diff --git a/app/javascript/dashboard/components/Modal.vue b/app/javascript/dashboard/components/Modal.vue
index 16be2ba35..bfe7dc30b 100644
--- a/app/javascript/dashboard/components/Modal.vue
+++ b/app/javascript/dashboard/components/Modal.vue
@@ -99,7 +99,9 @@ export default {
     onMouseUp() {
       if (this.mousedDownOnBackdrop) {
         this.mousedDownOnBackdrop = false;
-        this.onClose();
+        if (this.closeOnBackdropClick) {
+          this.onClose();
+        }
       }
     },
   },
diff --git a/app/javascript/dashboard/components/ui/Dropdown/DropdownList.vue b/app/javascript/dashboard/components/ui/Dropdown/DropdownList.vue
index 0a1975427..0c6942e1b 100644
--- a/app/javascript/dashboard/components/ui/Dropdown/DropdownList.vue
+++ b/app/javascript/dashboard/components/ui/Dropdown/DropdownList.vue
@@ -1,9 +1,11 @@
 <script setup>
 import { ref, computed } from 'vue';
+import { debounce } from '@chatwoot/utils';
 import { picoSearch } from '@scmmishra/pico-search';
 import ListItemButton from './DropdownListItemButton.vue';
 import DropdownSearch from './DropdownSearch.vue';
 import DropdownEmptyState from './DropdownEmptyState.vue';
+import DropdownLoadingState from './DropdownLoadingState.vue';
 
 const props = defineProps({
   listItems: {
@@ -26,16 +28,24 @@ const props = defineProps({
     type: Boolean,
     default: false,
   },
+  isLoading: {
+    type: Boolean,
+    default: false,
+  },
+  loadingPlaceholder: {
+    type: String,
+    default: '',
+  },
 });
 
 const emits = defineEmits(['on-search']);
 
 const searchTerm = ref('');
 
-const onSearch = value => {
+const onSearch = debounce(value => {
   searchTerm.value = value;
   emits('on-search', value);
-};
+}, 300);
 
 const filteredListItems = computed(() => {
   if (!searchTerm.value) return props.listItems;
@@ -50,6 +60,16 @@ const isFilterActive = id => {
   if (!props.activeFilterId) return false;
   return id === props.activeFilterId;
 };
+
+const shouldShowLoadingState = computed(() => {
+  return (
+    props.isLoading && isDropdownListEmpty.value && props.loadingPlaceholder
+  );
+});
+
+const shouldShowEmptyState = computed(() => {
+  return !props.isLoading && isDropdownListEmpty.value;
+});
 </script>
 <template>
   <div
@@ -67,8 +87,12 @@ const isFilterActive = id => {
       />
     </slot>
     <slot name="listItem">
+      <dropdown-loading-state
+        v-if="shouldShowLoadingState"
+        :message="loadingPlaceholder"
+      />
       <dropdown-empty-state
-        v-if="isDropdownListEmpty"
+        v-else-if="shouldShowEmptyState"
         :message="$t('REPORT.FILTER_ACTIONS.EMPTY_LIST')"
       />
       <list-item-button
diff --git a/app/javascript/dashboard/components/ui/Dropdown/DropdownLoadingState.vue b/app/javascript/dashboard/components/ui/Dropdown/DropdownLoadingState.vue
new file mode 100644
index 000000000..ccf9b2b1e
--- /dev/null
+++ b/app/javascript/dashboard/components/ui/Dropdown/DropdownLoadingState.vue
@@ -0,0 +1,15 @@
+<script setup>
+defineProps({
+  message: {
+    type: String,
+    default: '',
+  },
+});
+</script>
+<template>
+  <div
+    class="flex items-center justify-center h-10 text-sm text-slate-500 dark:text-slate-300"
+  >
+    {{ message }}
+  </div>
+</template>
diff --git a/app/javascript/dashboard/components/widgets/conversation/components/SLAPopoverCard.vue b/app/javascript/dashboard/components/widgets/conversation/components/SLAPopoverCard.vue
index 479e2794f..655a42948 100644
--- a/app/javascript/dashboard/components/widgets/conversation/components/SLAPopoverCard.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/components/SLAPopoverCard.vue
@@ -39,7 +39,7 @@ const toggleShowAllNRT = () => {
 </script>
 <template>
   <div
-    class="absolute flex flex-col items-start bg-[#fdfdfd] dark:bg-slate-800 z-50 p-4 border border-solid border-slate-75 dark:border-slate-700 w-[384px] rounded-xl gap-4 max-h-96 overflow-auto"
+    class="absolute flex flex-col items-start bg-white dark:bg-slate-800 z-50 p-4 border border-solid border-slate-75 dark:border-slate-700 w-[384px] rounded-xl gap-4 max-h-96 overflow-auto"
   >
     <span class="text-sm font-medium text-slate-900 dark:text-slate-25">
       {{ $t('SLA.EVENTS.TITLE') }}
diff --git a/app/javascript/dashboard/components/widgets/conversation/linear/CreateIssue.vue b/app/javascript/dashboard/components/widgets/conversation/linear/CreateIssue.vue
index 5c3575c44..a00969416 100644
--- a/app/javascript/dashboard/components/widgets/conversation/linear/CreateIssue.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/linear/CreateIssue.vue
@@ -107,6 +107,7 @@ import { useI18n } from 'dashboard/composables/useI18n';
 import { useAlert } from 'dashboard/composables';
 import LinearAPI from 'dashboard/api/integrations/linear';
 import validations from './validations';
+import { parseLinearAPIErrorResponse } from 'dashboard/store/utils/api';
 
