diff --git a/include/shell/shell.h b/include/shell/shell.h
index d1ab41b3765..dcc2c41104b 100644
--- a/include/shell/shell.h
+++ b/include/shell/shell.h
@@ -649,7 +649,7 @@ struct shell_backend_ctx_flags {
 	uint32_t last_nl      :8; /*!< Last received new line character */
 	uint32_t cmd_ctx      :1; /*!< Shell is executing command */
 	uint32_t print_noinit :1; /*!< Print request from not initialized shell */
-	uint32_t panic_mode   :1; /*!< Shell in panic mode */
+	uint32_t sync_mode    :1; /*!< Shell in synchronous mode */
 };
 
 BUILD_ASSERT((sizeof(struct shell_backend_ctx_flags) == sizeof(uint32_t)),
diff --git a/subsys/shell/shell_log_backend.c b/subsys/shell/shell_log_backend.c
index cd925aba0aa..300e5daf8cb 100644
--- a/subsys/shell/shell_log_backend.c
+++ b/subsys/shell/shell_log_backend.c
@@ -56,6 +56,7 @@ void z_shell_log_backend_enable(const struct shell_log_backend *backend,
 
 		shell = (const struct shell *)ctx;
 
+		z_flag_sync_mode_set(shell, true);
 		/* Reenable transport in blocking mode */
 		err = shell->iface->api->enable(shell->iface, true);
 	}
@@ -289,7 +290,7 @@ static void panic(const struct log_backend *const backend)
 	if (err == 0) {
 		shell->log_backend->control_block->state =
 						SHELL_LOG_BACKEND_PANIC;
-		z_flag_panic_mode_set(shell, true);
+		z_flag_sync_mode_set(shell, true);
 
 		/* Move to the start of next line. */
 		z_shell_multiline_data_calc(&shell->ctx->vt100_ctx.cons,
diff --git a/subsys/shell/shell_ops.c b/subsys/shell/shell_ops.c
index 80c49cb5c1d..30b58abf717 100644
--- a/subsys/shell/shell_ops.c
+++ b/subsys/shell/shell_ops.c
@@ -510,7 +510,7 @@ void z_shell_fprintf(const struct shell *sh,
 	__ASSERT_NO_MSG(sh->ctx);
 	__ASSERT_NO_MSG(sh->fprintf_ctx);
 	__ASSERT_NO_MSG(fmt);
-	__ASSERT(z_flag_panic_mode_get(sh) || !k_is_in_isr(),
+	__ASSERT(z_flag_sync_mode_get(sh) || !k_is_in_isr(),
 		 "Thread context required.");
 
 	va_list args;
diff --git a/subsys/shell/shell_ops.h b/subsys/shell/shell_ops.h
index 2199b57184f..ca5d5b341c3 100644
--- a/subsys/shell/shell_ops.h
+++ b/subsys/shell/shell_ops.h
@@ -203,16 +203,16 @@ static inline bool z_flag_print_noinit_set(const struct shell *sh, bool val)
 	return ret;
 }
 
-static inline bool z_flag_panic_mode_get(const struct shell *sh)
+static inline bool z_flag_sync_mode_get(const struct shell *sh)
 {
-	return sh->ctx->ctx.flags.panic_mode == 1;
+	return sh->ctx->ctx.flags.sync_mode == 1;
 }
 
-static inline bool z_flag_panic_mode_set(const struct shell *sh, bool val)
+static inline bool z_flag_sync_mode_set(const struct shell *sh, bool val)
 {
 	bool ret;
 
-	Z_SHELL_SET_FLAG_ATOMIC(sh, ctx, panic_mode, val, ret);
+	Z_SHELL_SET_FLAG_ATOMIC(sh, ctx, sync_mode, val, ret);
 	return ret;
 }