diff --git a/src/StackExchange.Redis/PhysicalConnection.Transport.cs b/src/StackExchange.Redis/PhysicalConnection.Transport.cs
index 9b7a53dc9..1e124bd83 100644
--- a/src/StackExchange.Redis/PhysicalConnection.Transport.cs
+++ b/src/StackExchange.Redis/PhysicalConnection.Transport.cs
@@ -20,10 +20,15 @@ internal sealed partial class PhysicalConnection
         // surface at all on this side.
         private DuplexTransport? _transport;
 
+        // Set when a transport is adopted and never cleared: the transport-mode counterpart of _ioStream, which
+        // RecordConnectionFailed checks before it reports a failure and fails what is awaiting a response.
+        private bool _transportAdopted;
+
         internal bool HasTransport => _transport is not null;
 
         private void InitTransportOutput(DuplexTransport transport)
         {
+            _transportAdopted = true;
             _output = new TransportWriter(transport, OutputCancel);
 
             // Same reasoning as InitOutput: nothing awaits WriteComplete in production; observe it so
diff --git a/src/StackExchange.Redis/PhysicalConnection.cs b/src/StackExchange.Redis/PhysicalConnection.cs
index fc53e20e7..c960e4230 100644
--- a/src/StackExchange.Redis/PhysicalConnection.cs
+++ b/src/StackExchange.Redis/PhysicalConnection.cs
@@ -568,7 +568,7 @@ public void RecordConnectionFailed(
             var bridge = BridgeCouldBeNull;
             Message? nextMessage;
 
