diff --git a/react-components/src/components/RevealToolbar/RuleBasedOutputsButton.tsx b/react-components/src/components/RevealToolbar/RuleBasedOutputsButton.tsx
index 16676599cd3..2eb70b2da76 100644
--- a/react-components/src/components/RevealToolbar/RuleBasedOutputsButton.tsx
+++ b/react-components/src/components/RevealToolbar/RuleBasedOutputsButton.tsx
@@ -132,6 +132,7 @@ export const RuleBasedOutputsButton = ({
                 checked={currentRuleSetEnabled === undefined || emptyRuleSelected?.isEnabled}
                 onChange={onChange}
                 isLoading={isRuleLoading}
+                isEmptyRuleItem={true}
               />
               {ruleInstances?.map((item) => (
                 <RuleBasedSelectionItem
@@ -141,6 +142,7 @@ export const RuleBasedOutputsButton = ({
                   checked={item?.isEnabled}
                   onChange={onChange}
                   isLoading={isRuleLoading}
+                  isEmptyRuleItem={false}
                 />
               ))}
             </Menu>
diff --git a/react-components/src/components/RuleBasedOutputs/components/RuleBasedSelectionItem.tsx b/react-components/src/components/RuleBasedOutputs/components/RuleBasedSelectionItem.tsx
index 54ee3f46c6c..efb810e4650 100644
--- a/react-components/src/components/RuleBasedOutputs/components/RuleBasedSelectionItem.tsx
+++ b/react-components/src/components/RuleBasedOutputs/components/RuleBasedSelectionItem.tsx
@@ -12,6 +12,7 @@ type RuleBasedSelectionItemProps = {
   checked: boolean | undefined;
   key: string;
   isLoading: boolean;
+  isEmptyRuleItem: boolean;
 };
 export const RuleBasedSelectionItem = ({
   onChange,
@@ -20,6 +21,7 @@ export const RuleBasedSelectionItem = ({
   id,
   checked,
   isLoading,
+  isEmptyRuleItem
 }: RuleBasedSelectionItemProps): ReactElement => {
   return (
     <Menu.Item
@@ -32,7 +34,7 @@ export const RuleBasedSelectionItem = ({
           <Icon type="ColorPalette" />
           {label}
         </Flex>
-        {isLoading && checked === true ? (
+        {!isEmptyRuleItem && isLoading && checked === true ? (
           <Icon type="Loader" />
         ) : (
           <Radio name={id ?? ''} value={id} checked={checked} />