diff --git a/Algorithm/QCAlgorithm.cs b/Algorithm/QCAlgorithm.cs
index 7c965df2bdc5..a4cc9d795fcf 100644
--- a/Algorithm/QCAlgorithm.cs
+++ b/Algorithm/QCAlgorithm.cs
@@ -3367,5 +3367,15 @@ public void SetStatisticsService(IStatisticsService statisticsService)
                 _statisticsService = statisticsService;
             }
         }
+
+        /// <summary>
+        /// Handles the error event in the algorithm
+        /// </summary>
+        /// <param name="exception">The statistics service instance</param>
+        public void OnError(Exception exception)
+        {
+        DebugMessages.Enqueue(exception.ToString());
+        Liquidate();
+        }
     }
 }
diff --git a/AlgorithmFactory/Python/Wrappers/AlgorithmPythonWrapper.cs b/AlgorithmFactory/Python/Wrappers/AlgorithmPythonWrapper.cs
index 68681ac269f7..343824f95188 100644
--- a/AlgorithmFactory/Python/Wrappers/AlgorithmPythonWrapper.cs
+++ b/AlgorithmFactory/Python/Wrappers/AlgorithmPythonWrapper.cs
@@ -65,6 +65,7 @@ public class AlgorithmPythonWrapper : BasePythonWrapper<IAlgorithm>, IAlgorithm
         private dynamic _onAssignmentOrderEvent;
         private dynamic _onSecuritiesChanged;
         private dynamic _onFrameworkSecuritiesChanged;
+        private dynamic _onError;
 
         /// <summary>
         /// True if the underlying python algorithm implements "OnEndOfDay"
@@ -120,6 +121,7 @@ public AlgorithmPythonWrapper(string moduleName)
                             // determines whether OnData method was defined or inherits from QCAlgorithm
                             // If it is not, OnData from the base class will not be called
                             _onData = _algorithm.GetPythonMethod("OnData");
+                            _onError = _algorithm.GetPythonMethod("OnError"); 
 
                             _onMarginCall = _algorithm.GetPythonMethod("OnMarginCall");
 
@@ -1242,5 +1244,25 @@ public void SetTags(HashSet<string> tags)
         {
             _baseAlgorithm.SetTags(tags);
         }
+
+        /// <summary>
+        /// Handles exceptions thrown during the execution of the algorithm.
+        /// </summary>
+        /// <param name="exception">The exception that was thrown</param>
+        public void OnError(Exception exception)
+        {
+            if (_onError != null)
+            {
+            using (Py.GIL())
+            {
+                _onError(exception);
+            }
+            }   
+            else
+            {
+            // Default error handling if no custom OnError method is defined
+            Console.WriteLine($"Unhandled exception: {exception}");
+            }
+        }
     }
 }
diff --git a/Common/Interfaces/IAlgorithm.cs b/Common/Interfaces/IAlgorithm.cs
index b1d37fe867ca..d115cc2014d0 100644
--- a/Common/Interfaces/IAlgorithm.cs
+++ b/Common/Interfaces/IAlgorithm.cs
@@ -919,5 +919,12 @@ Security AddSecurity(Symbol symbol, Resolution? resolution = null, bool fillForw
         /// </summary>
         /// <param name="tags">The tags</param>
         void SetTags(HashSet<string> tags);
+        
+        /// <summary>
+        /// Method to handle runtime errors.
+        /// </summary>
+        /// <param name="exception">The exception that occurred.</param>
+        void OnError(Exception exception);
+        
     }
 }