diff --git a/fern/openapi.json b/fern/openapi.json
index 02aa4198..29d1d1b4 100644
--- a/fern/openapi.json
+++ b/fern/openapi.json
@@ -36716,7 +36716,8 @@
                 "type": "null"
               }
             ],
-            "description": "The agent state"
+            "description": "The agent state",
+            "deprecated": true
           },
           "stdout": {
             "anyOf": [
diff --git a/letta/schemas/tool_execution_result.py b/letta/schemas/tool_execution_result.py
index fd5bd6b4..71c4e713 100644
--- a/letta/schemas/tool_execution_result.py
+++ b/letta/schemas/tool_execution_result.py
@@ -8,7 +8,7 @@ from letta.schemas.agent import AgentState
 class ToolExecutionResult(BaseModel):
     status: Literal["success", "error"] = Field(..., description="The status of the tool execution and return object")
     func_return: Optional[Any] = Field(None, description="The function return object")
-    agent_state: Optional[AgentState] = Field(None, description="The agent state")
+    agent_state: Optional[AgentState] = Field(None, description="The agent state", deprecated=True)
     stdout: Optional[List[str]] = Field(None, description="Captured stdout (prints, logs) from function invocation")
     stderr: Optional[List[str]] = Field(None, description="Captured stderr from the function invocation")
     sandbox_config_fingerprint: Optional[str] = Field(None, description="The fingerprint of the config for the sandbox")
diff --git a/letta/server/rest_api/routers/v1/agents.py b/letta/server/rest_api/routers/v1/agents.py
index 110fef91..41ae7022 100644
--- a/letta/server/rest_api/routers/v1/agents.py
+++ b/letta/server/rest_api/routers/v1/agents.py
@@ -616,11 +616,9 @@ async def run_tool_for_agent(
     """
     actor = await server.user_manager.get_actor_or_default_async(actor_id=headers.actor_id)
 
-    # Get agent with tools and environment variables
+    # Get agent with all relationships
     agent = await server.agent_manager.get_agent_by_id_async(
-        agent_id=agent_id,
-        actor=actor,
-        include_relationships=["tools", "tool_exec_environment_variables"],
+        agent_id, actor, include_relationships=["memory", "multi_agent_group", "sources", "tool_exec_environment_variables", "tools"]
     )
 
     # Find the tool by name among attached tools
@@ -663,6 +661,11 @@ async def run_tool_for_agent(
         tool=tool,
     )
 
+    # don't return a result if the tool execution failed
+    if tool_execution_result.status == "error":
+        tool_execution_result.func_return = None
+    # remove deprecated agent_state field
+    tool_execution_result.agent_state = None
     return tool_execution_result
 
 
diff --git a/tests/test_sdk_client.py b/tests/test_sdk_client.py
index 70240f77..cfc05dd3 100644
--- a/tests/test_sdk_client.py
+++ b/tests/test_sdk_client.py
@@ -2436,3 +2436,23 @@ def test_create_agent_with_tools(client: LettaSDKClient) -> None:
     # clean up
     client.tools.delete(tool_from_func.id)
     client.tools.delete(tool_from_class.id)
+
+
+def test_calling_tools(client: LettaSDKClient, agent: AgentState) -> None:
+    """Test to make sure calling tools through the SDK works as expected"""
+
+    blocks = list(client.agents.blocks.list(agent_id=agent.id))
+    assert len(blocks) == 1, f"Expected 1 block, got {len(blocks)}"
+
+    # test calling a stateful tool
+    result = client.agents.tools.run(agent_id=agent.id, tool_name="memory_insert", args={"label": "human", "new_str": "test"})
+    assert result.status == "success", f"Expected success, got {result.status}"
+    # get the block
+    block = client.agents.blocks.retrieve(agent_id=agent.id, block_label="human")
+    assert "test" in block.value, f"Test value not found in block value {block.value}"
+
+    # test calling a tool wrong
+    result = client.agents.tools.run(agent_id=agent.id, tool_name="memory_insert", args={"label": "human", "FAKE_ARG": "test"})
+    assert result.status == "error", f"Expected error, got {result.status}"
+    assert result.func_return is None, f"Expected func_return to be None, got {result.func_return}"
+    print(result)