diff --git a/app/observers/note_observer.rb b/app/observers/note_observer.rb
index 1c3c1ad3..944c6839 100644
--- a/app/observers/note_observer.rb
+++ b/app/observers/note_observer.rb
@@ -1,41 +1,10 @@
 class NoteObserver < ActiveRecord::Observer
   def after_create(note)
-    send_notify_mails(note)
+    notification.new_note(note)
   end
 
   protected
 
-  def send_notify_mails(note)
-    if note.notify
-      notify_team(note)
-    elsif note.notify_author
-      # Notify only author of resource
-      if note.commit_author
-        Notify.delay.note_commit_email(note.commit_author.id, note.id)
-      end
-    else
-      # Otherwise ignore it
-      nil
-    end
-  end
-
-  # Notifies the whole team except the author of note
-  def notify_team(note)
-    # Note: wall posts are not "attached" to anything, so fall back to "Wall"
-    noteable_type = note.noteable_type.presence || "Wall"
-    notify_method = "note_#{noteable_type.underscore}_email".to_sym
-
-    if Notify.respond_to? notify_method
-      team_without_note_author(note).map do |u|
-        Notify.delay.send(notify_method, u.id, note.id)
-      end
-    end
-  end
-
-  def team_without_note_author(note)
-    note.project.users.reject { |u| u.id == note.author.id }
-  end
-
   def notification
     NotificationService.new
   end
diff --git a/app/observers/user_observer.rb b/app/observers/user_observer.rb
index 6c461e07..7ce3be0c 100644
--- a/app/observers/user_observer.rb
+++ b/app/observers/user_observer.rb
@@ -2,8 +2,7 @@ class UserObserver < ActiveRecord::Observer
   def after_create(user)
     log_info("User \"#{user.name}\" (#{user.email}) was created")
 
-    # Dont email omniauth created users
-    Notify.delay.new_user_email(user.id, user.password) unless user.extern_uid?
+    notification.new_user(user)
   end
 
   def after_destroy user
@@ -25,4 +24,8 @@ class UserObserver < ActiveRecord::Observer
   def log_info message
     Gitlab::AppLogger.info message
   end
+
+  def notification
+    NotificationService.new
+  end
 end
diff --git a/app/services/notification_service.rb b/app/services/notification_service.rb
index 873fc297..05a6730f 100644
--- a/app/services/notification_service.rb
+++ b/app/services/notification_service.rb
@@ -80,4 +80,32 @@ class NotificationService
       Notify.delay.reassigned_merge_request_email(recipient_id, merge_request.id, merge_request.assignee_id_was)
     end
   end
+
+  # Notify new user with email after creation
+  def new_user(user)
+    # Dont email omniauth created users
+    Notify.delay.new_user_email(user.id, user.password) unless user.extern_uid?
+  end
+
+  # Notify users on new note in system
+  #
+  # TODO: split on methods and refactor
+  #
+  def new_note(note)
+    if note.notify
+      users = note.project.users.reject { |u| u.id == note.author.id }
+
+      # Note: wall posts are not "attached" to anything, so fall back to "Wall"
+      noteable_type = note.noteable_type.presence || "Wall"
+      notify_method = "note_#{noteable_type.underscore}_email".to_sym
+
+      if Notify.respond_to? notify_method
+        team_without_note_author(note).map do |u|
+          Notify.delay.send(notify_method, u.id, note.id)
+        end
+      end
+    elsif note.notify_author && note.commit_author
+      Notify.delay.note_commit_email(note.commit_author.id, note.id)
+    end
+  end
 end