gui
    Task<ICollection<OrganizationUser>> GetManyByUserAsync(Guid userId);
    Task<ICollection<OrganizationUser>> GetManyByOrganizationAsync(Guid organizationId, OrganizationUserType? type);
    Task<int> GetCountByOrganizationAsync(Guid organizationId, string email, bool onlyRegisteredUsers);
-
-    /// <summary>
-    /// Returns the number of occupied seats for an organization.
-    /// Occupied seats are OrganizationUsers that have at least been invited.
-    /// As of https://bitwarden.atlassian.net/browse/PM-17772, a seat is also occupied by a Families for Enterprise sponsorship sent by an
-    /// organization admin, even if the user sent the invitation doesn't have a corresponding OrganizationUser in the Enterprise organization.
-    /// </summary>
-    /// <param name="organizationId">The ID of the organization to get the occupied seat count for.</param>
-    /// <returns>The number of occupied seats for the organization.</returns>
-    Task<int> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId);
    Task<ICollection<string>> SelectKnownEmailsAsync(Guid organizationId, IEnumerable<string> emails, bool onlyRegisteredUsers);
    Task<OrganizationUser?> GetByOrganizationAsync(Guid organizationId, Guid userId);
    Task<Tuple<OrganizationUser?, ICollection<CollectionAccessSelection>>> GetByIdWithCollectionsAsync(Guid id);
--- a/src/Core/AdminConsole/Services/Implementations/OrganizationService.cs
+++ b/src/Core/AdminConsole/Services/Implementations/OrganizationService.cs
@ -294,13 +294,22 @@ public class OrganizationService : IOrganizationService

        if (!organization.Seats.HasValue || organization.Seats.Value > newSeatTotal)
        {
-            var occupiedSeats = await _organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-            if (occupiedSeats > newSeatTotal)
+            var seatCounts = await _organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+
+            if (seatCounts.Total > newSeatTotal)
            {
-                throw new BadRequestException($"Your organization currently has {occupiedSeats} seats filled. " +
+                if (organization.UseAdminSponsoredFamilies || seatCounts.Sponsored > 0)
+                {
+                    throw new BadRequestException($"Your organization has {seatCounts.Users} members and {seatCounts.Sponsored} sponsored families. " +
+                                                  $"To decrease the seat count below {seatCounts.Total}, you must remove members or sponsorships.");
+                }
+                else
+                {
+                    throw new BadRequestException($"Your organization currently has {seatCounts.Total} seats filled. " +
                                                  $"Your new plan only has ({newSeatTotal}) seats. Remove some users.");
                }
            }
+        }

        if (organization.UseSecretsManager && organization.Seats + seatAdjustment < organization.SmSeats)
        {
@ -726,8 +735,8 @@ public class OrganizationService : IOrganizationService
        var newSeatsRequired = 0;
        if (organization.Seats.HasValue)
        {
-            var occupiedSeats = await _organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-            var availableSeats = organization.Seats.Value - occupiedSeats;
+            var seatCounts = await _organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+            var availableSeats = organization.Seats.Value - seatCounts.Total;
            newSeatsRequired = invites.Sum(i => i.invite.Emails.Count()) - existingEmails.Count() - availableSeats;
        }

@ -1177,8 +1186,8 @@ public class OrganizationService : IOrganizationService
            var enoughSeatsAvailable = true;
            if (organization.Seats.HasValue)
            {
-                var occupiedSeats = await _organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-                seatsAvailable = organization.Seats.Value - occupiedSeats;
+                var seatCounts = await _organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+                seatsAvailable = organization.Seats.Value - seatCounts.Total;
                enoughSeatsAvailable = seatsAvailable >= usersToAdd.Count;
            }

--- a/src/Core/Billing/Services/Implementations/OrganizationBillingService.cs
+++ b/src/Core/Billing/Services/Implementations/OrganizationBillingService.cs
@ -31,7 +31,6 @@ public class OrganizationBillingService(
    IGlobalSettings globalSettings,
    ILogger<OrganizationBillingService> logger,
    IOrganizationRepository organizationRepository,
-    IOrganizationUserRepository organizationUserRepository,
    IPricingClient pricingClient,
    ISetupIntentCache setupIntentCache,
    IStripeAdapter stripeAdapter,
@ -78,14 +77,14 @@ public class OrganizationBillingService(
        var isEligibleForSelfHost = await IsEligibleForSelfHostAsync(organization);

        var isManaged = organization.Status == OrganizationStatusType.Managed;
-        var orgOccupiedSeats = await organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+        var orgOccupiedSeats = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
        if (string.IsNullOrWhiteSpace(organization.GatewaySubscriptionId))
        {
            return OrganizationMetadata.Default with
            {
                IsEligibleForSelfHost = isEligibleForSelfHost,
                IsManaged = isManaged,
-                OrganizationOccupiedSeats = orgOccupiedSeats
+                OrganizationOccupiedSeats = orgOccupiedSeats.Total
            };
        }

@ -120,7 +119,7 @@ public class OrganizationBillingService(
            invoice?.DueDate,
            invoice?.Created,
            subscription.CurrentPeriodEnd,
-            orgOccupiedSeats);
+            orgOccupiedSeats.Total);
    }

    public async Task
--- a/src/Core/Models/Data/Organizations/OrganizationUsers/OrganizationSeatCounts.cs
+++ b/src/Core/Models/Data/Organizations/OrganizationUsers/OrganizationSeatCounts.cs
@ -0,0 +1,8 @@
+namespace Bit.Core.Models.Data.Organizations.OrganizationUsers;
+
+public class OrganizationSeatCounts
+{
+    public int Users { get; set; }
+    public int Sponsored { get; set; }
+    public int Total => Users + Sponsored;
+}
--- a/src/Core/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/CreateSponsorshipCommand.cs
+++ b/src/Core/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/CreateSponsorshipCommand.cs
@ -16,7 +16,7 @@ public class CreateSponsorshipCommand(
    IOrganizationSponsorshipRepository organizationSponsorshipRepository,
    IUserService userService,
    IOrganizationService organizationService,
-    IOrganizationUserRepository organizationUserRepository) : ICreateSponsorshipCommand
+    IOrganizationRepository organizationRepository) : ICreateSponsorshipCommand
 {
    public async Task<OrganizationSponsorship> CreateSponsorshipAsync(
        Organization sponsoringOrganization,
@ -89,8 +89,8 @@ public class CreateSponsorshipCommand(

        if (isAdminInitiated && sponsoringOrganization.Seats.HasValue)
        {
-            var occupiedSeats = await organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrganization.Id);
-            var availableSeats = sponsoringOrganization.Seats.Value - occupiedSeats;
+            var seatCounts = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrganization.Id);
+            var availableSeats = sponsoringOrganization.Seats.Value - seatCounts.Total;

