diff --git a/receiver/otlpreceiver/otlp.go b/receiver/otlpreceiver/otlp.go
index 75555c23a56..70b1c34b89f 100644
--- a/receiver/otlpreceiver/otlp.go
+++ b/receiver/otlpreceiver/otlp.go
@@ -75,6 +75,7 @@ func newOtlpReceiver(cfg *Config) (*otlpReceiver, error) {
 			OrigName:     true,
 		}
 		r.gatewayMux = gatewayruntime.NewServeMux(
+			gatewayruntime.WithProtoErrorHandler(gatewayruntime.DefaultHTTPProtoErrorHandler),
 			gatewayruntime.WithMarshalerOption("application/x-protobuf", &xProtobufMarshaler{}),
 			gatewayruntime.WithMarshalerOption(gatewayruntime.MIMEWildcard, jsonpb),
 		)
diff --git a/receiver/otlpreceiver/otlp_test.go b/receiver/otlpreceiver/otlp_test.go
index e2d1d10d893..5b647ab1562 100644
--- a/receiver/otlpreceiver/otlp_test.go
+++ b/receiver/otlpreceiver/otlp_test.go
@@ -19,6 +19,7 @@ import (
 	"compress/gzip"
 	"context"
 	"encoding/json"
+	"errors"
 	"fmt"
 	"io/ioutil"
 	"net"
@@ -26,12 +27,14 @@ import (
 	"testing"
 	"time"
 
-	"github.com/gogo/protobuf/proto"
+	gogoproto "github.com/gogo/protobuf/proto"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
+	spb "google.golang.org/genproto/googleapis/rpc/status"
 	"google.golang.org/grpc"
 	"google.golang.org/grpc/codes"
 	"google.golang.org/grpc/status"
+	"google.golang.org/protobuf/proto"
 
 	"go.opentelemetry.io/collector/component"
 	"go.opentelemetry.io/collector/component/componenttest"
@@ -55,10 +58,11 @@ import (
 
 const otlpReceiverName = "otlp_receiver_test"
 
-func TestGrpcGateway_endToEnd(t *testing.T) {
+func TestJsonHttp(t *testing.T) {
 	tests := []struct {
 		name     string
 		encoding string
+		err      error
 	}{
 		{
 			name:     "JSONUncompressed",
@@ -68,6 +72,16 @@ func TestGrpcGateway_endToEnd(t *testing.T) {
 			name:     "JSONGzipCompressed",
 			encoding: "gzip",
 		},
+		{
+			name:     "NotGRPCError",
+			encoding: "",
+			err:      errors.New("my error"),
+		},
+		{
+			name:     "GRPCError",
+			encoding: "",
+			err:      status.New(codes.Internal, "").Err(),
+		},
 	}
 	addr := testutil.GetAvailableLocalAddress(t)
 
@@ -129,6 +143,7 @@ func TestGrpcGateway_endToEnd(t *testing.T) {
 			default:
 				buf = bytes.NewBuffer(traceJSON)
 			}
+			sink.SetConsumeTraceError(test.err)
 			req, err := http.NewRequest("POST", url, buf)
 			require.NoError(t, err, "Error creating trace POST request: %v", err)
 			req.Header.Set("Content-Type", "application/json")
@@ -149,16 +164,21 @@ func TestGrpcGateway_endToEnd(t *testing.T) {
 				t.Errorf("Error closing response body, %v", err)
 			}
 
-			if resp.StatusCode != 200 {
-				t.Errorf("Unexpected status from trace grpc-gateway: %v", resp.StatusCode)
-			}
-
-			var respJSON map[string]interface{}
-			err = json.Unmarshal([]byte(respStr), &respJSON)
-			assert.NoError(t, err)
-
-			if len(respJSON) != 0 {
-				t.Errorf("Got unexpected response from trace grpc-gateway: %v", respStr)
+			if test.err == nil {
+				assert.Equal(t, 200, resp.StatusCode)
+				var respJSON map[string]interface{}
+				assert.NoError(t, json.Unmarshal([]byte(respStr), &respJSON))
+				assert.Len(t, respJSON, 0, "Got unexpected response from trace grpc-gateway")
+			} else {
+				errStatus := &spb.Status{}
+				assert.NoError(t, json.Unmarshal([]byte(respStr), errStatus))
+				if s, ok := status.FromError(test.err); ok {
+					assert.Equal(t, http.StatusInternalServerError, resp.StatusCode)
+					assert.True(t, proto.Equal(errStatus, s.Proto()))
+				} else {
+					assert.Equal(t, http.StatusInternalServerError, resp.StatusCode)
+					assert.True(t, proto.Equal(errStatus, &spb.Status{Code: int32(codes.Unknown), Message: "my error"}))
+				}
 			}
 
