diff --git a/src/bun.js/bindings/ZigGlobalObject.cpp b/src/bun.js/bindings/ZigGlobalObject.cpp
index d53dce02e3..caf3c26aa2 100644
--- a/src/bun.js/bindings/ZigGlobalObject.cpp
+++ b/src/bun.js/bindings/ZigGlobalObject.cpp
@@ -2973,7 +2973,10 @@ void GlobalObject::handleRejectedPromises()
             continue;
 
         Bun__handleRejectedPromise(this, promise);
-        if (auto ex = scope.exception()) this->reportUncaughtExceptionAtEventLoop(this, ex);
+        if (auto ex = scope.exception()) {
+            scope.clearException();
+            this->reportUncaughtExceptionAtEventLoop(this, ex);
+        }
     }
 }
 
diff --git a/src/bun.js/test/Execution.zig b/src/bun.js/test/Execution.zig
index 9f94729c11..be1d774f2d 100644
--- a/src/bun.js/test/Execution.zig
+++ b/src/bun.js/test/Execution.zig
@@ -177,7 +177,7 @@ pub fn handleTimeout(this: *Execution, globalThis: *jsc.JSGlobalObject) bun.JSEr
     defer groupLog.end();
 
     // if the concurrent group has one sequence and the sequence has an active entry that has timed out,
-    //   request a termination exception and kill any dangling processes
+    //   kill any dangling processes
     // when using test.concurrent(), we can't do this because it could kill multiple tests at once.
     if (this.activeGroup()) |current_group| {
         const sequences = current_group.sequences(this);
@@ -186,7 +186,6 @@ pub fn handleTimeout(this: *Execution, globalThis: *jsc.JSGlobalObject) bun.JSEr
             if (sequence.active_entry) |entry| {
                 const now = bun.timespec.now();
                 if (entry.timespec.order(&now) == .lt) {
-                    globalThis.requestTermination();
                     const kill_count = globalThis.bunVM().auto_killer.kill();
                     if (kill_count.processes > 0) {
                         bun.Output.prettyErrorln("<d>killed {d} dangling process{s}<r>", .{ kill_count.processes, if (kill_count.processes != 1) "es" else "" });
diff --git a/test/regression/issue/23865.fixture.ts b/test/regression/issue/23865.fixture.ts
new file mode 100644
index 0000000000..357910846d
--- /dev/null
+++ b/test/regression/issue/23865.fixture.ts
@@ -0,0 +1,7 @@
+// Should not crash
+test("abc", () => {
+  expect(async () => {
+    await Bun.sleep(100);
+    throw new Error("uh oh!");
+  }).toThrow("uh oh!");
+}, 50);
diff --git a/test/regression/issue/23865.test.ts b/test/regression/issue/23865.test.ts
new file mode 100644
index 0000000000..b4f5dadea8
--- /dev/null
+++ b/test/regression/issue/23865.test.ts
@@ -0,0 +1,27 @@
+import { bunEnv, bunExe, normalizeBunSnapshot } from "harness";
+
+// the test should time out, not crash
+test("23865", async () => {
+  const proc = Bun.spawn({
+    cmd: [bunExe(), "test", "./23865.fixture.ts"],
+    env: bunEnv,
+    cwd: import.meta.dir,
+    stdout: "pipe",
+    stderr: "pipe",
+  });
+
+  const [stdout, stderr, exitCode] = await Promise.all([proc.stdout.text(), proc.stderr.text(), proc.exited]);
+
+  expect(exitCode).not.toBe(0);
+  expect(normalizeBunSnapshot(stdout)).toMatchInlineSnapshot(`"bun test <version> (<revision>)"`);
+  expect(normalizeBunSnapshot(stderr)).toMatchInlineSnapshot(`
+    "23865.fixture.ts:
+    (fail) abc
+      ^ this test timed out after 50ms.
+
+     0 pass
+     1 fail
+     1 expect() calls
+    Ran 1 test across 1 file."
+  `);
+});