diff --git a/elements/lisk-transactions/src/sign.ts b/elements/lisk-transactions/src/sign.ts
index 9f0c43f6a11..f2cd36f55df 100644
--- a/elements/lisk-transactions/src/sign.ts
+++ b/elements/lisk-transactions/src/sign.ts
@@ -13,7 +13,7 @@
  *
  */
 
-import { codec, Schema } from '@liskhq/lisk-codec';
+import { codec, emptySchema, Schema } from '@liskhq/lisk-codec';
 import { utils, ed } from '@liskhq/lisk-cryptography';
 import { validateTransaction } from './validate';
 import { baseTransactionSchema } from './schema';
@@ -27,11 +27,11 @@ export interface MultiSignatureKeys {
 	readonly optionalKeys: Array<Buffer>;
 }
 
-const encodeParams = (transaction: Record<string, unknown>, paramsSchema?: object): Buffer => {
-	const validationErrors = validateTransaction(transaction, paramsSchema);
-	if (validationErrors) {
-		throw validationErrors;
-	}
+const encodeParams = (
+	transaction: Record<string, unknown>,
+	paramsSchema = emptySchema as object,
+): Buffer => {
+	validateTransaction(transaction, paramsSchema);
 
 	const hasParams =
 		typeof transaction.params === 'object' && transaction.params !== null && paramsSchema;
@@ -101,7 +101,7 @@ export const getBytes = (transaction: Record<string, unknown>, paramsSchema?: ob
  *  const signedTransaction = signTransaction(unsignedTrx, chainID, privateKey, paramsSchema);
  *  ```
  *
- * @param transactionObject The unsigned transaction object.
+ * @param transaction The unsigned transaction object.
  * @param chainID The chain ID of the chain to which the transaction belongs.
  * @param privateKey The private key of the sender of the transaction.
  * @param paramsSchema The schema for the `params` of the transaction.
@@ -113,7 +113,7 @@ export const getBytes = (transaction: Record<string, unknown>, paramsSchema?: ob
  * @see [LIP 0062 - Use pre-hashing for signatures](https://github.com/LiskHQ/lips/blob/main/proposals/lip-0062.md)
  */
 export const signTransaction = (
-	transactionObject: Record<string, unknown>,
+	transaction: Record<string, unknown>,
 	chainID: Buffer,
 	privateKey: Buffer,
 	paramsSchema?: object,
@@ -126,21 +126,18 @@ export const signTransaction = (
 		throw new Error('Private key must be 64 bytes');
 	}
 
-	const validationErrors = validateTransaction(transactionObject, paramsSchema);
-	if (validationErrors) {
-		throw validationErrors;
-	}
+	validateTransaction(transaction, paramsSchema);
 
 	const signature = ed.signDataWithPrivateKey(
 		TAG_TRANSACTION,
 		chainID,
-		getSigningBytes(transactionObject, paramsSchema),
+		getSigningBytes(transaction, paramsSchema),
 		privateKey,
 	);
 
 	// eslint-disable-next-line no-param-reassign
-	transactionObject.signatures = [signature];
-	return { ...transactionObject, id: utils.hash(getBytes(transactionObject, paramsSchema)) };
+	transaction.signatures = [signature];
+	return { ...transaction, id: utils.hash(getBytes(transaction, paramsSchema)) };
 };
 
 /**
@@ -185,10 +182,7 @@ export const signMultiSignatureTransaction = (
 		throw new Error('Signatures must be of type array');
 	}
 
-	const validationErrors = validateTransaction(transactionObject, paramsSchema);
-	if (validationErrors) {
-		throw validationErrors;
-	}
+	validateTransaction(transactionObject, paramsSchema);
 
 	keys.mandatoryKeys.sort((publicKeyA, publicKeyB) => publicKeyA.compare(publicKeyB));
 	keys.optionalKeys.sort((publicKeyA, publicKeyB) => publicKeyA.compare(publicKeyB));
diff --git a/elements/lisk-transactions/src/validate.ts b/elements/lisk-transactions/src/validate.ts
index 68ec6fcef65..51237b9b9b1 100644
--- a/elements/lisk-transactions/src/validate.ts
+++ b/elements/lisk-transactions/src/validate.ts
@@ -13,7 +13,8 @@
  *
  */
 
-import { LiskValidationError, validator } from '@liskhq/lisk-validator';
+import { validator } from '@liskhq/lisk-validator';
+import { emptySchema } from '@liskhq/lisk-codec';
 import { baseTransactionSchema } from './schema';
 
 /**
@@ -25,7 +26,7 @@ import { baseTransactionSchema } from './schema';
  * const validation = validateTransaction(transaction, paramsSchema);
  * ```
  *
- * @param transactionObject The transaction to validate.
+ * @param transaction The transaction to validate.
  * @param paramsSchema The parameters schema for the transaction.
  *
  * @returns `undefined`, if the transaction is valid and no errors are found.
@@ -34,24 +35,19 @@ import { baseTransactionSchema } from './schema';
  * @see [LIP 0062 - Use pre-hashing for signatures](https://github.com/LiskHQ/lips/blob/main/proposals/lip-0062.md)
  * @see {@link @liskhq/lisk-validator!LiskValidator.validate}
  */
+
 export const validateTransaction = (
-	transactionObject: Record<string, unknown>,
-	paramsSchema?: object,
-): LiskValidationError | Error | undefined => {
-	const transactionObjectWithEmptyParameters = {
-		...transactionObject,
+	transaction: Record<string, unknown>,
+	paramsSchema = emptySchema as object,
+) => {
+	const transactionWithEmptyParams = {
+		...transaction,
 		params: Buffer.alloc(0),
 	};
-	validator.validate(baseTransactionSchema, transactionObjectWithEmptyParameters);
-
-	if (!paramsSchema) {
-		return undefined;
-	}
+	validator.validate(baseTransactionSchema, transactionWithEmptyParams);
 
