diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.cpp b/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.cpp
index 603c7a8023..706d8243e2 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.cpp
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.cpp
@@ -256,6 +256,8 @@ namespace AzToolsFramework
 
             m_userSettings = AZ::UserSettings::CreateFind<AssetEditorWidgetUserSettings>(k_assetEditorWidgetSettings, AZ::UserSettings::CT_LOCAL);
 
+            UpdateRecentFileListState();
+
             QObject::connect(m_recentFileMenu, &QMenu::aboutToShow, this, &AssetEditorWidget::PopulateRecentMenu);
         }
 
@@ -952,7 +954,8 @@ namespace AzToolsFramework
 
         void AssetEditorWidget::AddRecentPath(const AZStd::string& recentPath)
         {
-            m_userSettings->AddRecentPath(recentPath);            
+            m_userSettings->AddRecentPath(recentPath);
+            UpdateRecentFileListState();
         }
 
         void AssetEditorWidget::PopulateRecentMenu()
@@ -989,6 +992,21 @@ namespace AzToolsFramework
             m_saveAsAssetAction->setEnabled(true);
         }
 
+        void AssetEditorWidget::UpdateRecentFileListState()
+        {
+            if (m_recentFileMenu)
+            {
+                if (!m_userSettings || m_userSettings->m_recentPaths.empty())
+                {
+                    m_recentFileMenu->setEnabled(false);
+                }
+                else
+                {
+                    m_recentFileMenu->setEnabled(true);
+                }
+            }
+        }
+
     } // namespace AssetEditor
 } // namespace AzToolsFramework
 
diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.h b/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.h
index b27d69dba5..4379fc27ed 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.h
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/AssetEditor/AssetEditorWidget.h
@@ -122,6 +122,8 @@ namespace AzToolsFramework
             void OnCatalogAssetAdded(const AZ::Data::AssetId& assetId) override;
             void OnCatalogAssetRemoved(const AZ::Data::AssetId& assetId, const AZ::Data::AssetInfo& assetInfo) override;
 
+            void UpdateRecentFileListState();
+
         private:
             void DirtyAsset();