diff --git a/internal/merch/handler_test.go b/internal/merch/handler_test.go
index 569aec0..efd91de 100644
--- a/internal/merch/handler_test.go
+++ b/internal/merch/handler_test.go
@@ -3,9 +3,11 @@ package merch
 import (
 	"bytes"
 	"encoding/json"
+	"fmt"
 	"github.com/gin-gonic/gin"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/mock"
+	"io"
 	"merch-api/pkg/utils"
 	"net/http"
 	"net/http/httptest"
@@ -14,6 +16,7 @@ import (
 
 const userId int64 = 789
 const validUuid string = "d28f5a94-ccf9-4eb6-bac3-53b065ba0d0c"
+const invalidUuid string = "invalid-uuid"
 
 func setupTestRouter(mockRepo Repository) *gin.Engine {
 	ut := utils.New()
@@ -471,3 +474,84 @@ func TestGetManySuccess(t *testing.T) {
 		})
 	}
 }
+
+func TestUpdateMerch(t *testing.T) {
+	type testCase struct {
+		name           string
+		pathUuid       string
+		payload        *updateMerchDTO
+		updateResponse *merchDTO
+		expectCode     int
+	}
+
+	cases := []testCase{
+		{
+			name:           "Success",
+			pathUuid:       validUuid,
+			payload:        &updateMerchDTO{MerchUuid: validUuid, Name: "merch1"},
+			updateResponse: &merchDTO{MerchUuid: validUuid, Name: "merch1"},
+			expectCode:     200,
+		},
+
+		{
+			name:       "Bad request - empty payload",
+			pathUuid:   validUuid,
+			expectCode: 400,
+		},
+
+		{
+			name:       "Bad request - no path uuid",
+			payload:    &updateMerchDTO{MerchUuid: validUuid, Name: "merch1"},
+			pathUuid:   invalidUuid,
+			expectCode: 400,
+		},
+
+		{
+			name:       "Bad request - no payload and no path uuid",
+			payload:    nil,
+			pathUuid:   invalidUuid,
+			expectCode: 400,
+		},
+	}
+
+	for _, tt := range cases {
+		t.Run(tt.name, func(t *testing.T) {
+			mockRepo := new(MockRepository)
+
+			var input io.Reader = nil
+
+			if tt.expectCode == 200 {
+				mockRepo.
+					On("updateMerch", mock.Anything, userId, tt.payload).
+					Return(tt.updateResponse, nil)
+
+				payload, err := json.Marshal(tt.payload)
+				if err != nil {
+					t.Fatal(err)
+				}
+				input = bytes.NewReader(payload)
+			}
+
+			router := setupTestRouter(mockRepo)
+			url := fmt.Sprintf("/merch/%s", tt.pathUuid)
+
+			req, _ := http.NewRequest("PUT", url, input)
+			w := httptest.NewRecorder()
+			router.ServeHTTP(w, req)
+
+			assert.Equal(t, tt.expectCode, w.Code)
+
+			if tt.expectCode == 200 {
+				var response merchDTO
+				err := json.Unmarshal(w.Body.Bytes(), &response)
+				if err != nil {
+					t.Fatal(err)
+				}
+
+				assert.Equal(t, tt.updateResponse, &response)
+			}
+
+			mockRepo.AssertExpectations(t)
+		})
+	}
+}