diff --git a/scripts/py_matter_idl/BUILD.gn b/scripts/py_matter_idl/BUILD.gn
index 37b17477aabfbc..01983d0a890724 100644
--- a/scripts/py_matter_idl/BUILD.gn
+++ b/scripts/py_matter_idl/BUILD.gn
@@ -64,6 +64,7 @@ pw_python_package("matter_idl") {
 
   tests = [
     "matter_idl/test_backwards_compatibility.py",
+    "matter_idl/test_data_model_xml.py",
     "matter_idl/test_matter_idl_parser.py",
     "matter_idl/test_generators.py",
     "matter_idl/test_idl_generator.py",
diff --git a/scripts/py_matter_idl/matter_idl/data_model_xml/handlers/derivation.py b/scripts/py_matter_idl/matter_idl/data_model_xml/handlers/derivation.py
index 8102793ef20b12..79ddb29974b568 100644
--- a/scripts/py_matter_idl/matter_idl/data_model_xml/handlers/derivation.py
+++ b/scripts/py_matter_idl/matter_idl/data_model_xml/handlers/derivation.py
@@ -13,10 +13,11 @@
 #    See the License for the specific language governing permissions and
 #    limitations under the License.
 #
+import dataclasses
 import logging
 from typing import Iterable, Optional, Protocol, TypeVar
 
-from matter_idl.matter_idl_types import Attribute, Bitmap, Cluster, Command, Enum, Event, Idl, Struct
+from matter_idl.matter_idl_types import Attribute, AttributeQuality, Bitmap, Cluster, Command, Enum, Event, Idl, Struct
 
 from .context import Context, IdlPostProcessor
 from .parsing import NormalizeName
@@ -81,6 +82,9 @@ def merge_event_into(e: Event, cluster: Cluster):
 
 
 def merge_attribute_into(a: Attribute, cluster: Cluster):
+    """Pushes an attribute from a base cluster into an already
+       parsed cluster.
+    """
     existing: Optional[Attribute] = None
     for existing_a in cluster.attributes:
         if existing_a.definition.name == a.definition.name:
@@ -90,13 +94,21 @@ def merge_attribute_into(a: Attribute, cluster: Cluster):
     if existing:
         # Merge examples:
         #   UserLabelCluster::LabelList changes qualities (access, mandatory)
-        #
-        # TODO: add more examples and handle accordingly, sometimes just the
-        #       conformance is changed
-        #
-        # To replace we could do:
-        #    cluster.attributes.remove(existing)
-        # However then we lose any overrides
+        #   ModeDishwasher:
+        #      - changes the type of a list from sint32 to list[ModeOptionStruct]
+        #      - Sets the field as read-only
+
+        # Carry over data type and definitions, except quality and maturity
+        existing.definition = dataclasses.replace(
+            a.definition,
+            qualities=existing.definition.qualities,
+            api_maturity=existing.definition.api_maturity,
+        )
+
+        # Inherit attribute quality
+        if existing.qualities == AttributeQuality.NONE:
+            existing.qualities = a.qualities
+
         return
 
     cluster.attributes.append(a)
diff --git a/scripts/py_matter_idl/matter_idl/test_data_model_xml.py b/scripts/py_matter_idl/matter_idl/test_data_model_xml.py
index 6117f35e9f1ad2..06418f894ffcd6 100755
--- a/scripts/py_matter_idl/matter_idl/test_data_model_xml.py
+++ b/scripts/py_matter_idl/matter_idl/test_data_model_xml.py
@@ -214,15 +214,13 @@ def testClusterDerivation(self):
                   ModeTagStruct modeTags[] = 2;
                }
 
+               readonly attribute ModeOptionStruct supportedModes[] = 0;
                readonly attribute attrib_id attributeList[] = 65531;
                readonly attribute event_id eventList[] = 65530;
                readonly attribute command_id acceptedCommandList[] = 65529;
                readonly attribute command_id generatedCommandList[] = 65528;
                readonly attribute bitmap32 featureMap = 65532;
                readonly attribute int16u clusterRevision = 65533;
-
-               // baseline inserted after, so to pass the test add this at the end
-               readonly attribute ModeOptionStruct supportedModes[] = 0;
            }
         ''')