            if (availableSeats <= 0)
            {
--- a/src/Core/OrganizationFeatures/OrganizationSubscriptions/UpgradeOrganizationPlanCommand.cs
+++ b/src/Core/OrganizationFeatures/OrganizationSubscriptions/UpgradeOrganizationPlanCommand.cs
@ -107,14 +107,22 @@ public class UpgradeOrganizationPlanCommand : IUpgradeOrganizationPlanCommand
                                                  (newPlan.PasswordManager.HasAdditionalSeatsOption ? upgrade.AdditionalSeats : 0));
        if (!organization.Seats.HasValue || organization.Seats.Value > updatedPasswordManagerSeats)
        {
-            var occupiedSeats =
-                await _organizationUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
-            if (occupiedSeats > updatedPasswordManagerSeats)
+            var seatCounts =
+                await _organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+            if (seatCounts.Total > updatedPasswordManagerSeats)
            {
-                throw new BadRequestException($"Your organization currently has {occupiedSeats} seats filled. " +
+                if (organization.UseAdminSponsoredFamilies || seatCounts.Sponsored > 0)
+                {
+                    throw new BadRequestException($"Your organization has {seatCounts.Users} members and {seatCounts.Sponsored} sponsored families. " +
+                                                  $"To decrease the seat count below {seatCounts.Total}, you must remove members or sponsorships.");
+                }
+                else
+                {
+                    throw new BadRequestException($"Your organization currently has {seatCounts.Total} seats filled. " +
                                              $"Your new plan only has ({updatedPasswordManagerSeats}) seats. Remove some users.");
                }
            }
+        }

        if (newPlan.PasswordManager.MaxCollections.HasValue && (!organization.MaxCollections.HasValue ||
                                                               organization.MaxCollections.Value >
--- a/src/Infrastructure.Dapper/AdminConsole/Repositories/OrganizationRepository.cs
+++ b/src/Infrastructure.Dapper/AdminConsole/Repositories/OrganizationRepository.cs
@ -4,6 +4,7 @@ using Bit.Core.AdminConsole.Enums.Provider;
 using Bit.Core.Auth.Entities;
 using Bit.Core.Entities;
 using Bit.Core.Models.Data.Organizations;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;
 using Bit.Core.Repositories;
 using Bit.Core.Settings;
 using Dapper;
@ -200,11 +201,23 @@ public class OrganizationRepository : Repository<Organization, Guid>, IOrganizat
    public async Task<ICollection<Organization>> GetManyByIdsAsync(IEnumerable<Guid> ids)
    {
        await using var connection = new SqlConnection(ConnectionString);
-
        return (await connection.QueryAsync<Organization>(
            $"[{Schema}].[{Table}_ReadManyByIds]",
            new { OrganizationIds = ids.ToGuidIdArrayTVP() },
            commandType: CommandType.StoredProcedure))
            .ToList();
    }
+
+    public async Task<OrganizationSeatCounts> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId)
+    {
+        using (var connection = new SqlConnection(ConnectionString))
+        {
+            var result = await connection.QueryAsync<OrganizationSeatCounts>(
+                "[dbo].[Organization_ReadOccupiedSeatCountByOrganizationId]",
+                new { OrganizationId = organizationId },
+                commandType: CommandType.StoredProcedure);
+
+            return result.SingleOrDefault() ?? new OrganizationSeatCounts();
+        }
+    }
 }
--- a/src/Infrastructure.Dapper/AdminConsole/Repositories/OrganizationUserRepository.cs
+++ b/src/Infrastructure.Dapper/AdminConsole/Repositories/OrganizationUserRepository.cs
@ -88,19 +88,6 @@ public class OrganizationUserRepository : Repository<OrganizationUser, Guid>, IO
        }
    }

-    public async Task<int> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId)
-    {
-        using (var connection = new SqlConnection(ConnectionString))
-        {
-            var result = await connection.ExecuteScalarAsync<int>(
-                "[dbo].[OrganizationUser_ReadOccupiedSeatCountByOrganizationId]",
-                new { OrganizationId = organizationId },
-                commandType: CommandType.StoredProcedure);
-
-            return result;
-        }
-    }
-
    public async Task<int> GetOccupiedSmSeatCountByOrganizationIdAsync(Guid organizationId)
    {
        using (var connection = new SqlConnection(ConnectionString))
--- a/src/Infrastructure.EntityFramework/AdminConsole/Repositories/OrganizationRepository.cs
+++ b/src/Infrastructure.EntityFramework/AdminConsole/Repositories/OrganizationRepository.cs
@ -5,6 +5,7 @@ using Bit.Core.Billing.Constants;
 using Bit.Core.Billing.Enums;
 using Bit.Core.Enums;
 using Bit.Core.Models.Data.Organizations;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;
 using Bit.Core.Repositories;
 using LinqToDB.Tools;
 using Microsoft.EntityFrameworkCore;
@ -375,4 +376,28 @@ public class OrganizationRepository : Repository<Core.AdminConsole.Entities.Orga
    {
        throw new NotImplementedException("Collection enhancements migration is not yet supported for Entity Framework.");
    }
+
+    public async Task<OrganizationSeatCounts> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId)
+    {
+        using (var scope = ServiceScopeFactory.CreateScope())
+        {
+            var dbContext = GetDatabaseContext(scope);
+            var users = await dbContext.OrganizationUsers
+                .Where(ou => ou.OrganizationId == organizationId && ou.Status >= 0)
+                .CountAsync();
+
+            var sponsored = await dbContext.OrganizationSponsorships
+                .Where(os => os.SponsoringOrganizationId == organizationId &&
+                    os.IsAdminInitiated &&
+                    (os.ToDelete == false || (os.ToDelete == true && os.ValidUntil != null && os.ValidUntil > DateTime.UtcNow)) &&
+                    (os.SponsoredOrganizationId == null || (os.SponsoredOrganizationId != null && (os.ValidUntil == null || os.ValidUntil > DateTime.UtcNow))))
+                .CountAsync();
+
+            return new OrganizationSeatCounts
+            {
+                Users = users,
+                Sponsored = sponsored
+            };
+        }
+    }
 }
--- a/src/Infrastructure.EntityFramework/AdminConsole/Repositories/OrganizationUserRepository.cs
+++ b/src/Infrastructure.EntityFramework/AdminConsole/Repositories/OrganizationUserRepository.cs
@ -228,12 +228,6 @@ public class OrganizationUserRepository : Repository<Core.Entities.OrganizationU
        return await GetCountFromQuery(query);
    }

