diff --git a/erpnext/controllers/accounts_controller.py b/erpnext/controllers/accounts_controller.py
index b45d7454d2ce81b2d2bec4634584a2908cce1c43..3e02ea586e1137e86583664e141dedd1a4359e6d 100644
--- a/erpnext/controllers/accounts_controller.py
+++ b/erpnext/controllers/accounts_controller.py
@@ -320,13 +320,30 @@ class AccountsController(TransactionBase):
 
 	def validate_company_linked_addresses(self):
 		address_fields = []
-		if self.doctype in ("Quotation", "Sales Order", "Delivery Note", "Sales Invoice"):
+		sales_doctypes = ("Quotation", "Sales Order", "Delivery Note", "Sales Invoice")
+		purchase_doctypes = ("Purchase Order", "Purchase Receipt", "Purchase Invoice", "Supplier Quotation")
+
+		if self.doctype in sales_doctypes:
 			address_fields = ["dispatch_address_name", "company_address"]
-		elif self.doctype in ("Purchase Order", "Purchase Receipt", "Purchase Invoice", "Supplier Quotation"):
+		elif self.doctype in purchase_doctypes:
 			address_fields = ["billing_address", "shipping_address"]
 
+		if not address_fields:
+			return
+
+		# Determine if drop ship applies
+		is_drop_ship = self.doctype in {
+			"Purchase Order",
+			"Sales Order",
+			"Sales Invoice",
+		} and self.is_drop_ship(self.items)
+
 		for field in address_fields:
 			address = self.get(field)
+
+			if (field in ["dispatch_address_name", "shipping_address"]) and is_drop_ship:
+				continue
+
 			if address and not frappe.db.exists(
 				"Dynamic Link",
 				{
@@ -337,11 +354,15 @@ class AccountsController(TransactionBase):
 				},
 			):
 				frappe.throw(
-					_("{0} does not belong to the {1}.").format(
+					_("{0} does not belong to the Company {1}.").format(
 						_(self.meta.get_label(field)), bold(self.company)
 					)
 				)
 
+	@staticmethod
+	def is_drop_ship(items):
+		return any(item.delivered_by_supplier for item in items)
+
 	def set_default_letter_head(self):
 		if hasattr(self, "letter_head") and not self.letter_head:
 			self.letter_head = frappe.db.get_value("Company", self.company, "default_letter_head")
diff --git a/erpnext/controllers/tests/test_accounts_controller.py b/erpnext/controllers/tests/test_accounts_controller.py
index c3a88f180a7eda06d8b0a1e223ba14acb7f635dd..d37554fa49675914741a5593e1718f47faa2c9a7 100644
--- a/erpnext/controllers/tests/test_accounts_controller.py
+++ b/erpnext/controllers/tests/test_accounts_controller.py
@@ -2460,6 +2460,7 @@ class TestAccountsController(IntegrationTestCase):
 
 	def test_company_linked_address(self):
 		from erpnext.crm.doctype.prospect.test_prospect import make_address
+		from erpnext.selling.doctype.sales_order.test_sales_order import make_sales_order
 
 		company_address = make_address(
 			address_title="Company", address_type="Shipping", address_line1="100", city="Mumbai"
@@ -2488,3 +2489,16 @@ class TestAccountsController(IntegrationTestCase):
 		po.billing_address = company_address.name
 		po.reload()
 		po.save()
+
+		si = make_sales_order(do_not_save=1, do_not_submit=1)
+		si.dispatch_address_name = supplier_billing.name
+		self.assertRaises(frappe.ValidationError, si.save)
+		si.items[0].delivered_by_supplier = 1
+		si.items[0].supplier = "_Test Supplier"
+		si.save()
+
+		po = create_purchase_order(do_not_save=True)
+		po.shipping_address = customer_shipping.name
+		self.assertRaises(frappe.ValidationError, po.save)
+		po.items[0].delivered_by_supplier = 1
+		po.save()