 			got := sink.AllTraces()[0]
@@ -203,6 +223,7 @@ func TestProtoHttp(t *testing.T) {
 	tests := []struct {
 		name     string
 		encoding string
+		err      error
 	}{
 		{
 			name:     "ProtoUncompressed",
@@ -212,6 +233,16 @@ func TestProtoHttp(t *testing.T) {
 			name:     "ProtoGzipCompressed",
 			encoding: "gzip",
 		},
+		{
+			name:     "NotGRPCError",
+			encoding: "",
+			err:      errors.New("my error"),
+		},
+		{
+			name:     "GRPCError",
+			encoding: "",
+			err:      status.New(codes.Internal, "").Err(),
+		},
 	}
 	addr := testutil.GetAvailableLocalAddress(t)
 
@@ -248,6 +279,7 @@ func TestProtoHttp(t *testing.T) {
 			default:
 				buf = bytes.NewBuffer(traceBytes)
 			}
+			tSink.SetConsumeTraceError(test.err)
 			req, err := http.NewRequest("POST", url, buf)
 			require.NoError(t, err, "Error creating trace POST request: %v", err)
 			req.Header.Set("Content-Type", "application/x-protobuf")
@@ -261,12 +293,24 @@ func TestProtoHttp(t *testing.T) {
 			require.NoError(t, err, "Error reading response from trace grpc-gateway")
 			require.NoError(t, resp.Body.Close(), "Error closing response body")
 
-			require.Equal(t, 200, resp.StatusCode, "Unexpected return status")
-			require.Equal(t, "application/x-protobuf", resp.Header.Get("Content-Type"), "Unexpected response Content-Type")
+			if test.err == nil {
+				require.Equal(t, 200, resp.StatusCode, "Unexpected return status")
+				tmp := &collectortrace.ExportTraceServiceResponse{}
+				err = tmp.Unmarshal(respBytes)
+				require.NoError(t, err, "Unable to unmarshal response to ExportTraceServiceResponse proto")
+			} else {
+				errStatus := &spb.Status{}
+				assert.NoError(t, proto.Unmarshal(respBytes, errStatus))
+				if s, ok := status.FromError(test.err); ok {
+					assert.Equal(t, http.StatusInternalServerError, resp.StatusCode)
+					assert.True(t, proto.Equal(errStatus, s.Proto()))
+				} else {
+					assert.Equal(t, http.StatusInternalServerError, resp.StatusCode)
+					assert.True(t, proto.Equal(errStatus, &spb.Status{Code: int32(codes.Unknown), Message: "my error"}))
+				}
+			}
 
-			tmp := &collectortrace.ExportTraceServiceResponse{}
-			err = tmp.Unmarshal(respBytes)
-			require.NoError(t, err, "Unable to unmarshal response to ExportTraceServiceResponse proto")
+			require.Equal(t, "application/x-protobuf", resp.Header.Get("Content-Type"), "Unexpected response Content-Type")
 
 			gotOtlp := pdata.TracesToOtlp(tSink.AllTraces()[0])
 
@@ -279,7 +323,7 @@ func TestProtoHttp(t *testing.T) {
 
 			// assert.Equal doesn't work on protos, see:
 			// https://github.com/stretchr/testify/issues/758
-			if !proto.Equal(got, want) {
+			if !gogoproto.Equal(got, want) {
 				t.Errorf("Sending trace proto over http failed\nGot:\n%v\nWant:\n%v\n",
 					got.String(),
 					want.String())