-    public async Task<int> GetOccupiedSeatCountByOrganizationIdAsync(Guid organizationId)
-    {
-        var query = new OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery(organizationId);
-        return await GetCountFromQuery(query);
-    }
-
    public async Task<int> GetCountByOrganizationIdAsync(Guid organizationId)
    {
        var query = new OrganizationUserReadCountByOrganizationIdQuery(organizationId);
--- a/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs
+++ b/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs
@ -1,48 +0,0 @@
-using Bit.Core.Enums;
-using Bit.Infrastructure.EntityFramework.Models;
-
-namespace Bit.Infrastructure.EntityFramework.Repositories.Queries;
-
-public class OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery : IQuery<OrganizationUser>
-{
-    private readonly Guid _organizationId;
-
-    public OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery(Guid organizationId)
-    {
-        _organizationId = organizationId;
-    }
-
-    public IQueryable<OrganizationUser> Run(DatabaseContext dbContext)
-    {
-        var orgUsersQuery = from ou in dbContext.OrganizationUsers
-                            where ou.OrganizationId == _organizationId && ou.Status >= OrganizationUserStatusType.Invited
-                            select new OrganizationUser { Id = ou.Id, OrganizationId = ou.OrganizationId, Status = ou.Status };
-
-        // As of https://bitwarden.atlassian.net/browse/PM-17772, a seat is also occupied by a Families for Enterprise sponsorship sent by an
-        // organization admin, even if the user sent the invitation doesn't have a corresponding OrganizationUser in the Enterprise organization.
-        var sponsorshipsQuery = from os in dbContext.OrganizationSponsorships
-                                where os.SponsoringOrganizationId == _organizationId &&
-                                      os.IsAdminInitiated &&
-                                      (
-                                          // Not marked for deletion - always count
-                                          (!os.ToDelete) ||
-                                          // Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
-                                          (os.ToDelete && os.ValidUntil.HasValue && os.ValidUntil.Value > DateTime.UtcNow)
-                                      ) &&
-                                      (
-                                          // SENT status: When SponsoredOrganizationId is null
-                                          os.SponsoredOrganizationId == null ||
-                                          // ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
-                                          (os.SponsoredOrganizationId != null &&
-                                           (!os.ValidUntil.HasValue || os.ValidUntil.Value > DateTime.UtcNow))
-                                      )
-                                select new OrganizationUser
-                                {
-                                    Id = os.Id,
-                                    OrganizationId = _organizationId,
-                                    Status = OrganizationUserStatusType.Invited
-                                };
-
-        return orgUsersQuery.Concat(sponsorshipsQuery);
-    }
-}
--- a/Procedures/Organization_ReadOccupiedSeatCountByOrganizationId.sql
+++ b/Procedures/Organization_ReadOccupiedSeatCountByOrganizationId.sql
@ -0,0 +1,38 @@
+CREATE PROCEDURE [dbo].[Organization_ReadOccupiedSeatCountByOrganizationId]
+    @OrganizationId UNIQUEIDENTIFIER
+AS
+BEGIN
+    SET NOCOUNT ON
+    
+    SELECT
+        (
+            -- Count organization users
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationUserView]
+            WHERE OrganizationId = @OrganizationId
+            AND Status >= 0 --Invited
+        ) as Users,
+        (
+            -- Count admin-initiated sponsorships towards the seat count
+            -- Introduced in https://bitwarden.atlassian.net/browse/PM-17772
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationSponsorship]
+            WHERE SponsoringOrganizationId = @OrganizationId
+            AND IsAdminInitiated = 1
+            AND (
+                -- Not marked for deletion - always count
+                (ToDelete = 0) 
+                OR
+                -- Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
+                (ToDelete = 1 AND ValidUntil IS NOT NULL AND ValidUntil > GETUTCDATE())
+            )
+            AND (
+                -- SENT status: When SponsoredOrganizationId is null
+                SponsoredOrganizationId IS NULL
+                OR
+                -- ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
+                (SponsoredOrganizationId IS NOT NULL AND (ValidUntil IS NULL OR ValidUntil > GETUTCDATE()))
+            )
+        ) as Sponsored
+END
+GO 
--- a/test/Core.Test/AdminConsole/OrganizationFeatures/OrganizationUsers/InviteUsers/InviteOrganizationUserCommandTests.cs
+++ b/test/Core.Test/AdminConsole/OrganizationFeatures/OrganizationUsers/InviteUsers/InviteOrganizationUserCommandTests.cs
@ -137,6 +137,14 @@ public class InviteOrganizationUserCommandTests
            .ValidateAsync(Arg.Any<InviteOrganizationUsersValidationRequest>())
            .Returns(new Valid<InviteOrganizationUsersValidationRequest>(GetInviteValidationRequestMock(request, inviteOrganization, organization)));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -202,6 +210,14 @@ public class InviteOrganizationUserCommandTests
            .Returns(new Invalid<InviteOrganizationUsersValidationRequest>(
                new Error<InviteOrganizationUsersValidationRequest>(errorMessage, validationRequest)));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -272,6 +288,14 @@ public class InviteOrganizationUserCommandTests
            .Returns(new Valid<InviteOrganizationUsersValidationRequest>(GetInviteValidationRequestMock(request, inviteOrganization, organization)
                .WithPasswordManagerUpdate(new PasswordManagerSubscriptionUpdate(inviteOrganization, organization.Seats.Value, 1))));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -343,6 +367,14 @@ public class InviteOrganizationUserCommandTests
                    .WithPasswordManagerUpdate(
                        new PasswordManagerSubscriptionUpdate(inviteOrganization, organization.Seats.Value, 1))));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -413,6 +445,14 @@ public class InviteOrganizationUserCommandTests
            .Returns(new Valid<InviteOrganizationUsersValidationRequest>(GetInviteValidationRequestMock(request, inviteOrganization, organization)
                .WithPasswordManagerUpdate(passwordManagerUpdate)));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -469,6 +509,7 @@ public class InviteOrganizationUserCommandTests
            .AdjustSeats(request.Invites.Count(x => x.AccessSecretsManager));

        var orgUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
+        var orgRepository = sutProvider.GetDependency<IOrganizationRepository>();

        orgUserRepository
            .SelectKnownEmailsAsync(inviteOrganization.OrganizationId, Arg.Any<IEnumerable<string>>(), false)
@ -476,11 +517,13 @@ public class InviteOrganizationUserCommandTests
        orgUserRepository
            .GetManyByMinimumRoleAsync(inviteOrganization.OrganizationId, OrganizationUserType.Owner)
            .Returns([ownerDetails]);
-        orgUserRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(1);
+        orgRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+        {
+            Sponsored = 0,
+            Users = 1
+        });
        orgUserRepository.GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id).Returns(1);

-        var orgRepository = sutProvider.GetDependency<IOrganizationRepository>();
-
        orgRepository.GetByIdAsync(organization.Id)
            .Returns(organization);