 const props = defineProps({
   accountId: {
@@ -140,6 +141,14 @@ const priorities = [
   { id: 4, name: 'Low' },
 ];
 
+const statusDesiredOrder = [
+  'Backlog',
+  'Todo',
+  'In Progress',
+  'Done',
+  'Canceled',
+];
+
 const isCreating = ref(false);
 const inputStyles = { borderRadius: '12px', fontSize: '14px' };
 
@@ -177,7 +186,11 @@ const getTeams = async () => {
     const response = await LinearAPI.getTeams();
     teams.value = response.data;
   } catch (error) {
-    useAlert(t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.LOADING_TEAM_ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.LOADING_TEAM_ERROR')
+    );
+    useAlert(errorMessage);
   }
 };
 
@@ -186,12 +199,16 @@ const getTeamEntities = async () => {
     const response = await LinearAPI.getTeamEntities(formState.teamId);
     assignees.value = response.data.users;
     labels.value = response.data.labels;
-    statuses.value = response.data.states;
     projects.value = response.data.projects;
+    statuses.value = statusDesiredOrder
+      .map(name => response.data.states.find(status => status.name === name))
+      .filter(Boolean);
   } catch (error) {
-    useAlert(
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
       t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.LOADING_TEAM_ENTITIES_ERROR')
     );
+    useAlert(errorMessage);
   }
 };
 
@@ -226,7 +243,11 @@ const createIssue = async () => {
     useAlert(t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.CREATE_SUCCESS'));
     onClose();
   } catch (error) {
-    useAlert(t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.CREATE_ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.ADD_OR_LINK.CREATE_ERROR')
+    );
+    useAlert(errorMessage);
   } finally {
     isCreating.value = false;
   }
diff --git a/app/javascript/dashboard/components/widgets/conversation/linear/Issue.vue b/app/javascript/dashboard/components/widgets/conversation/linear/Issue.vue
index 05cd3ab88..3304f6040 100644
--- a/app/javascript/dashboard/components/widgets/conversation/linear/Issue.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/linear/Issue.vue
@@ -56,7 +56,7 @@ const unlinkIssue = () => {
 
