diff --git a/modules/indexing/src/main/java/org/apache/ignite/internal/processors/query/h2/IgniteH2Indexing.java b/modules/indexing/src/main/java/org/apache/ignite/internal/processors/query/h2/IgniteH2Indexing.java
index f355dd7091922..091a15c9230f6 100644
--- a/modules/indexing/src/main/java/org/apache/ignite/internal/processors/query/h2/IgniteH2Indexing.java
+++ b/modules/indexing/src/main/java/org/apache/ignite/internal/processors/query/h2/IgniteH2Indexing.java
@@ -46,6 +46,8 @@
 import org.apache.ignite.events.DiscoveryEvent;
 import org.apache.ignite.events.EventType;
 import org.apache.ignite.events.SqlQueryExecutionEvent;
+import org.apache.ignite.failure.FailureContext;
+import org.apache.ignite.failure.FailureType;
 import org.apache.ignite.internal.GridKernalContext;
 import org.apache.ignite.internal.GridTopic;
 import org.apache.ignite.internal.IgniteInternalFuture;
@@ -692,6 +694,10 @@ private ResultSet executeSqlQuery(final H2PooledConnection conn, final PreparedS
             if (e.getErrorCode() == ErrorCode.STATEMENT_WAS_CANCELED)
                 throw new QueryCancelledException();
 
+            if (e.getErrorCode() == ErrorCode.OUT_OF_MEMORY) {
+                ctx.failure().process(new FailureContext(FailureType.CRITICAL_ERROR, e));
+            }
+
             if (e.getCause() instanceof IgniteSQLException)
                 throw (IgniteSQLException)e.getCause();
 
diff --git a/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/IgniteQueryOOMTestSuite.java b/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/IgniteQueryOOMTestSuite.java
index d57a607fe4542..16843deeafb84 100644
--- a/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/IgniteQueryOOMTestSuite.java
+++ b/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/IgniteQueryOOMTestSuite.java
@@ -28,6 +28,7 @@
     //Query history.
     QueryOOMWithoutQueryParallelismTest.class,
     QueryOOMWithQueryParallelismTest.class,
+    OOMLeadsTest.class,
 })
 public class IgniteQueryOOMTestSuite {
 }
diff --git a/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/OOMLeadsTest.java b/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/OOMLeadsTest.java
new file mode 100644
index 0000000000000..b684f09aebdae
--- /dev/null
+++ b/modules/indexing/src/test/java/org/apache/ignite/internal/processors/query/oom/OOMLeadsTest.java
@@ -0,0 +1,96 @@
+/*
+ * Licensed to the Apache Software Foundation (ASF) under one or more
+ * contributor license agreements.  See the NOTICE file distributed with
+ * this work for additional information regarding copyright ownership.
+ * The ASF licenses this file to You under the Apache License, Version 2.0
+ * (the "License"); you may not use this file except in compliance with
+ * the License.  You may obtain a copy of the License at
+ *
+ *      http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.apache.ignite.internal.processors.query.oom;
+
+import java.sql.Connection;
+import java.sql.DriverManager;
+import java.sql.Statement;
+import java.util.Arrays;
+import java.util.List;
+import org.apache.ignite.IgniteException;
+import org.apache.ignite.configuration.IgniteConfiguration;
+import org.apache.ignite.failure.StopNodeFailureHandler;
+import org.apache.ignite.internal.IgniteEx;
+import org.apache.ignite.testframework.GridTestUtils;
+import org.apache.ignite.testframework.junits.common.GridCommonAbstractTest;
+import org.apache.ignite.testframework.junits.multijvm.IgniteProcessProxy;
+import org.junit.Test;
+
+import static org.apache.ignite.testframework.GridTestUtils.assertThrows;
+
+/** Out of memory handling. */
+public class OOMLeadsTest extends GridCommonAbstractTest {
+    /** {@inheritDoc} */
+    @Override protected List<String> additionalRemoteJvmArgs() {
+        return Arrays.asList("-Xmx64m", "-Xms64m");
+    }
+
+    /** {@inheritDoc} */
+    @Override protected boolean isMultiJvm() {
+        return true;
+    }
+
+    /** {@inheritDoc} */
+    @Override protected void afterTest() throws Exception {
+        stopAllGrids();
+
+        IgniteProcessProxy.killAll();
+
+        super.afterTest();
+    }
+
+    /** {@inheritDoc} */
+    @Override protected IgniteConfiguration getConfiguration(String igniteInstanceName) throws Exception {
+        IgniteConfiguration cfg = super.getConfiguration(igniteInstanceName);
+
+        cfg.setFailureHandler(new StopNodeFailureHandler());
+
+        return cfg;
+    }
+
+    /** Check correct handling for Out of memory. */
+    @Test
+    public void testOOMQueryHandling() throws Exception {
+        startGrids(2);
+
+        // stop local jvm node
+        stopGrid(0);
+
+        // check non oom sql processed correctly
+        runQuery("select x, space(100+x) as av from system_range(1, 1) group by av");
+
+        // oom lead sql
+        assertThrows(null, () ->
+                runQuery("select x, space(10000000+x) as av from system_range(1, 1000) group by av"),
+                IgniteException.class, "Out of memory");
+
+        IgniteEx grd = grid(1);
+
+        assertTrue(GridTestUtils.waitForCondition(() -> !((IgniteProcessProxy)grd).getProcess().getProcess().isAlive(), 10_000));
+    }
+
+    /** */
+    private void runQuery(String sql) throws Exception {
+        try (Connection c = DriverManager.getConnection(
+                "jdbc:ignite:thin://127.0.0.1:10800..10850/")) {
+            try (Statement stmt = c.createStatement()) {
+                stmt.execute(sql);
+            }
+        }
+    }
+}