diff --git a/server_addon/houdini/client/ayon_houdini/addon.py b/server_addon/houdini/client/ayon_houdini/addon.py
index 8f82ee2e76..95d714aea1 100644
--- a/server_addon/houdini/client/ayon_houdini/addon.py
+++ b/server_addon/houdini/client/ayon_houdini/addon.py
@@ -4,49 +4,41 @@ from ayon_core.addon import AYONAddon, IHostAddon
 HOUDINI_HOST_DIR = os.path.dirname(os.path.abspath(__file__))
 
 
-def merge_paths(*paths):
-    """Merge path strings to a single uniqified `os.pathsep` joined string.
-    Each path argument can itself be `os.pathsep` joined string.
-    >>> merge_paths("A", "A;B;C", "D;E")
-    "A;B;C;D;E"
-    Returns:
-        str: Single joined path using `os.pathsep`
-    """
-    result = []
-    processed = set()
-    for paths_str in paths:
-        for path in paths_str.split(os.pathsep):
-            if not path:
-                continue
-
-            path = os.path.normpath(path)
-            if path in processed:
-                continue
-
-            result.append(path)
-            processed.add(path)
-
-    return os.pathsep.join(result)
-
-
 class HoudiniAddon(AYONAddon, IHostAddon):
     name = "houdini"
     host_name = "houdini"
 
     def add_implementation_envs(self, env, _app):
-        # Add requirements to HOUDINI_PATH, HOUDINI_MENU_PATH, HOUDINI_OTL_PATH
+        # Add requirements to HOUDINI_PATH and HOUDINI_MENU_PATH
         startup_path = os.path.join(HOUDINI_HOST_DIR, "startup")
-        resources_path = os.path.join(HOUDINI_HOST_DIR, "resources")
+        new_houdini_path = [startup_path]
+        new_houdini_menu_path = [startup_path]
 
-        env["HOUDINI_PATH"] = merge_paths(
-            startup_path, env.get("HOUDINI_PATH", ""), "&"
-        )
-        env["HOUDINI_MENU_PATH"] = merge_paths(
-            startup_path, env.get("HOUDINI_MENU_PATH", ""), "&"
-        )
-        env["HOUDINI_OTL_PATH"] = merge_paths(
-            resources_path, env.get("HOUDINI_OTL_PATH", ""), "&"
-        )
+        old_houdini_path = env.get("HOUDINI_PATH") or ""
+        old_houdini_menu_path = env.get("HOUDINI_MENU_PATH") or ""
+
+        for path in old_houdini_path.split(os.pathsep):
+            if not path:
+                continue
+
+            norm_path = os.path.normpath(path)
+            if norm_path not in new_houdini_path:
+                new_houdini_path.append(norm_path)
+
+        for path in old_houdini_menu_path.split(os.pathsep):
+            if not path:
+                continue
+
+            norm_path = os.path.normpath(path)
+            if norm_path not in new_houdini_menu_path:
+                new_houdini_menu_path.append(norm_path)
+
+        # Add ampersand for unknown reason (Maybe is needed in Houdini?)
+        new_houdini_path.append("&")
+        new_houdini_menu_path.append("&")
+
+        env["HOUDINI_PATH"] = os.pathsep.join(new_houdini_path)
+        env["HOUDINI_MENU_PATH"] = os.pathsep.join(new_houdini_menu_path)
 
     def get_launch_hook_paths(self, app):
         if app.host_name != self.host_name: