diff --git a/coffeecard/CoffeeCard.Tests.Unit/Services/v2/ProductServiceTest.cs b/coffeecard/CoffeeCard.Tests.Unit/Services/v2/ProductServiceTest.cs
new file mode 100644
index 00000000..eb688d44
--- /dev/null
+++ b/coffeecard/CoffeeCard.Tests.Unit/Services/v2/ProductServiceTest.cs
@@ -0,0 +1,85 @@
+using System.Collections.Generic;
+using System.Collections.ObjectModel;
+using System.Linq;
+using System.Threading.Tasks;
+using CoffeeCard.Common.Configuration;
+using CoffeeCard.Library.Persistence;
+using CoffeeCard.Library.Services.v2;
+using CoffeeCard.Models.DataTransferObjects.v2.Product;
+using CoffeeCard.Models.Entities;
+using Microsoft.EntityFrameworkCore;
+using Xunit;
+
+namespace CoffeeCard.Tests.Unit.Services.v2
+{
+    public class ProductServiceTest
+    {
+        [Fact(DisplayName = "UpdateProduct removes ommitted user groups and only adds selected user groups")]
+        public async Task UpdateProduct_Removes_Omitted_UserGroups()
+        {
+            var builder = new DbContextOptionsBuilder<CoffeeCardContext>()
+                .UseInMemoryDatabase(nameof(UpdateProduct_Removes_Omitted_UserGroups));
+
+            var databaseSettings = new DatabaseSettings
+            {
+                SchemaName = "test"
+            };
+            var environmentSettings = new EnvironmentSettings()
+            {
+                EnvironmentType = EnvironmentType.Test
+            };
+
+            await using var context = new CoffeeCardContext(builder.Options, databaseSettings, environmentSettings);
+            var p = new Product
+            {
+                Id = 1,
+                Name = "Coffee",
+                Description = "Coffee Clip card",
+                NumberOfTickets = 10,
+                Price = 10,
+                ExperienceWorth = 10,
+                Visible = true
+            };
+            await context.AddAsync(p);
+            await context.SaveChangesAsync();
+
+            await context.AddAsync(new ProductUserGroup
+            {
+                Product = p,
+                UserGroup = UserGroup.Barista
+            });
+
+            await context.AddAsync(new ProductUserGroup
+            {
+                Product = p,
+                UserGroup = UserGroup.Manager
+            });
+
+            await context.SaveChangesAsync();
+
+            using var productService = new ProductService(context);
+
+            await productService.UpdateProduct(new UpdateProductRequest()
+            {
+                Id = 1,
+                Visible = true,
+                Price = 10,
+                NumberOfTickets = 10,
+                Name = "Coffee",
+                Description = "Coffee Clip card",
+                AllowedUserGroups = new List<UserGroup>() { UserGroup.Customer, UserGroup.Board }
+            });
+
+            var expected = new List<UserGroup>
+            {
+                UserGroup.Customer, UserGroup.Board
+            };
+
+            var result = await productService.GetProductAsync(1);
+
+            Assert.Collection<UserGroup>(expected,
+                e => e.Equals(UserGroup.Customer),
+                e => e.Equals(UserGroup.Board));
+        }
+    }
+}
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