@ -566,6 +609,14 @@ public class InviteOrganizationUserCommandTests
            .SendInvitesAsync(Arg.Any<SendInvitesRequest>())
            .Throws(new Exception("Something went wrong"));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -671,6 +722,14 @@ public class InviteOrganizationUserCommandTests
                }
            });

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -762,6 +821,14 @@ public class InviteOrganizationUserCommandTests
                }
            });

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -829,6 +896,14 @@ public class InviteOrganizationUserCommandTests
                    .WithPasswordManagerUpdate(
                        new PasswordManagerSubscriptionUpdate(inviteOrganization, organization.Seats.Value, 1))));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

@ -900,6 +975,14 @@ public class InviteOrganizationUserCommandTests
                    .WithPasswordManagerUpdate(
                        new PasswordManagerSubscriptionUpdate(inviteOrganization, organization.Seats.Value, 1))));

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Sponsored = 0, Users = 0 });
+
+        sutProvider.GetDependency<IOrganizationUserRepository>()
+            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(0);
+
        // Act
        var result = await sutProvider.Sut.InviteScimOrganizationUserAsync(request);

--- a/test/Core.Test/AdminConsole/OrganizationFeatures/OrganizationUsers/RestoreUser/RestoreOrganizationUserCommandTests.cs
+++ b/test/Core.Test/AdminConsole/OrganizationFeatures/OrganizationUsers/RestoreUser/RestoreOrganizationUserCommandTests.cs
@ -31,7 +31,12 @@ public class RestoreOrganizationUserCommandTests
        [OrganizationUser(OrganizationUserStatusType.Revoked)] OrganizationUser organizationUser, SutProvider<RestoreOrganizationUserCommand> sutProvider)
    {
        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.RestoreUserAsync(organizationUser, owner.Id);

        await sutProvider.GetDependency<IOrganizationUserRepository>()
@ -49,7 +54,12 @@ public class RestoreOrganizationUserCommandTests
    public async Task RestoreUser_WithEventSystemUser_Success(Organization organization, [OrganizationUser(OrganizationUserStatusType.Revoked)] OrganizationUser organizationUser, EventSystemUser eventSystemUser, SutProvider<RestoreOrganizationUserCommand> sutProvider)
    {
        RestoreUser_Setup(organization, null, organizationUser, sutProvider);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.RestoreUserAsync(organizationUser, eventSystemUser);

        await sutProvider.GetDependency<IOrganizationUserRepository>()
@ -151,7 +161,12 @@ public class RestoreOrganizationUserCommandTests
        sutProvider.GetDependency<IPolicyService>()
            .AnyPoliciesApplicableToUserAsync(organizationUser.UserId.Value, PolicyType.SingleOrg, Arg.Any<OrganizationUserStatusType>())
            .Returns(true);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var user = new User();
        user.Email = "test@bitwarden.com";
        sutProvider.GetDependency<IUserRepository>().GetByIdAsync(organizationUser.UserId.Value).Returns(user);
@ -184,7 +199,12 @@ public class RestoreOrganizationUserCommandTests
        sutProvider.GetDependency<ITwoFactorIsEnabledQuery>()
            .TwoFactorIsEnabledAsync(Arg.Is<IEnumerable<Guid>>(i => i.Contains(organizationUser.UserId.Value)))
            .Returns(new List<(Guid userId, bool twoFactorIsEnabled)>() { (organizationUser.UserId.Value, false) });
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);

        sutProvider.GetDependency<IPolicyService>()
@ -219,7 +239,12 @@ public class RestoreOrganizationUserCommandTests
        SutProvider<RestoreOrganizationUserCommand> sutProvider)
    {
        organizationUser.Email = null;
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IFeatureService>()
            .IsEnabled(FeatureFlagKeys.PolicyRequirements)
            .Returns(true);
@ -278,7 +303,12 @@ public class RestoreOrganizationUserCommandTests
        sutProvider.GetDependency<ITwoFactorIsEnabledQuery>()
            .TwoFactorIsEnabledAsync(Arg.Is<IEnumerable<Guid>>(i => i.Contains(organizationUser.UserId.Value)))
            .Returns(new List<(Guid userId, bool twoFactorIsEnabled)>() { (organizationUser.UserId.Value, true) });
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.RestoreUserAsync(organizationUser, owner.Id);

        await sutProvider.GetDependency<IOrganizationUserRepository>()
@ -344,6 +374,15 @@ public class RestoreOrganizationUserCommandTests
        sutProvider.GetDependency<IOrganizationUserRepository>()
            .GetManyByUserAsync(organizationUser.UserId.Value)
            .Returns(new[] { organizationUser, secondOrganizationUser });
+        sutProvider.GetDependency<ITwoFactorIsEnabledQuery>()
+            .TwoFactorIsEnabledAsync(Arg.Is<IEnumerable<Guid>>(i => i.Contains(organizationUser.UserId.Value)))
+            .Returns(new List<(Guid userId, bool twoFactorIsEnabled)> { (organizationUser.UserId.Value, true) });
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IPolicyService>()
            .GetPoliciesApplicableToUserAsync(organizationUser.UserId.Value, PolicyType.SingleOrg, Arg.Any<OrganizationUserStatusType>())
            .Returns(new[]
@ -392,7 +431,12 @@ public class RestoreOrganizationUserCommandTests
            {
                new OrganizationUserPolicyDetails { OrganizationId = organizationUser.OrganizationId, PolicyType = PolicyType.SingleOrg, OrganizationUserStatus = OrganizationUserStatusType.Revoked }
            });
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IPolicyService>()
            .GetPoliciesApplicableToUserAsync(organizationUser.UserId.Value, PolicyType.TwoFactorAuthentication, Arg.Any<OrganizationUserStatusType>())
            .Returns([
@ -455,7 +499,12 @@ public class RestoreOrganizationUserCommandTests
                    PolicyType = PolicyType.TwoFactorAuthentication
                }
            ]));
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var user = new User { Email = "test@bitwarden.com" };
        sutProvider.GetDependency<IUserRepository>().GetByIdAsync(organizationUser.UserId.Value).Returns(user);

@ -475,6 +524,40 @@ public class RestoreOrganizationUserCommandTests
            .PushSyncOrgKeysAsync(Arg.Any<Guid>());
    }

