diff --git a/dll/win32/msafd/misc/dllmain.c b/dll/win32/msafd/misc/dllmain.c
index e1faf4d6450..d09a9e16c20 100644
--- a/dll/win32/msafd/misc/dllmain.c
+++ b/dll/win32/msafd/misc/dllmain.c
@@ -2103,7 +2103,11 @@ WSPConnect(SOCKET Handle,
             Status = IOSB->Status;
         }
 
-        Socket->SharedData->SocketLastError = TranslateNtStatusError(Status);
+        if (Status == STATUS_LOCAL_DISCONNECT)
+            Socket->SharedData->SocketLastError = WSAETIMEDOUT;
+        else
+            Socket->SharedData->SocketLastError = TranslateNtStatusError(Status);
+
         if (Status != STATUS_SUCCESS)
             goto Leave;
 
@@ -2174,6 +2178,10 @@ Leave:
         }
     }
 
+    if (Status == STATUS_LOCAL_DISCONNECT && Errno == 0)
+    {
+        Status = STATUS_TIMEOUT;
+    }
     return MsafdReturnWithErrno(Status, lpErrno, 0, NULL);
 }
 
diff --git a/modules/rostests/apitests/ws2_32/CMakeLists.txt b/modules/rostests/apitests/ws2_32/CMakeLists.txt
index 088d7c632db..4af3422d72d 100644
--- a/modules/rostests/apitests/ws2_32/CMakeLists.txt
+++ b/modules/rostests/apitests/ws2_32/CMakeLists.txt
@@ -15,6 +15,7 @@ list(APPEND SOURCE
     recv.c
     send.c
     WSAAsync.c
+    WSAEtimedout.c
     WSAIoctl.c
     WSARecv.c
     WSAStartup.c)
diff --git a/modules/rostests/apitests/ws2_32/WSAEtimedout.c b/modules/rostests/apitests/ws2_32/WSAEtimedout.c
new file mode 100644
index 00000000000..4ccf1663622
--- /dev/null
+++ b/modules/rostests/apitests/ws2_32/WSAEtimedout.c
@@ -0,0 +1,33 @@
+/*
+ * PROJECT:     ReactOS API Tests
+ * LICENSE:     LGPL-2.1-or-later (https://spdx.org/licenses/LGPL-2.1-or-later)
+ * PURPOSE:     Unit Tests for ws2_32 WSAETIMEDOUT (CORE-12096)
+ * COPYRIGHTS:  Copyright 2026 Doug Lyons <douglyons@douglyons.com>
+ */
+
+#include "ws2_32.h"
+ 
+START_TEST(WSAEtimedout)
+{
+    WSADATA wsaData;
+    int nConRes;
+
+    if (WSAStartup(MAKEWORD(2, 2), &wsaData) != 0)
+    {
+        skip("WSAStartup failed\n");
+        return;
+    }
+
+    SOCKET ConnectSocket = socket(AF_INET, SOCK_STREAM, IPPROTO_TCP);
+    struct sockaddr_in clientService;
+    clientService.sin_family = AF_INET;
+    clientService.sin_addr.s_addr = inet_addr("192.0.2.1");
+    clientService.sin_port = htons(123);
+
+    nConRes = connect(ConnectSocket, (SOCKADDR *)&clientService, sizeof(clientService));
+    ok(nConRes == SOCKET_ERROR, "ERROR: socket connect() result is not SOCKET_ERROR\n");
+    ok(WSAGetLastError() == WSAETIMEDOUT, "ERROR: socket connect() last error is not WSAETIMEDOUT\n");
+
+    closesocket(ConnectSocket);
+    WSACleanup();
+}
diff --git a/modules/rostests/apitests/ws2_32/testlist.c b/modules/rostests/apitests/ws2_32/testlist.c
index 413686e3098..fb1d622e469 100644
--- a/modules/rostests/apitests/ws2_32/testlist.c
+++ b/modules/rostests/apitests/ws2_32/testlist.c
@@ -16,6 +16,7 @@ extern void func_open_osfhandle(void);
 extern void func_recv(void);
 extern void func_send(void);
 extern void func_WSAAsync(void);
+extern void func_WSAEtimedout(void);
 extern void func_WSAIoctl(void);
 extern void func_WSARecv(void);
 extern void func_WSAStartup(void);
@@ -36,6 +37,7 @@ const struct test winetest_testlist[] =
     { "recv", func_recv },
     { "send", func_send },
     { "WSAAsync", func_WSAAsync },
+    { "WSAETimedout", func_WSAEtimedout },
     { "WSAIoctl", func_WSAIoctl },
     { "WSARecv", func_WSARecv },
     { "WSAStartup", func_WSAStartup },