diff --git a/lite/proxy/proxy.go b/lite/proxy/proxy.go
index 93c2c04d..9a3598a6 100644
--- a/lite/proxy/proxy.go
+++ b/lite/proxy/proxy.go
@@ -3,7 +3,6 @@ package proxy
 import (
 	"context"
 	"net/http"
-	"time"
 
 	amino "github.com/tendermint/go-amino"
 	"github.com/tendermint/tendermint/libs/log"
@@ -36,14 +35,12 @@ func StartProxy(c rpcclient.Client, listenAddr string, logger log.Logger, maxOpe
 	mux := http.NewServeMux()
 	rpcserver.RegisterRPCFuncs(mux, r, cdc, logger)
 
-	wm := rpcserver.NewWebsocketManager(r, cdc, rpcserver.OnDisconnect(func(remoteAddr string) {
-		ctx, cancel := context.WithTimeout(context.Background(), 5*time.Second)
-		defer cancel()
-		err := c.UnsubscribeAll(ctx, remoteAddr)
-		if err != nil {
+	unsubscribeFromAllEvents := func(remoteAddr string) {
+		if err := c.UnsubscribeAll(context.Background(), remoteAddr); err != nil {
 			logger.Error("Failed to unsubscribe from events", "err", err)
 		}
-	}))
+	}
+	wm := rpcserver.NewWebsocketManager(r, cdc, rpcserver.OnDisconnect(unsubscribeFromAllEvents))
 	wm.SetLogger(logger)
 	core.SetLogger(logger)
 	mux.HandleFunc(wsEndpoint, wm.WebsocketHandler)
diff --git a/lite/proxy/wrapper.go b/lite/proxy/wrapper.go
index 1f73b85e..7d7c26bb 100644
--- a/lite/proxy/wrapper.go
+++ b/lite/proxy/wrapper.go
@@ -3,7 +3,6 @@ package proxy
 import (
 	"context"
 	"fmt"
-	"time"
 
 	cmn "github.com/tendermint/tendermint/libs/common"
 
@@ -153,9 +152,7 @@ func (w Wrapper) Commit(height *int64) (*ctypes.ResultCommit, error) {
 // SubscribeWS subscribes for events using the given query and remote address as
 // a subscriber, but does not verify responses (FIXME)!
 func (w Wrapper) SubscribeWS(wsCtx rpctypes.WSRPCContext, query string) (*ctypes.ResultSubscribe, error) {
-	ctx, cancel := context.WithTimeout(context.Background(), 5*time.Second)
-	defer cancel()
-	out, err := w.Client.Subscribe(ctx, wsCtx.GetRemoteAddr(), query)
+	out, err := w.Client.Subscribe(context.Background(), wsCtx.GetRemoteAddr(), query)
 	if err != nil {
 		return nil, err
 	}
diff --git a/node/node.go b/node/node.go
index 061517c0..5620f1bb 100644
--- a/node/node.go
+++ b/node/node.go
@@ -681,9 +681,7 @@ func (n *Node) startRPC() ([]net.Listener, error) {
 		wmLogger := rpcLogger.With("protocol", "websocket")
 		wm := rpcserver.NewWebsocketManager(rpccore.Routes, coreCodec,
 			rpcserver.OnDisconnect(func(remoteAddr string) {
-				ctx, cancel := context.WithTimeout(context.Background(), 5*time.Second)
-				defer cancel()
-				err := n.eventBus.UnsubscribeAll(ctx, remoteAddr)
+				err := n.eventBus.UnsubscribeAll(context.Background(), remoteAddr)
 				if err != nil {
 					wmLogger.Error("Failed to unsubscribe addr from events", "addr", remoteAddr, "err", err)
 				}
diff --git a/rpc/client/httpclient.go b/rpc/client/httpclient.go
index 756bc127..79b41246 100644
--- a/rpc/client/httpclient.go
+++ b/rpc/client/httpclient.go
@@ -3,6 +3,7 @@ package client
 import (
 	"context"
 	"sync"
+	"time"
 
 	"github.com/pkg/errors"
 
@@ -351,10 +352,14 @@ func (w *WSEvents) UnsubscribeAll(ctx context.Context, subscriber string) error
 // After being reconnected, it is necessary to redo subscription to server
 // otherwise no data will be automatically received.
 func (w *WSEvents) redoSubscriptions() {
+	const timeout = 5 * time.Second
 	for q := range w.subscriptions {
-		// NOTE: no timeout for resubscribing
-		// FIXME: better logging/handling of errors??
-		w.ws.Subscribe(context.Background(), q)
+		ctx, cancel := context.WithTimeout(context.Background(), timeout)
+		_ = w.ws.Subscribe(ctx, q)
+		// FIXME: err is either ErrAlreadySubscribed or max client (subscriptions per
+		// client) reached.
+		// We can ignore ErrAlreadySubscribed, but need to retry in the second case.
+		cancel()
 	}
 }
 
@@ -373,7 +378,7 @@ func (w *WSEvents) eventListener() {
 			if resp.Error != nil {
 				w.Logger.Error("WS error", "err", resp.Error.Error())
 				// we don't know which subscription failed, so redo all of them
-				// resubscribe with exponential timeout
+				// ErrAlreadySubscribed can be ignored
 				w.redoSubscriptions()
 				continue
 			}
diff --git a/rpc/client/localclient.go b/rpc/client/localclient.go
index 7e9edb0f..5b86a92f 100644
--- a/rpc/client/localclient.go
+++ b/rpc/client/localclient.go
@@ -2,6 +2,7 @@ package client
 
 import (
 	"context"
+	"time"
 
 	"github.com/pkg/errors"
 
@@ -171,19 +172,29 @@ func (c *Local) Subscribe(ctx context.Context, subscriber, query string, outCapa
 					select {
 					case outc <- ctypes.ResultEvent{Query: query, Data: msg.Data(), Tags: msg.Tags()}:
 					default:
-						// XXX: log error
+						// XXX: client has missed an event. inform it somehow!
 					}
 				}
 			case <-sub.Cancelled():
 				if sub.Err() != tmpubsub.ErrUnsubscribed {
-					// resubscribe with exponential timeout
+					// resubscribe
 					var err error
-					sub, err = c.EventBus.Subscribe(ctx, subscriber, q)
-					if err != nil {
-						// TODO
+					for {
+						if !c.IsRunning() {
+							return
+						}
+
+						ctx, cancel := context.WithTimeout(context.Background(), 1*time.Second)
+						defer cancel()
+						sub, err = c.EventBus.Subscribe(ctx, subscriber, q)
+						if err == nil {
+							break
+						}
 					}
 				}
 				return
+			case <-c.Quit():
+				return
 			}
 		}
 	}(sub)