+    [Theory, BitAutoData]
+    public async Task RestoreUser_vNext_With2FAPolicyEnabled_WithUser2FAConfigured_Success(
+        Organization organization,
+        [OrganizationUser(OrganizationUserStatusType.Confirmed, OrganizationUserType.Owner)] OrganizationUser owner,
+        [OrganizationUser(OrganizationUserStatusType.Revoked)] OrganizationUser organizationUser,
+        SutProvider<RestoreOrganizationUserCommand> sutProvider)
+    {
+        organizationUser.Email = null; // this is required to mock that the user as had already been confirmed before the revoke
+        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
+        sutProvider.GetDependency<IPolicyService>()
+            .GetPoliciesApplicableToUserAsync(organizationUser.UserId.Value, PolicyType.TwoFactorAuthentication, Arg.Any<OrganizationUserStatusType>())
+            .Returns([new OrganizationUserPolicyDetails { OrganizationId = organizationUser.OrganizationId, PolicyType = PolicyType.TwoFactorAuthentication }
+            ]);
+
+        sutProvider.GetDependency<ITwoFactorIsEnabledQuery>()
+            .TwoFactorIsEnabledAsync(Arg.Is<IEnumerable<Guid>>(i => i.Contains(organizationUser.UserId.Value)))
+            .Returns(new List<(Guid userId, bool twoFactorIsEnabled)> { (organizationUser.UserId.Value, true) });
+
+        await sutProvider.Sut.RestoreUserAsync(organizationUser, owner.Id);
+
+        await sutProvider.GetDependency<IOrganizationUserRepository>()
+            .Received(1)
+            .RestoreAsync(organizationUser.Id, OrganizationUserStatusType.Confirmed);
+        await sutProvider.GetDependency<IEventService>()
+            .Received(1)
+            .LogOrganizationUserEventAsync(organizationUser, EventType.OrganizationUser_Restored);
+    }
+
    [Theory, BitAutoData]
    public async Task RestoreUser_WhenUserOwningAnotherFreeOrganization_ThenRestoreUserFails(
        Organization organization,
@ -492,7 +575,12 @@ public class RestoreOrganizationUserCommandTests
        otherOrganization.PlanType = PlanType.Free;

        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationUserRepository>()
            .GetManyByUserAsync(organizationUser.UserId.Value)
            .Returns([orgUserOwnerFromDifferentOrg]);
@ -533,7 +621,12 @@ public class RestoreOrganizationUserCommandTests
        otherOrganization.PlanType = PlanType.Free;

        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
        organizationUserRepository
            .GetManyByUserAsync(organizationUser.UserId.Value)
@ -584,7 +677,12 @@ public class RestoreOrganizationUserCommandTests
        otherOrganization.PlanType = PlanType.Free;

        RestoreUser_Setup(organization, owner, organizationUser, sutProvider);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
        organizationUserRepository
            .GetManyByUserAsync(organizationUser.UserId.Value)
@ -636,7 +734,12 @@ public class RestoreOrganizationUserCommandTests
        organizationUserRepository
            .GetManyAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.Id) && ids.Contains(orgUser2.Id)))
            .Returns([orgUser1, orgUser2]);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        twoFactorIsEnabledQuery
            .TwoFactorIsEnabledAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.UserId!.Value) && ids.Contains(orgUser2.UserId!.Value)))
            .Returns(new List<(Guid userId, bool twoFactorIsEnabled)>
@ -685,7 +788,12 @@ public class RestoreOrganizationUserCommandTests
        organizationUserRepository
            .GetManyAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.Id) && ids.Contains(orgUser2.Id) && ids.Contains(orgUser3.Id)))
            .Returns(new[] { orgUser1, orgUser2, orgUser3 });
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        userRepository.GetByIdAsync(orgUser2.UserId!.Value).Returns(new User { Email = "test@example.com" });

        // Setup 2FA policy
@ -820,7 +928,12 @@ public class RestoreOrganizationUserCommandTests
        organizationUserRepository
            .GetManyAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.Id) && ids.Contains(orgUser2.Id) && ids.Contains(orgUser3.Id)))
            .Returns([orgUser1, orgUser2, orgUser3]);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        userRepository.GetByIdAsync(orgUser2.UserId!.Value).Returns(new User { Email = "test@example.com" });

        sutProvider.GetDependency<IOrganizationUserRepository>()
@ -882,7 +995,12 @@ public class RestoreOrganizationUserCommandTests
        organizationUserRepository
            .GetManyAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.Id)))
            .Returns([orgUser1]);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        organizationUserRepository
            .GetManyByManyUsersAsync(Arg.Any<IEnumerable<Guid>>())
            .Returns([orgUserFromOtherOrg]);
@ -942,7 +1060,12 @@ public class RestoreOrganizationUserCommandTests
        organizationUserRepository
            .GetManyAsync(Arg.Is<IEnumerable<Guid>>(ids => ids.Contains(orgUser1.Id)))
            .Returns([orgUser1]);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        organizationUserRepository
            .GetManyByManyUsersAsync(Arg.Any<IEnumerable<Guid>>())
            .Returns([orgUserFromOtherOrg]);
@ -972,7 +1095,14 @@ public class RestoreOrganizationUserCommandTests
        }
        targetOrganizationUser.OrganizationId = organization.Id;

-        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);
+        var organizationRepository = sutProvider.GetDependency<IOrganizationRepository>();
+        organizationRepository.GetByIdAsync(organization.Id).Returns(organization);
+        organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+        {
+            Sponsored = 0,
+            Users = 1
+        });
+
        sutProvider.GetDependency<ICurrentContext>().OrganizationOwner(organization.Id).Returns(requestingOrganizationUser != null && requestingOrganizationUser.Type is OrganizationUserType.Owner);
        sutProvider.GetDependency<ICurrentContext>().ManageUsers(organization.Id).Returns(requestingOrganizationUser != null && (requestingOrganizationUser.Type is OrganizationUserType.Owner or OrganizationUserType.Admin));
    }
--- a/test/Core.Test/AdminConsole/Services/OrganizationServiceTests.cs
+++ b/test/Core.Test/AdminConsole/Services/OrganizationServiceTests.cs
@ -60,7 +60,12 @@ public class OrganizationServiceTests
        existingUsers.First().Type = OrganizationUserType.Owner;

        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(org.Id).Returns(org);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(org.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
        SetupOrgUserRepositoryCreateManyAsyncMock(organizationUserRepository);

@ -117,7 +122,12 @@ public class OrganizationServiceTests
            ExternalId = reInvitedUser.Email,
        });
        var expectedNewUsersCount = newUsers.Count - 1;
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(org.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(org.Id).Returns(org);
        sutProvider.GetDependency<IOrganizationUserRepository>().GetManyDetailsByOrganizationAsync(org.Id)
            .Returns(existingUsers);
@ -190,7 +200,12 @@ public class OrganizationServiceTests
        sutProvider.Create();

        invite.Emails = invite.Emails.Append(invite.Emails.First());
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);
        sutProvider.GetDependency<ICurrentContext>().OrganizationOwner(organization.Id).Returns(true);
        sutProvider.GetDependency<ICurrentContext>().ManageUsers(organization.Id).Returns(true);
@ -221,6 +236,12 @@ public class OrganizationServiceTests
        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);
        sutProvider.GetDependency<ICurrentContext>().OrganizationOwner(organization.Id).Returns(true);
        sutProvider.GetDependency<ICurrentContext>().ManageUsers(organization.Id).Returns(true);
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var exception = await Assert.ThrowsAsync<BadRequestException>(
            () => sutProvider.Sut.InviteUsersAsync(organization.Id, invitor.UserId, systemUser: null, new (OrganizationUserInvite, string)[] { (invite, null) }));
        Assert.Contains("Organization must have at least one confirmed owner.", exception.Message);
@ -314,6 +335,12 @@ public class OrganizationServiceTests
        sutProvider.GetDependency<IHasConfirmedOwnersExceptQuery>()
            .HasConfirmedOwnersExceptAsync(organization.Id, Arg.Any<IEnumerable<Guid>>())
            .Returns(true);
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });

