diff --git a/editor/src/messages/tool/tool_messages/line_tool.rs b/editor/src/messages/tool/tool_messages/line_tool.rs
index 7e8fa5be97..b0ace3426f 100644
--- a/editor/src/messages/tool/tool_messages/line_tool.rs
+++ b/editor/src/messages/tool/tool_messages/line_tool.rs
@@ -432,7 +432,9 @@ fn generate_line(tool_data: &mut LineToolData, snap_data: SnapData, lock_angle:
 
 #[cfg(test)]
 mod test_line_tool {
+	use crate::messages::portfolio::document::graph_operation::utility_types::TransformIn;
 	use crate::{messages::tool::common_functionality::graph_modification_utils::NodeGraphLayer, test_utils::test_prelude::*};
+	use glam::DAffine2;
 	use graph_craft::document::value::TaggedValue;
 
 	async fn get_line_node_inputs(editor: &mut EditorTestUtils) -> Option<(DVec2, DVec2)> {
@@ -561,4 +563,42 @@ mod test_line_tool {
 			}
 		}
 	}
+
+	#[tokio::test]
+	async fn test_line_tool_with_transformed_artboard() {
+		let mut editor = EditorTestUtils::create();
+		editor.new_document().await;
+		editor.drag_tool(ToolType::Artboard, 0., 0., 200., 200., ModifierKeys::empty()).await;
+
+		let artboard_id = editor.get_selected_layer().await.expect("Should have selected the artboard");
+
+		editor
+			.handle_message(GraphOperationMessage::TransformChange {
+				layer: artboard_id,
+				transform: DAffine2::from_angle(45.0_f64.to_radians()),
+				transform_in: TransformIn::Local,
+				skip_rerender: false,
+			})
+			.await;
+
+		editor.drag_tool(ToolType::Line, 50., 50., 150., 150., ModifierKeys::empty()).await;
+
+		let (start_input, end_input) = get_line_node_inputs(&mut editor).await.expect("Line was not created successfully within transformed artboard");
+		// The line should still be diagonal with equal change in x and y
+		let line_vector = end_input - start_input;
+		// Verifying the line is approximately 100*sqrt(2) units in length (diagonal of 100x100 square)
+		let line_length = line_vector.length();
+		assert!(
+			(line_length - 141.42).abs() < 1.0, // 100 * sqrt(2) ~= 141.42
+			"Line length should be approximately 141.42 units. Got: {line_length}"
+		);
+		assert!((line_vector.x - 100.0).abs() < 1.0, "X-component of line vector should be approximately 100. Got: {}", line_vector.x);
+		assert!(
+			(line_vector.y.abs() - 100.0).abs() < 1.0,
+			"Absolute Y-component of line vector should be approximately 100. Got: {}",
+			line_vector.y.abs()
+		);
+		let angle_degrees = line_vector.angle_to(DVec2::X).to_degrees();
+		assert!((angle_degrees - (-45.0)).abs() < 1.0, "Line angle should be close to -45 degrees. Got: {angle_degrees}");
+	}
 }
diff --git a/editor/src/test_utils.rs b/editor/src/test_utils.rs
index 0ce439c57b..a91ab49c8e 100644
--- a/editor/src/test_utils.rs
+++ b/editor/src/test_utils.rs
@@ -8,6 +8,7 @@ use crate::messages::tool::tool_messages::tool_prelude::Key;
 use crate::messages::tool::utility_types::ToolType;
 use crate::node_graph_executor::Instrumented;
 use crate::node_graph_executor::NodeRuntime;
+use crate::test_utils::test_prelude::LayerNodeIdentifier;
 use glam::DVec2;
 use graph_craft::document::DocumentNode;
 use graphene_core::InputAccessor;
@@ -239,6 +240,9 @@ impl EditorTestUtils {
 
 		self.press(Key::Enter, ModifierKeys::empty()).await;
 	}
+	pub async fn get_selected_layer(&mut self) -> Option<LayerNodeIdentifier> {
+		self.active_document().network_interface.selected_nodes().selected_layers(self.active_document().metadata()).next()
+	}
 }
 
 pub trait FrontendMessageTestUtils {