diff --git a/packages/@glimmer/syntax/test/template-locals-test.ts b/packages/@glimmer/syntax/test/template-locals-test.ts
index a05ab462a..82680aac7 100644
--- a/packages/@glimmer/syntax/test/template-locals-test.ts
+++ b/packages/@glimmer/syntax/test/template-locals-test.ts
@@ -76,7 +76,7 @@ QUnit.test('it does not include locals', function (assert) {
   assert.deepEqual(locals, ['SomeComponent']);
 });
 
-QUnit.test('it can include object-locals', function (assert) {
+QUnit.test('it excludes object locals', function (assert) {
   let locals = getTemplateLocals(
     `
       <SomeComponent as |b|>
@@ -88,6 +88,22 @@ QUnit.test('it can include object-locals', function (assert) {
   assert.deepEqual(locals, ['SomeComponent']);
 });
 
+QUnit.test('it excludes object locals from nested blocks', function (assert) {
+  let locals = getTemplateLocals(
+    `
+      <SomeComponent as |some|>
+        <some.foo as |foo|>
+          <foo.bar as |bar|>
+            <bar.baz />
+          </foo.bar>
+        </some.foo>
+      </SomeComponent>
+    `
+  );
+
+  assert.deepEqual(locals, ['SomeComponent']);
+});
+
 QUnit.test('it can include keywords', function (assert) {
   let locals = getTemplateLocals(
     `