        SetupOrgUserRepositoryCreateManyAsyncMock(organizationUserRepository);

@ -340,6 +367,13 @@ public class OrganizationServiceTests
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
        var currentContext = sutProvider.GetDependency<ICurrentContext>();

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
+
        organizationRepository.GetByIdAsync(organization.Id).Returns(organization);
        sutProvider.GetDependency<IHasConfirmedOwnersExceptQuery>()
            .HasConfirmedOwnersExceptAsync(organization.Id, Arg.Any<IEnumerable<Guid>>())
@ -397,7 +431,12 @@ public class OrganizationServiceTests

        var organizationRepository = sutProvider.GetDependency<IOrganizationRepository>();
        var currentContext = sutProvider.GetDependency<ICurrentContext>();
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        organizationRepository.GetByIdAsync(organization.Id).Returns(organization);
        currentContext.OrganizationCustom(organization.Id).Returns(true);
        currentContext.ManageUsers(organization.Id).Returns(true);
@ -425,7 +464,12 @@ public class OrganizationServiceTests
        sutProvider.GetDependency<IHasConfirmedOwnersExceptQuery>()
            .HasConfirmedOwnersExceptAsync(organization.Id, Arg.Any<IEnumerable<Guid>>())
            .Returns(true);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        SetupOrgUserRepositoryCreateManyAsyncMock(organizationUserRepository);

        currentContext.OrganizationOwner(organization.Id).Returns(true);
@ -473,7 +517,12 @@ public class OrganizationServiceTests

        SetupOrgUserRepositoryCreateManyAsyncMock(organizationUserRepository);
        SetupOrgUserRepositoryCreateAsyncMock(organizationUserRepository);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.InviteUserAsync(organization.Id, invitor.UserId, systemUser: null, invite, externalId);

        await sutProvider.GetDependency<ISendOrganizationInvitesCommand>().Received(1)
@ -538,7 +587,12 @@ public class OrganizationServiceTests

        SetupOrgUserRepositoryCreateManyAsyncMock(organizationUserRepository);
        SetupOrgUserRepositoryCreateAsyncMock(organizationUserRepository);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var exception = await Assert.ThrowsAsync<BadRequestException>(() => sutProvider.Sut
            .InviteUserAsync(organization.Id, invitor.UserId, systemUser: null, invite, externalId));
        Assert.Contains("This user has already been invited", exception.Message);
@ -595,7 +649,12 @@ public class OrganizationServiceTests
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();

        organizationRepository.GetByIdAsync(organization.Id).Returns(organization);
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IHasConfirmedOwnersExceptQuery>()
            .HasConfirmedOwnersExceptAsync(organization.Id, Arg.Any<IEnumerable<Guid>>())
            .Returns(true);
@ -631,7 +690,12 @@ public class OrganizationServiceTests
            {
                PropertyNamingPolicy = JsonNamingPolicy.CamelCase,
            });
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var organizationRepository = sutProvider.GetDependency<IOrganizationRepository>();
        var organizationUserRepository = sutProvider.GetDependency<IOrganizationUserRepository>();
        var currentContext = sutProvider.GetDependency<ICurrentContext>();
@ -664,6 +728,13 @@ public class OrganizationServiceTests
        organization.PlanType = PlanType.EnterpriseAnnually;
        InviteUserHelper_ArrangeValidPermissions(organization, savingUser, sutProvider);

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
+
        // Set up some invites to grant access to SM
        invites.First().invite.AccessSecretsManager = true;
        var invitedSmUsers = invites.First().invite.Emails.Count();
@ -708,6 +779,13 @@ public class OrganizationServiceTests
            invite.AccessSecretsManager = false;
        }

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
+
        // Assume we need to add seats for all invited SM users
        sutProvider.GetDependency<ICountNewSmSeatsRequiredQuery>()
            .CountNewSmSeatsRequiredAsync(organization.Id, invitedSmUsers).Returns(invitedSmUsers);
@ -813,7 +891,12 @@ public class OrganizationServiceTests

        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(organization.PlanType)
            .Returns(StaticStore.GetPlan(organization.PlanType));
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);

        var actual = await Assert.ThrowsAsync<BadRequestException>(() => sutProvider.Sut.UpdateSubscription(organization.Id, seatAdjustment, null));
--- a/test/Core.Test/Billing/Services/OrganizationBillingServiceTests.cs
+++ b/test/Core.Test/Billing/Services/OrganizationBillingServiceTests.cs
@ -3,6 +3,7 @@ using Bit.Core.Billing.Constants;
 using Bit.Core.Billing.Pricing;
 using Bit.Core.Billing.Services;
 using Bit.Core.Billing.Services.Implementations;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;
 using Bit.Core.Repositories;
 using Bit.Core.Utilities;
 using Bit.Test.Common.AutoFixture;
@ -25,17 +26,14 @@ public class OrganizationBillingServiceTests
        SutProvider<OrganizationBillingService> sutProvider)
    {
        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organizationId).Returns(organization);
-
        sutProvider.GetDependency<IPricingClient>().ListPlans().Returns(StaticStore.Plans.ToList());

        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(organization.PlanType)
            .Returns(StaticStore.GetPlan(organization.PlanType));

        var subscriberService = sutProvider.GetDependency<ISubscriberService>();
-
-        subscriberService
-            .GetCustomer(organization, Arg.Is<CustomerGetOptions>(options => options.Expand.FirstOrDefault() == "discount.coupon.applies_to"))
-            .Returns(new Customer
+        var organizationSeatCount = new OrganizationSeatCounts { Users = 1, Sponsored = 0 };
+        var customer = new Customer
        {
            Discount = new Discount
            {
@ -48,7 +46,12 @@ public class OrganizationBillingServiceTests
                    }
                }
            }
-            });
+        };
+
+        subscriberService
+            .GetCustomer(organization, Arg.Is<CustomerGetOptions>(options =>
+                options.Expand.Contains("discount.coupon.applies_to")))
+            .Returns(customer);

        subscriberService.GetSubscription(organization).Returns(new Subscription
        {
@ -67,6 +70,10 @@ public class OrganizationBillingServiceTests
            }
        });