-	if (typeof transactionObject.params !== 'object' || transactionObject.params === null) {
-		return new Error('Transaction object params must be of type object and not null');
+	if (typeof transaction.params !== 'object' || transaction.params === null) {
+		throw new Error('Transaction object params must be of type object and not null');
 	}
-	validator.validate(paramsSchema, transactionObject.params);
-
-	return undefined;
+	validator.validate(paramsSchema, transaction.params);
 };
diff --git a/elements/lisk-transactions/test/sign.spec.ts b/elements/lisk-transactions/test/sign.spec.ts
index 4f8f9261ce1..24620752773 100644
--- a/elements/lisk-transactions/test/sign.spec.ts
+++ b/elements/lisk-transactions/test/sign.spec.ts
@@ -240,7 +240,7 @@ describe('sign', () => {
 
 		it('should return a signed transaction for an undefined params schema', () => {
 			const signedTransaction = signTransaction(
-				{ ...validTransaction, params: undefined },
+				{ ...validTransaction },
 				chainID,
 				privateKey,
 				undefined,
diff --git a/elements/lisk-transactions/test/validate.spec.ts b/elements/lisk-transactions/test/validate.spec.ts
index f8f32b522d1..56c25c59ea9 100644
--- a/elements/lisk-transactions/test/validate.spec.ts
+++ b/elements/lisk-transactions/test/validate.spec.ts
@@ -70,10 +70,10 @@ describe('validateTransaction', () => {
 		);
 	});
 
-	it('should return error when params is null', () => {
-		return expect(
+	it('should throw when params is null', () => {
+		return expect(() =>
 			validateTransaction({ ...validTransaction, params: null }, validParamsSchema),
-		).toEqual(new Error('Transaction object params must be of type object and not null'));
+		).toThrow('Transaction object params must be of type object and not null');
 	});
 
 	it('should return error for invalid params property', () => {
diff --git a/framework/src/testing/create_transaction.ts b/framework/src/testing/create_transaction.ts
index 4cf3395be83..909575b9b88 100644
--- a/framework/src/testing/create_transaction.ts
+++ b/framework/src/testing/create_transaction.ts
@@ -58,10 +58,7 @@ export const createTransaction = ({
 	};
 
 	if (commandInstance.schema) {
-		const validationErrors = validateTransaction(transaction, commandInstance.schema);
-		if (validationErrors) {
-			throw validationErrors;
-		}
+		validateTransaction(transaction, commandInstance.schema);
 	}
 	const result = new Transaction({ ...transaction, params: paramsBytes });