 <template>
   <div
-    class="absolute flex flex-col items-start bg-ash-50 dark:bg-slate-800 z-50 px-4 py-3 border border-solid border-ash-200 w-[384px] rounded-xl gap-4 max-h-96 overflow-auto"
+    class="absolute flex flex-col items-start bg-white dark:bg-slate-800 z-50 px-4 py-3 border border-solid border-ash-200 w-[384px] rounded-xl gap-4 max-h-96 overflow-auto"
   >
     <div class="flex flex-col w-full">
       <issue-header
diff --git a/app/javascript/dashboard/components/widgets/conversation/linear/IssueHeader.vue b/app/javascript/dashboard/components/widgets/conversation/linear/IssueHeader.vue
index bf907dc69..add7b5608 100644
--- a/app/javascript/dashboard/components/widgets/conversation/linear/IssueHeader.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/linear/IssueHeader.vue
@@ -16,9 +16,16 @@
         variant="clear"
         color-scheme="secondary"
         class="h-[24px]"
+        :is-loading="isUnlinking"
         @click="unlinkIssue"
       >
-        <fluent-icon icon="unlink" size="12" type="outline" icon-lib="lucide" />
+        <fluent-icon
+          v-if="!isUnlinking"
+          icon="unlink"
+          size="12"
+          type="outline"
+          icon-lib="lucide"
+        />
       </woot-button>
       <woot-button
         variant="clear"
@@ -33,6 +40,7 @@
 </template>
 
 <script setup>
+import { inject } from 'vue';
 const props = defineProps({
   identifier: {
     type: String,
@@ -44,6 +52,8 @@ const props = defineProps({
   },
 });
 
+const isUnlinking = inject('isUnlinking');
+
 const emit = defineEmits(['unlink-issue']);
 
 const unlinkIssue = () => {
diff --git a/app/javascript/dashboard/components/widgets/conversation/linear/LinkIssue.vue b/app/javascript/dashboard/components/widgets/conversation/linear/LinkIssue.vue
index c9eed4a70..a8ec71df1 100644
--- a/app/javascript/dashboard/components/widgets/conversation/linear/LinkIssue.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/linear/LinkIssue.vue
@@ -16,9 +16,11 @@
           :show-clear-filter="false"
           :list-items="issues"
           :active-filter-id="selectedOption.id"
+          :is-loading="isFetching"
           :input-placeholder="$t('INTEGRATION_SETTINGS.LINEAR.LINK.SEARCH')"
+          :loading-placeholder="$t('INTEGRATION_SETTINGS.LINEAR.LINK.LOADING')"
           enable-search
-          class="left-0 flex flex-col w-full overflow-y-auto h-fit max-h-[160px] md:left-auto md:right-0 top-10"
+          class="left-0 flex flex-col w-full overflow-y-auto h-fit !max-h-[160px] md:left-auto md:right-0 top-10"
           @on-search="onSearch"
           @click="onSelectIssue"
         />
@@ -50,6 +52,7 @@ import { useAlert } from 'dashboard/composables';
 import LinearAPI from 'dashboard/api/integrations/linear';
 import FilterButton from 'dashboard/components/ui/Dropdown/DropdownButton.vue';
 import FilterListDropdown from 'dashboard/components/ui/Dropdown/DropdownList.vue';
+import { parseLinearAPIErrorResponse } from 'dashboard/store/utils/api';
 
 const props = defineProps({
   conversationId: {
@@ -97,6 +100,7 @@ const onClose = () => {
 };
 
 const onSearch = async value => {
+  issues.value = [];
   if (!value) return;
   searchQuery.value = value;
   try {
@@ -107,7 +111,11 @@ const onSearch = async value => {
       name: `${issue.identifier} ${issue.title}`,
     }));
   } catch (error) {
-    useAlert(t('INTEGRATION_SETTINGS.LINEAR.LINK.ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.LINK.ERROR')
+    );
+    useAlert(errorMessage);
   } finally {
     isFetching.value = false;
   }
@@ -123,7 +131,11 @@ const linkIssue = async () => {
     issues.value = [];
     onClose();
   } catch (error) {
-    useAlert(t('INTEGRATION_SETTINGS.LINEAR.LINK.LINK_ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.LINK.LINK_ERROR')
+    );
+    useAlert(errorMessage);
   } finally {
     isLinking.value = false;
   }
diff --git a/app/javascript/dashboard/components/widgets/conversation/linear/index.vue b/app/javascript/dashboard/components/widgets/conversation/linear/index.vue
index 652972448..c7861b039 100644
--- a/app/javascript/dashboard/components/widgets/conversation/linear/index.vue
+++ b/app/javascript/dashboard/components/widgets/conversation/linear/index.vue
@@ -27,7 +27,8 @@
     <woot-modal
       :show.sync="shouldShowPopup"
       :on-close="closePopup"
-      class="!items-start [&>div]:!top-12"
+      :close-on-backdrop-click="false"
+      class="!items-start [&>div]:!top-12 [&>div]:sticky"
     >
       <create-or-link-issue
         :conversation="conversation"
@@ -39,13 +40,18 @@
 </template>
 