+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id)
+            .Returns(new OrganizationSeatCounts { Users = 1, Sponsored = 0 });
+
        var metadata = await sutProvider.Sut.GetMetadata(organizationId);

        Assert.True(metadata!.IsOnSecretsManagerStandalone);
--- a/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/CreateSponsorshipCommandTests.cs
+++ b/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/CreateSponsorshipCommandTests.cs
@ -5,6 +5,7 @@ using Bit.Core.Entities;
 using Bit.Core.Enums;
 using Bit.Core.Exceptions;
 using Bit.Core.Models.Data;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;
 using Bit.Core.OrganizationFeatures.OrganizationSponsorships.FamiliesForEnterprise;
 using Bit.Core.Repositories;
 using Bit.Core.Services;
@ -169,9 +170,13 @@ public class CreateSponsorshipCommandTests : FamiliesForEnterpriseTestsBase
        sutProvider.GetDependency<ICurrentContext>().UserId.Returns(sponsoringOrgUser.UserId.Value);

        // Setup for checking available seats
-        sutProvider.GetDependency<IOrganizationUserRepository>()
+        sutProvider.GetDependency<IOrganizationRepository>()
            .GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrg.Id)
-            .Returns(0);
+            .Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 0
+            });


        await sutProvider.Sut.CreateSponsorshipAsync(sponsoringOrg, sponsoringOrgUser,
@ -318,9 +323,13 @@ public class CreateSponsorshipCommandTests : FamiliesForEnterpriseTestsBase
        ]);

        // Setup for checking available seats - organization has plenty of seats
-        sutProvider.GetDependency<IOrganizationUserRepository>()
+        sutProvider.GetDependency<IOrganizationRepository>()
            .GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrg.Id)
-            .Returns(5);
+            .Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 5
+            });

        var actual = await sutProvider.Sut.CreateSponsorshipAsync(sponsoringOrg, sponsoringOrgUser,
            PlanSponsorshipType.FamiliesForEnterprise, sponsoredEmail, friendlyName, true, notes);
@ -378,9 +387,13 @@ public class CreateSponsorshipCommandTests : FamiliesForEnterpriseTestsBase
        ]);

        // Setup for checking available seats - organization has no available seats
-        sutProvider.GetDependency<IOrganizationUserRepository>()
+        sutProvider.GetDependency<IOrganizationRepository>()
            .GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrg.Id)
-            .Returns(10);
+            .Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 10
+            });

        // Setup for checking if can scale
        sutProvider.GetDependency<IOrganizationService>()
@ -443,9 +456,13 @@ public class CreateSponsorshipCommandTests : FamiliesForEnterpriseTestsBase
        ]);

        // Setup for checking available seats - organization has no available seats
-        sutProvider.GetDependency<IOrganizationUserRepository>()
+        sutProvider.GetDependency<IOrganizationRepository>()
            .GetOccupiedSeatCountByOrganizationIdAsync(sponsoringOrg.Id)
-            .Returns(10);
+            .Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 10
+            });

        // Setup for checking if can scale - cannot scale
        var failureReason = "Seat limit has been reached.";
--- a/test/Core.Test/OrganizationFeatures/OrganizationSubscriptionUpdate/UpgradeOrganizationPlanCommandTests.cs
+++ b/test/Core.Test/OrganizationFeatures/OrganizationSubscriptionUpdate/UpgradeOrganizationPlanCommandTests.cs
@ -2,6 +2,7 @@
 using Bit.Core.Billing.Pricing;
 using Bit.Core.Exceptions;
 using Bit.Core.Models.Business;
+using Bit.Core.Models.Data.Organizations.OrganizationUsers;
 using Bit.Core.OrganizationFeatures.OrganizationSubscriptions;
 using Bit.Core.Repositories;
 using Bit.Core.SecretsManager.Repositories;
@ -77,6 +78,12 @@ public class UpgradeOrganizationPlanCommandTests
        upgrade.AdditionalSeats = 10;
        upgrade.Plan = PlanType.TeamsAnnually;
        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(upgrade.Plan).Returns(StaticStore.GetPlan(upgrade.Plan));
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.UpgradePlanAsync(organization.Id, upgrade);
        await sutProvider.GetDependency<IOrganizationService>().Received(1).ReplaceAndUpdateCacheAsync(organization);
    }
@ -107,7 +114,12 @@ public class UpgradeOrganizationPlanCommandTests
        organizationUpgrade.Plan = planType;

        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(organizationUpgrade.Plan).Returns(StaticStore.GetPlan(organizationUpgrade.Plan));
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        await sutProvider.Sut.UpgradePlanAsync(organization.Id, organizationUpgrade);
        await sutProvider.GetDependency<IPaymentService>().Received(1).AdjustSubscription(
            organization,
@ -141,7 +153,12 @@ public class UpgradeOrganizationPlanCommandTests
        upgrade.AdditionalSeats = 15;
        upgrade.AdditionalSmSeats = 10;
        upgrade.AdditionalServiceAccounts = 20;
-
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        var result = await sutProvider.Sut.UpgradePlanAsync(organization.Id, upgrade);

        await sutProvider.GetDependency<IOrganizationService>().Received(1).ReplaceAndUpdateCacheAsync(
@ -173,6 +190,12 @@ public class UpgradeOrganizationPlanCommandTests
        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(organization.PlanType).Returns(StaticStore.GetPlan(organization.PlanType));

        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationUserRepository>()
            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id).Returns(2);

@ -202,6 +225,12 @@ public class UpgradeOrganizationPlanCommandTests
        sutProvider.GetDependency<IPricingClient>().GetPlanOrThrow(organization.PlanType).Returns(StaticStore.GetPlan(organization.PlanType));