-            if (_ioStream is not null || isInitialConnect) // if *we* didn't burn the pipe: flag it
+            if (_ioStream is not null || _transportAdopted || isInitialConnect) // if *we* didn't burn the pipe: flag it
             {
                 if (failureType == ConnectionFailureType.InternalFailure && innerException is not null)
                 {
diff --git a/tests/StackExchange.Redis.Tests/TransportCloseTests.cs b/tests/StackExchange.Redis.Tests/TransportCloseTests.cs
new file mode 100644
index 000000000..8c70869a4
--- /dev/null
+++ b/tests/StackExchange.Redis.Tests/TransportCloseTests.cs
@@ -0,0 +1,153 @@
+using System;
+using System.IO;
+using System.Net;
+using System.Threading;
+using System.Threading.Tasks;
+using RESPite.Transports;
+using StackExchange.Redis.Configuration;
+using Xunit;
+
+namespace StackExchange.Redis.Tests;
+
+[RunPerProtocol]
+public class TransportCloseTests(ITestOutputHelper output)
+{
+    [Fact]
+    public async Task PeerCloseFailsOutstandingCommandsAndRaisesConnectionFailed()
+    {
+        using var server = new InProcessTestServer(output);
+        var tunnel = new StreamTransportTunnel(server.Tunnel);
+        var config = server.GetClientConfig(withPubSub: false, defaultOnly: true);
+        config.Tunnel = tunnel;
+
+        await using var conn = await ConnectionMultiplexer.ConnectAsync(config);
+        var failed = new TaskCompletionSource<ConnectionFailedEventArgs>(TaskCreationOptions.RunContinuationsAsynchronously);
+        conn.ConnectionFailed += (_, e) => failed.TrySetResult(e);
+
+        var db = conn.GetDatabase();
+        await db.PingAsync();
+
+        // The next command is written to the transport but never reaches the server, so it is still
+        // awaiting its reply when the server closes the connection.
+        var transport = tunnel.Interactive!;
+        transport.DropWrites();
+        var pending = db.PingAsync();
+        await transport.Dropped.WaitAsync(TimeSpan.FromSeconds(5));
+        transport.CloseAsIfByPeer();
+
+        var ex = await Assert.ThrowsAsync<RedisConnectionException>(() => pending);
+        Assert.Equal(ConnectionFailureType.SocketClosed, ex.FailureType);
+
+        var args = await failed.Task.WaitAsync(TimeSpan.FromSeconds(5));
+        Assert.Equal(ConnectionFailureType.SocketClosed, args.FailureType);
+    }
+
+    /// <summary>Connects through the in-process server's tunnel, but hands the client a <see cref="DuplexTransport"/>
+    /// over that stream instead of the stream itself.</summary>
+    private sealed class StreamTransportTunnel(Tunnel inner) : Tunnel
+    {
+        public StreamTransport? Interactive { get; private set; }
+
+        public override async ValueTask<DuplexTransport?> ConnectTransportAsync(
+            EndPoint endpoint, ConnectionType connectionType, TlsOptions tls, CancellationToken cancellationToken)
+        {
+            var stream = await inner.BeforeAuthenticateAsync(endpoint, connectionType, null, cancellationToken)
+                ?? throw new InvalidOperationException($"No in-process node at {endpoint}");
+            var transport = new StreamTransport(stream);
+            if (connectionType == ConnectionType.Interactive) Interactive = transport;
+            return transport;
+        }
+    }
+
+    /// <summary>A transport over a stream, with two levers for the test: drop what is written, and close the way
+    /// a transport does when its peer goes away - <see cref="TransportReceiver.OnClosed"/> with no fault.</summary>
+    private sealed class StreamTransport(Stream stream) : DuplexTransport
+    {
+        private readonly CancellationTokenSource _peerClosed = new();
+        private readonly TaskCompletionSource<bool> _dropped = new(TaskCreationOptions.RunContinuationsAsynchronously);
+        private byte[] _staged = new byte[1024];
+        private int _stagedCount, _closed;
+        private volatile bool _dropWrites;
+        private TransportReceiver? _receiver;
+
+        public Task<bool> Dropped => _dropped.Task;
+
+        public void DropWrites() => _dropWrites = true;
+
+        public void CloseAsIfByPeer() => _peerClosed.Cancel();
+
+        public override Memory<byte> GetMemory(int sizeHint = 0) => Reserve(sizeHint).AsMemory(_stagedCount);
+
+        public override void Advance(int count) => _stagedCount += count;
+
+        public override bool Flush()
+        {
+            if (Volatile.Read(ref _closed) != 0)
+            {
+                _stagedCount = 0;
+                return false;
+            }
+
+            if (_stagedCount != 0)
+            {
+                if (_dropWrites)
+                {
+                    _dropped.TrySetResult(true);
+                }
+                else
+                {
+                    stream.Write(_staged, 0, _stagedCount);
+                    stream.Flush();
+                }
+                _stagedCount = 0;
+            }
+            return true;
+        }
+
+        public override void Start(TransportReceiver receiver)
+        {
+            _receiver = receiver;
+            _ = Task.Run(ReceiveAsync);
+        }
+
+        public override ValueTask DisposeAsync()
+        {
+            _peerClosed.Cancel();
+            return default;
+        }
+
+        private async Task ReceiveAsync()
+        {
+            var buffer = new byte[4096];
+            Exception? fault = null;
+            try
+            {
+                while (true)
+                {
+                    int read = await stream.ReadAsync(buffer, 0, buffer.Length, _peerClosed.Token);
+                    if (read <= 0 || !_receiver!.OnReceived(new ReadOnlySpan<byte>(buffer, 0, read))) break;
+                    _receiver.OnBatchEnd();
+                }
+            }
+            catch (OperationCanceledException) when (_peerClosed.IsCancellationRequested)
+            {
+                // a clean close, as when the server ends the connection
+            }
+            catch (Exception ex)
+            {
+                fault = ex;
+            }
+
+            Volatile.Write(ref _closed, 1);
+            stream.Dispose();
+            _receiver!.OnClosed(fault);
+        }
+
+        private byte[] Reserve(int sizeHint)
+        {
+            int needed = _stagedCount + Math.Max(sizeHint, 1);
+            if (needed > _staged.Length) Array.Resize(ref _staged, Math.Max(needed, _staged.Length * 2));
+            return _staged;
+        }
+    }
+}