 <script setup>
-import { computed, ref, onMounted, watch } from 'vue';
+import { computed, ref, onMounted, watch, defineComponent, provide } from 'vue';
 import { useAlert } from 'dashboard/composables';
 import { useStoreGetters } from 'dashboard/composables/store';
 import { useI18n } from 'dashboard/composables/useI18n';
 import LinearAPI from 'dashboard/api/integrations/linear';
 import CreateOrLinkIssue from './CreateOrLinkIssue.vue';
 import Issue from './Issue.vue';
+import { parseLinearAPIErrorResponse } from 'dashboard/store/utils/api';
+
+defineComponent({
+  name: 'Linear',
+});
 
 const props = defineProps({
   conversationId: {
@@ -60,6 +66,9 @@ const { t } = useI18n();
 const linkedIssue = ref(null);
 const shouldShow = ref(false);
 const shouldShowPopup = ref(false);
+const isUnlinking = ref(false);
+
+provide('isUnlinking', isUnlinking);
 
 const currentAccountId = getters.getCurrentAccountId;
 
@@ -80,17 +89,28 @@ const loadLinkedIssue = async () => {
     const issues = response.data;
     linkedIssue.value = issues && issues.length ? issues[0] : null;
   } catch (error) {
-    useAlert(error?.message || t('INTEGRATION_SETTINGS.LINEAR.LOADING_ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.LOADING_ERROR')
+    );
+    useAlert(errorMessage);
   }
 };
 
 const unlinkIssue = async linkId => {
   try {
+    isUnlinking.value = true;
     await LinearAPI.unlinkIssue(linkId);
     linkedIssue.value = null;
     useAlert(t('INTEGRATION_SETTINGS.LINEAR.UNLINK.SUCCESS'));
   } catch (error) {
-    useAlert(t('INTEGRATION_SETTINGS.LINEAR.UNLINK.ERROR'));
+    const errorMessage = parseLinearAPIErrorResponse(
+      error,
+      t('INTEGRATION_SETTINGS.LINEAR.UNLINK.ERROR')
+    );
+    useAlert(errorMessage);
+  } finally {
+    isUnlinking.value = false;
   }
 };
 
