diff --git a/sdks/python/src/opik/api_objects/opik_client.py b/sdks/python/src/opik/api_objects/opik_client.py
index 4e5e4a1beb..df0876bccb 100644
--- a/sdks/python/src/opik/api_objects/opik_client.py
+++ b/sdks/python/src/opik/api_objects/opik_client.py
@@ -67,6 +67,8 @@ def __init__(
             url_override=host,
             api_key=api_key,
         )
+        config.check_for_misconfiguration(config_)
+
         self._workspace: str = config_.workspace
         self._project_name: str = config_.project_name
         self._flush_timeout: Optional[int] = config_.default_flush_timeout
diff --git a/sdks/python/src/opik/config.py b/sdks/python/src/opik/config.py
index 4f03e3c7c6..881733f40c 100644
--- a/sdks/python/src/opik/config.py
+++ b/sdks/python/src/opik/config.py
@@ -10,7 +10,7 @@
 from pydantic_settings import BaseSettings, InitSettingsSource
 from pydantic_settings.sources import ConfigFileSourceMixin
 
-from . import dict_utils
+from . import dict_utils, url_helpers
 from .api_key import opik_api_key
 
 PathType = Union[
@@ -250,3 +250,37 @@ def get_from_user_inputs(**user_inputs: Any) -> OpikConfig:
     cleaned_user_inputs = dict_utils.remove_none_from_dict(user_inputs)
 
     return OpikConfig(**cleaned_user_inputs)
+
+
+def check_for_misconfiguration(config: OpikConfig) -> None:
+    cloud_installation = url_helpers.get_base_url(
+        config.url_override
+    ) == url_helpers.get_base_url(OPIK_URL_CLOUD)
+    localhost_installation = (
+        "localhost" in config.url_override
+    )  # does not detect all OSS installations
+    workspace_is_default = config.workspace == OPIK_WORKSPACE_DEFAULT_NAME
+    api_key_configured = config.api_key is not None
+
+    if cloud_installation and (not api_key_configured or workspace_is_default):
+        print()
+        LOGGER.error(
+            "========================\n"
+            "The workspace and API key must be specified to log data to https://www.comet.com/opik.\n"
+            "You can use `opik configure` CLI command to configure your environment for logging.\n"
+            "See the configuration details in the docs: https://www.comet.com/docs/opik/tracing/sdk_configuration.\n"
+            "==============================\n"
+        )
+        return
+
+    if localhost_installation and not workspace_is_default:
+        print()
+        LOGGER.error(
+            "========================\n"
+            "Open source installations do not support workspace specification. Only `default` is available.\n"
+            "See the configuration details in the docs: https://www.comet.com/docs/opik/tracing/sdk_configuration\n"
+            "If you need advanced workspace management - you may consider using our cloud offer (https://www.comet.com/site/pricing/)\n"
+            "or contact our team for purchasing and setting up a self-hosted installation.\n"
+            "==============================\n"
+        )
+        return
diff --git a/sdks/python/src/opik/logging_messages.py b/sdks/python/src/opik/logging_messages.py
index 506cc316e5..72bebb8b8c 100644
--- a/sdks/python/src/opik/logging_messages.py
+++ b/sdks/python/src/opik/logging_messages.py
@@ -23,7 +23,7 @@
 FAILED_TO_PARSE_OPENAI_STREAM_CONTENT = "Failed to parse openai Stream content. %s"
 
 FAILED_TO_PROCESS_MESSAGE_IN_BACKGROUND_STREAMER = (
-    "Failed to process %s. Content: %s, Error: %s"
+    "Failed to process %s.\nContent: %s,\nError: %s"
 )
 
 HALLUCINATION_DETECTION_FAILED = "Failed hallucination detection"
diff --git a/sdks/python/src/opik/message_processing/message_processors.py b/sdks/python/src/opik/message_processing/message_processors.py
index df857934f0..c439ab36b5 100644
--- a/sdks/python/src/opik/message_processing/message_processors.py
+++ b/sdks/python/src/opik/message_processing/message_processors.py
@@ -48,15 +48,19 @@ def process(self, message: messages.BaseMessage) -> None:
 
         try:
             handler(message)
-        except Exception as exception:
-            if (
-                isinstance(exception, rest_api_core.ApiError)
-                and exception.status_code == 409
-            ):
+        except rest_api_core.ApiError as exception:
+            if exception.status_code == 409:
                 # sometimes retry mechanism works in a way that it sends the same request 2 times.
                 # second request is rejected by the backend, we don't want users to an error.
                 return
 
+            LOGGER.error(
+                logging_messages.FAILED_TO_PROCESS_MESSAGE_IN_BACKGROUND_STREAMER,
+                message_type.__name__,
+                message,
+                str(exception),
+            )
+        except Exception as exception:
             LOGGER.error(
                 logging_messages.FAILED_TO_PROCESS_MESSAGE_IN_BACKGROUND_STREAMER,
                 message_type.__name__,