He was placed under house arrest in August 1985 in Tripoli when the Libyan government disapproved his intentions of negotiating a truce with Habré. In October 1985, Libyan police arrested Oueddei, and in the process they shot him in the stomach. He then broke with the Libyans and went into exile in Algiers instead in February 1987. However, some questioned whether he had truly broken with the Libyans, and in July 1987 Oueddei said that he was on good terms with them.