diff --git a/api/src/modules/auth/auth.module.ts b/api/src/modules/auth/auth.module.ts
index 5e13f1e2..840e7eff 100644
--- a/api/src/modules/auth/auth.module.ts
+++ b/api/src/modules/auth/auth.module.ts
@@ -1,5 +1,4 @@
 import { Module } from '@nestjs/common';
-import { PasswordRecoveryService } from '@api/modules/auth/services/password-recovery.service';
 import { AuthMailer } from '@api/modules/auth/services/auth.mailer';
 import { NotificationsModule } from '@api/modules/notifications/notifications.module';
 import { AuthenticationController } from '@api/modules/auth/authentication.controller';
@@ -9,11 +8,7 @@ import { RequestPasswordRecoveryHandler } from '@api/modules/auth/commands/reque
 @Module({
   imports: [AuthenticationModule, NotificationsModule],
   controllers: [AuthenticationController],
-  providers: [
-    PasswordRecoveryService,
-    AuthMailer,
-    RequestPasswordRecoveryHandler,
-  ],
+  providers: [AuthMailer, RequestPasswordRecoveryHandler],
   exports: [AuthenticationModule, AuthMailer],
 })
 export class AuthModule {}
diff --git a/api/src/modules/auth/authentication.controller.ts b/api/src/modules/auth/authentication.controller.ts
index edd5d546..1b48b38f 100644
--- a/api/src/modules/auth/authentication.controller.ts
+++ b/api/src/modules/auth/authentication.controller.ts
@@ -10,14 +10,12 @@ import { User } from '@shared/entities/users/user.entity';
 import { LocalAuthGuard } from '@api/modules/auth/guards/local-auth.guard';
 import { GetUser } from '@api/modules/auth/decorators/get-user.decorator';
 import { Public } from '@api/modules/auth/decorators/is-public.decorator';
-import { PasswordRecoveryService } from '@api/modules/auth/services/password-recovery.service';
 import { tsRestHandler, TsRestHandler } from '@ts-rest/nest';
 import { ControllerResponse } from '@api/types/controller-response.type';
 import { AuthGuard } from '@nestjs/passport';
 import { ResetPassword } from '@api/modules/auth/strategies/reset-password.strategy';
 import { authContract } from '@shared/contracts/auth.contract';
 import { AuthenticationService } from '@api/modules/auth/authentication.service';
-import { JwtAuthGuard } from '@api/modules/auth/guards/jwt-auth.guard';
 import { SignUp } from '@api/modules/auth/strategies/sign-up.strategy';
 import { CommandBus } from '@nestjs/cqrs';
 import { RequestPasswordRecoveryCommand } from '@api/modules/auth/commands/request-password-recovery.command';
@@ -27,7 +25,6 @@ import { RequestPasswordRecoveryCommand } from '@api/modules/auth/commands/reque
 export class AuthenticationController {
   constructor(
     private authService: AuthenticationService,
-    private readonly passwordRecovery: PasswordRecoveryService,
     private readonly commandBus: CommandBus,
   ) {}
 
@@ -44,10 +41,10 @@ export class AuthenticationController {
     });
   }
 
-  @UseGuards(JwtAuthGuard, AuthGuard(SignUp))
+  @UseGuards(AuthGuard(SignUp))
   @TsRestHandler(authContract.signUp)
   async signUp(@GetUser() user: User): Promise<ControllerResponse> {
-    return tsRestHandler(authContract.login, async ({ body }) => {
+    return tsRestHandler(authContract.signUp, async ({ body }) => {
       await this.authService.signUp(user, body);
       return {
         body: null,
diff --git a/api/src/modules/auth/authentication.module.ts b/api/src/modules/auth/authentication.module.ts
index 83e4acea..a1621b97 100644
--- a/api/src/modules/auth/authentication.module.ts
+++ b/api/src/modules/auth/authentication.module.ts
@@ -11,6 +11,7 @@ import { JwtStrategy } from '@api/modules/auth/strategies/jwt.strategy';
 import { TOKEN_TYPE_ENUM } from '@shared/schemas/auth/token-type.schema';
 import { ResetPasswordJwtStrategy } from '@api/modules/auth/strategies/reset-password.strategy';
 import { JwtManager } from '@api/modules/auth/services/jwt.manager';
+import { SignUpStrategy } from '@api/modules/auth/strategies/sign-up.strategy';
 
 @Module({
   imports: [
@@ -46,6 +47,13 @@ import { JwtManager } from '@api/modules/auth/services/jwt.manager';
       },
       inject: [UsersService, ApiConfigService],
     },
+    {
+      provide: SignUpStrategy,
+      useFactory: (users: UsersService, config: ApiConfigService) => {
+        return new SignUpStrategy(users, config);
+      },
+      inject: [UsersService, ApiConfigService],
+    },
   ],
   exports: [UsersModule, AuthenticationService, JwtManager],
 })
diff --git a/api/src/modules/auth/services/password-recovery.service.ts b/api/src/modules/auth/services/password-recovery.service.ts
deleted file mode 100644
index f3df1478..00000000
--- a/api/src/modules/auth/services/password-recovery.service.ts
+++ /dev/null
@@ -1,38 +0,0 @@
-import { Injectable, Logger } from '@nestjs/common';
-import { UsersService } from '@api/modules/users/users.service';
-import { AuthMailer } from '@api/modules/auth/services/auth.mailer';
-import { EventBus } from '@nestjs/cqrs';
-import { PasswordRecoveryRequestedEvent } from '@api/modules/events/user-events/password-recovery-requested.event';
-import { User } from '@shared/entities/users/user.entity';
-import * as bcrypt from 'bcrypt';
-
-@Injectable()
-export class PasswordRecoveryService {
-  logger: Logger = new Logger(PasswordRecoveryService.name);
-  constructor(
-    private readonly users: UsersService,
-    private readonly authMailer: AuthMailer,
-    private readonly eventBus: EventBus,
-  ) {}
-
-  async requestPasswordRecovery(email: string, origin: string): Promise<void> {
-    const user = await this.users.findByEmail(email);
-    if (!user) {
-      this.logger.warn(
-        `Email ${email} not found when trying to recover password`,
-      );
-      this.eventBus.publish(new PasswordRecoveryRequestedEvent(email, null));
-      return;
-    }
-    await this.authMailer.sendPasswordRecoveryEmail({
-      user,
-      origin,
-    });
-    this.eventBus.publish(new PasswordRecoveryRequestedEvent(email, user.id));
-  }
-
-  async resetPassword(user: User, newPassword: string): Promise<void> {
-    const newHashedPassword = await bcrypt.hash(newPassword, 10);
-    await this.users.updatePassword(user, newHashedPassword);
-  }
-}
diff --git a/api/test/integration/auth/sign-up.spec.ts b/api/test/integration/auth/sign-up.spec.ts
index bf46c5c5..9f28e3b3 100644
--- a/api/test/integration/auth/sign-up.spec.ts
+++ b/api/test/integration/auth/sign-up.spec.ts
@@ -1,10 +1,10 @@
 import { TestManager } from '../../utils/test-manager';
 import { HttpStatus } from '@nestjs/common';
-import { ApiConfigService } from '@api/modules/config/app-config.service';
 import { TOKEN_TYPE_ENUM } from '@shared/schemas/auth/token-type.schema';
 import { authContract } from '@shared/contracts/auth.contract';
 import { ROLES } from '@api/modules/auth/roles.enum';
 import { JwtManager } from '@api/modules/auth/services/jwt.manager';
+import { User } from '@shared/entities/users/user.entity';
 
 //create-user.feature
 
@@ -33,25 +33,64 @@ describe('Create Users', () => {
       email: 'random@test.com',
     });
 
-    const token = jwtManager.signSignUpToken(user.id);
+    const { signUpToken } = await jwtManager.signSignUpToken(user.id);
 
     // When the user creates a new user
 
     const response = await testManager
       .request()
       .get(authContract.validateToken.path)
-      .set('Authorization', `Bearer ${token}`)
+      .set('Authorization', `Bearer ${signUpToken}`)
       .query({ tokenType: TOKEN_TYPE_ENUM.SIGN_UP });
 
     expect(response.status).toBe(HttpStatus.UNAUTHORIZED);
   });
 
-  test('Sign up should fail if the current password is incorrect', async () => {
+  test('Sign up should fail if the auto-generated password is incorrect', async () => {
     const user = await testManager.mocks().createUser({
       role: ROLES.PARTNER,
       email: 'random@test.com',
-      isActive: true,
+      isActive: false,
     });
-    const token = await jwtManager.signSignUpToken(user.id);
+    const { signUpToken } = await jwtManager.signSignUpToken(user.id);
+
+    const response = await testManager
+      .request()
+      .post(authContract.signUp.path)
+      .set('Authorization', `Bearer ${signUpToken}`)
+      .query({ tokenType: TOKEN_TYPE_ENUM.SIGN_UP })
+      .send({ password: 'wrongpassword', newPassword: 'newpassword' });
+
+    expect(response.status).toBe(HttpStatus.UNAUTHORIZED);
+  });
+
+  test('Sign up should succeed if the auto-generated password is correct and the user should be activated and allowed to get a access token', async () => {
+    const user = await testManager.mocks().createUser({
+      role: ROLES.PARTNER,
+      email: 'test@test.com',
+      isActive: false,
+    });
+    const { signUpToken } = await jwtManager.signSignUpToken(user.id);
+
+    const response = await testManager
+      .request()
+      .post(authContract.signUp.path)
+      .set('Authorization', `Bearer ${signUpToken}`)
+      .send({ password: user.password, newPassword: 'newpassword' });
+
+    expect(response.status).toBe(HttpStatus.CREATED);
+    const foundUser = await testManager
+      .getDataSource()
+      .getRepository(User)
+      .findOneBy({ id: user.id });
+
+    expect(foundUser.isActive).toBe(true);
+
+    const login = await testManager
+      .request()
+      .post(authContract.login.path)
+      .send({ email: user.email, password: 'newpassword' });
+
+    expect(login.body.accessToken).toBeDefined();
   });
 });