        sutProvider.GetDependency<IOrganizationRepository>().GetByIdAsync(organization.Id).Returns(organization);
+        sutProvider.GetDependency<IOrganizationRepository>()
+            .GetOccupiedSeatCountByOrganizationIdAsync(organization.Id).Returns(new OrganizationSeatCounts
+            {
+                Sponsored = 0,
+                Users = 1
+            });
        sutProvider.GetDependency<IOrganizationUserRepository>()
            .GetOccupiedSmSeatCountByOrganizationIdAsync(organization.Id).Returns(1);
        sutProvider.GetDependency<IServiceAccountRepository>()
--- a/test/Infrastructure.IntegrationTest/AdminConsole/Repositories/OrganizationRepositoryTests.cs
+++ b/test/Infrastructure.IntegrationTest/AdminConsole/Repositories/OrganizationRepositoryTests.cs
@ -286,4 +286,141 @@ public class OrganizationRepositoryTests
        await organizationRepository.DeleteAsync(organization1);
        await organizationRepository.DeleteAsync(organization2);
    }
+
+    [DatabaseTheory, DatabaseData]
+    public async Task GetOccupiedSeatCountByOrganizationIdAsync_WithUsersAndSponsorships_ReturnsCorrectCounts(
+        IUserRepository userRepository,
+        IOrganizationRepository organizationRepository,
+        IOrganizationUserRepository organizationUserRepository,
+        IOrganizationSponsorshipRepository organizationSponsorshipRepository)
+    {
+        // Arrange
+        var organization = await organizationRepository.CreateTestOrganizationAsync();
+
+        // Create users in different states
+        var user1 = await userRepository.CreateTestUserAsync("test1");
+        var user2 = await userRepository.CreateTestUserAsync("test2");
+        var user3 = await userRepository.CreateTestUserAsync("test3");
+
+        // Create organization users in different states
+        await organizationUserRepository.CreateTestOrganizationUserAsync(organization, user1); // Confirmed state
+        await organizationUserRepository.CreateTestOrganizationUserInviteAsync(organization); // Invited state
+
+        // Create a revoked user manually since there's no helper for it
+        await organizationUserRepository.CreateAsync(new OrganizationUser
+        {
+            OrganizationId = organization.Id,
+            UserId = user3.Id,
+            Status = OrganizationUserStatusType.Revoked,
+        });
+
+        // Create sponsorships in different states
+        await organizationSponsorshipRepository.CreateAsync(new OrganizationSponsorship
+        {
+            SponsoringOrganizationId = organization.Id,
+            IsAdminInitiated = true,
+            ToDelete = false,
+            ValidUntil = null,
+        });
+
+        await organizationSponsorshipRepository.CreateAsync(new OrganizationSponsorship
+        {
+            SponsoringOrganizationId = organization.Id,
+            IsAdminInitiated = true,
+            ToDelete = true,
+            ValidUntil = DateTime.UtcNow.AddDays(1),
+        });
+
+        await organizationSponsorshipRepository.CreateAsync(new OrganizationSponsorship
+        {
+            SponsoringOrganizationId = organization.Id,
+            IsAdminInitiated = true,
+            ToDelete = true,
+            ValidUntil = DateTime.UtcNow.AddDays(-1), // Expired
+        });
+
+        await organizationSponsorshipRepository.CreateAsync(new OrganizationSponsorship
+        {
+            SponsoringOrganizationId = organization.Id,
+            IsAdminInitiated = false, // Not admin initiated
+            ToDelete = false,
+            ValidUntil = null,
+        });
+
+        // Act
+        var result = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+
+        // Assert
+        Assert.Equal(2, result.Users); // Confirmed + Invited users
+        Assert.Equal(2, result.Sponsored); // Two valid sponsorships
+        Assert.Equal(4, result.Total); // Total occupied seats
+    }
+
+    [DatabaseTheory, DatabaseData]
+    public async Task GetOccupiedSeatCountByOrganizationIdAsync_WithNoUsersOrSponsorships_ReturnsZero(
+        IOrganizationRepository organizationRepository)
+    {
+        // Arrange
+        var organization = await organizationRepository.CreateTestOrganizationAsync();
+
+        // Act
+        var result = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+
+        // Assert
+        Assert.Equal(0, result.Users);
+        Assert.Equal(0, result.Sponsored);
+        Assert.Equal(0, result.Total);
+    }
+
+    [DatabaseTheory, DatabaseData]
+    public async Task GetOccupiedSeatCountByOrganizationIdAsync_WithOnlyRevokedUsers_ReturnsZero(
+        IUserRepository userRepository,
+        IOrganizationRepository organizationRepository,
+        IOrganizationUserRepository organizationUserRepository)
+    {
+        // Arrange
+        var organization = await organizationRepository.CreateTestOrganizationAsync();
+
+        var user = await userRepository.CreateTestUserAsync("test1");
+
+        await organizationUserRepository.CreateAsync(new OrganizationUser
+        {
+            OrganizationId = organization.Id,
+            UserId = user.Id,
+            Status = OrganizationUserStatusType.Revoked,
+        });
+
+        // Act
+        var result = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+
+        // Assert
+        Assert.Equal(0, result.Users);
+        Assert.Equal(0, result.Sponsored);
+        Assert.Equal(0, result.Total);
+    }
+
+    [DatabaseTheory, DatabaseData]
+    public async Task GetOccupiedSeatCountByOrganizationIdAsync_WithOnlyExpiredSponsorships_ReturnsZero(
+        IOrganizationRepository organizationRepository,
+        IOrganizationSponsorshipRepository organizationSponsorshipRepository)
+    {
+        // Arrange
+        var organization = await organizationRepository.CreateTestOrganizationAsync();
+
+        await organizationSponsorshipRepository.CreateAsync(new OrganizationSponsorship
+        {
+            SponsoringOrganizationId = organization.Id,
+            IsAdminInitiated = true,
+            ToDelete = true,
+            ValidUntil = DateTime.UtcNow.AddDays(-1), // Expired
+        });
+
+        // Act
+        var result = await organizationRepository.GetOccupiedSeatCountByOrganizationIdAsync(organization.Id);
+
+        // Assert
+        Assert.Equal(0, result.Users);
+        Assert.Equal(0, result.Sponsored);
+        Assert.Equal(0, result.Total);
+    }
 }
--- a/util/Migrator/DbScripts/2025-05-20_00_UpdateOrgReadOccupiedSeatCountForSponsorships.sql
+++ b/util/Migrator/DbScripts/2025-05-20_00_UpdateOrgReadOccupiedSeatCountForSponsorships.sql
@ -0,0 +1,38 @@
+CREATE OR ALTER PROCEDURE [dbo].[Organization_ReadOccupiedSeatCountByOrganizationId]
+    @OrganizationId UNIQUEIDENTIFIER
+AS
+BEGIN
+    SET NOCOUNT ON
+    
+    SELECT
+        (
+            -- Count organization users
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationUserView]
+            WHERE OrganizationId = @OrganizationId
+            AND Status >= 0 --Invited
+        ) as Users,
+        (
+            -- Count admin-initiated sponsorships towards the seat count
+            -- Introduced in https://bitwarden.atlassian.net/browse/PM-17772
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationSponsorship]
+            WHERE SponsoringOrganizationId = @OrganizationId
+            AND IsAdminInitiated = 1
+            AND (
+                -- Not marked for deletion - always count
+                (ToDelete = 0) 
+                OR
+                -- Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
+                (ToDelete = 1 AND ValidUntil IS NOT NULL AND ValidUntil > GETUTCDATE())
+            )
+            AND (
+                -- SENT status: When SponsoredOrganizationId is null
+                SponsoredOrganizationId IS NULL
+                OR
+                -- ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
+                (SponsoredOrganizationId IS NOT NULL AND (ValidUntil IS NULL OR ValidUntil > GETUTCDATE()))
+            )
+        ) as Sponsored
+END
+GO