diff --git a/app/javascript/dashboard/i18n/locale/en/integrations.json b/app/javascript/dashboard/i18n/locale/en/integrations.json
index e30fe3852..6e052949c 100644
--- a/app/javascript/dashboard/i18n/locale/en/integrations.json
+++ b/app/javascript/dashboard/i18n/locale/en/integrations.json
@@ -218,7 +218,7 @@
         "ERROR": "There was an error fetching the linear issues, please try again",
         "LINK_SUCCESS": "Issue linked successfully",
         "LINK_ERROR": "There was an error linking the issue, please try again",
-        "LINK_TITLE": "#%{conversationId}: %{name}"
+        "LINK_TITLE": "Conversation (#%{conversationId}) with %{name}"
       },
       "ADD_OR_LINK": {
         "TITLE": "Create/link linear issue",
@@ -235,22 +235,34 @@
           },
           "TEAM": {
             "LABEL": "Team",
+            "PLACEHOLDER": "Select team",
+            "SEARCH": "Search team",
             "REQUIRED_ERROR": "Team is required"
           },
           "ASSIGNEE": {
-            "LABEL": "Assignee"
+            "LABEL": "Assignee",
+            "PLACEHOLDER": "Select assignee",
+            "SEARCH": "Search assignee"
           },
           "PRIORITY": {
-            "LABEL": "Priority"
+            "LABEL": "Priority",
+            "PLACEHOLDER": "Select priority",
+            "SEARCH": "Search priority"
           },
           "LABEL": {
-            "LABEL": "Label"
+            "LABEL": "Label",
+            "PLACEHOLDER": "Select label",
+            "SEARCH": "Search label"
           },
           "STATUS": {
-            "LABEL": "Status"
+            "LABEL": "Status",
+            "PLACEHOLDER": "Select status",
+            "SEARCH": "Search status"
           },
           "PROJECT": {
-            "LABEL": "Project"
+            "LABEL": "Project",
+            "PLACEHOLDER": "Select project",
+            "SEARCH": "Search project"
           }
         },
         "CREATE": "Create",
diff --git a/app/javascript/dashboard/store/utils/api.js b/app/javascript/dashboard/store/utils/api.js
index 1da4c6643..d17839b8e 100644
--- a/app/javascript/dashboard/store/utils/api.js
+++ b/app/javascript/dashboard/store/utils/api.js
@@ -96,3 +96,9 @@ export const throwErrorMessage = error => {
   const errorMessage = parseAPIErrorResponse(error);
   throw new Error(errorMessage);
 };
+
+export const parseLinearAPIErrorResponse = (error, defaultMessage) => {
+  const errorData = error.response.data;
+  const errorMessage = errorData?.error?.errors?.[0]?.message || defaultMessage;
+  return errorMessage;
+};
diff --git a/app/javascript/dashboard/store/utils/specs/api.spec.js b/app/javascript/dashboard/store/utils/specs/api.spec.js
index 62a59dde5..b0b534005 100644
--- a/app/javascript/dashboard/store/utils/specs/api.spec.js
+++ b/app/javascript/dashboard/store/utils/specs/api.spec.js
@@ -3,6 +3,7 @@ import {
   parseAPIErrorResponse,
   setLoadingStatus,
   throwErrorMessage,
+  parseLinearAPIErrorResponse,
 } from '../api';
 
 describe('#getLoadingStatus', () => {
@@ -49,3 +50,26 @@ describe('#throwErrorMessage', () => {
     expect(errorFn).toThrow('Error Message [message]');
   });
 });
+
+describe('#parseLinearAPIErrorResponse', () => {
+  it('returns correct values', () => {
+    expect(
+      parseLinearAPIErrorResponse(
+        {
+          response: {
+            data: {
+              error: {
+                errors: [
+                  {
+                    message: 'Error Message [message]',
+                  },
+                ],
+              },
+            },
+          },
+        },
+        'Default Message'
+      )
+    ).toBe('Error Message [message]');
+  });
+});
diff --git a/lib/linear/mutations.rb b/lib/linear/mutations.rb
index f887c39c8..6a9377e13 100644
--- a/lib/linear/mutations.rb
+++ b/lib/linear/mutations.rb
@@ -3,7 +3,7 @@ module Linear::Mutations
     case value
     when String
       # Strings must be enclosed in double quotes
-      "\"#{value}\""
+      "\"#{value.gsub("\n", '\\n')}\""
     when Array
       # Arrays need to be recursively converted
       "[#{value.map { |v| graphql_value(v) }.join(', ')}]"
diff --git a/spec/lib/linear_spec.rb b/spec/lib/linear_spec.rb
index a81313d6c..e8a866cc5 100644
--- a/spec/lib/linear_spec.rb
+++ b/spec/lib/linear_spec.rb
@@ -148,6 +148,23 @@ describe Linear do
       end
     end
 
+    context 'when the description is markdown' do
+      let(:description) { 'Cmd/Ctrl` `K` **is our most powerful feature.** \n\nUse it to search for or take any action in the app' }
+
+      before do
+        stub_request(:post, url)
+          .to_return(status: 200, body: { success: true,
+                                          data: { issueCreate: { id: 'issue1', title: 'Title',
+                                                                 description: description } } }.to_json, headers: headers)
+      end
+
+      it 'creates an issue' do
+        response = linear_client.create_issue(params)
+        expect(response).to eq({ 'issueCreate' => { 'id' => 'issue1', 'title' => 'Title',
+                                                    'description' => description } })
+      end
+    end
+
     context 'when the API response is an error' do
       before do
         stub_request(:post, url)