diff --git a/CHANGELOG.md b/CHANGELOG.md
index 29a4ac24..c44fe00e 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -36,6 +36,17 @@
 * [3.3.2](#332) Aug 27 2017
 * [3.3.1](#331) June 7 2017
 
+## with-defaults branch
+
+### New features
+
+* With-defaults RFC6243
+  * see [Netconf With-defaults Capability](https://github.com/clicon/clixon/issues/262)
+
+### Corrected Bugs
+
+* Fixed: [with-defaults=trim does not work due to dodgy handling of state data marked as default](https://github.com/clicon/clixon/issues/348)
+
 ## 5.9.0
 Expected: September 2022
 
diff --git a/apps/backend/backend_get.c b/apps/backend/backend_get.c
index 98adafca..b71c54ae 100644
--- a/apps/backend/backend_get.c
+++ b/apps/backend/backend_get.c
@@ -206,12 +206,6 @@ get_client_statedata(clicon_handle h,
 	clicon_err(OE_UNIX, errno, "cbuf_new");
 	goto done;
     }
-    /* Add default state to config if present */
-    if (xml_default_recurse(*xret, 1) < 0)
-	goto done;
-    /* Add default global state */
-    if (xml_global_defaults(h, *xret, nsc, xpath, yspec, 1) < 0)
-	goto done;
     if (clicon_option_bool(h, "CLICON_STREAM_DISCOVERY_RFC5277")){
 	if ((ymod = yang_find_module_by_name(yspec, "clixon-rfc5277")) == NULL){
 	    clicon_err(OE_YANG, ENOENT, "yang module clixon-rfc5277 not found");
@@ -261,6 +255,12 @@ get_client_statedata(clicon_handle h,
 	goto done;
     if (ret == 0)
 	goto fail;
+    /* Add default state to config if present */
+    if (xml_default_recurse(*xret, 1) < 0)
+	goto done;
+    /* Add default global state */
+    if (xml_global_defaults(h, *xret, nsc, xpath, yspec, 1) < 0)
+	goto done;
     retval = 1; /* OK */
  done:
     clicon_debug(1, "%s %d", __FUNCTION__, retval);
diff --git a/test/test_yang_with_defaults.sh b/test/test_yang_with_defaults.sh
index 36700964..c6633ff8 100755
--- a/test/test_yang_with_defaults.sh
+++ b/test/test_yang_with_defaults.sh
@@ -31,6 +31,7 @@ cat <<EOF > $cfg
   <CLICON_CLI_MODE>$APPNAME</CLICON_CLI_MODE>
   <CLICON_SOCK>$dir/$APPNAME.sock</CLICON_SOCK>
   <CLICON_BACKEND_PIDFILE>/usr/local/var/$APPNAME/$APPNAME.pidfile</CLICON_BACKEND_PIDFILE>
+  <CLICON_YANG_LIBRARY>false</CLICON_YANG_LIBRARY>
   <CLICON_XMLDB_DIR>$dir</CLICON_XMLDB_DIR>
   <CLICON_XMLDB_PRETTY>false</CLICON_XMLDB_PRETTY>
   <CLICON_YANG_DIR>$IETFRFC</CLICON_YANG_DIR>
@@ -128,7 +129,7 @@ if [ $BE -ne 0 ]; then     # Bring your own backend
     if [ $? -ne 0 ]; then
 	err
     fi
-    new "start backend -s $db -f $cfg"
+    new "start backend -s $db -f $cfg -- -sS $fstate"
     start_backend  -s $db -f $cfg -- -sS $fstate
 fi
 
@@ -169,7 +170,6 @@ fi
 new "wait restconf"
 wait_restconf
 
-
 new "rfc4243 4.3.  Capability Identifier"
 expecteof "$clixon_netconf -ef $cfg" 0 "$DEFAULTHELLO" \
 "<capability>urn:ietf:params:netconf:capability:with-defaults:1.0?basic-mode=explicit</capability>"