diff --git a/src/Microsoft.OpenApi.OData.Reader/Edm/ODataPathProvider.cs b/src/Microsoft.OpenApi.OData.Reader/Edm/ODataPathProvider.cs
index 87b1c773..580d27a6 100644
--- a/src/Microsoft.OpenApi.OData.Reader/Edm/ODataPathProvider.cs
+++ b/src/Microsoft.OpenApi.OData.Reader/Edm/ODataPathProvider.cs
@@ -478,6 +478,11 @@ private bool AppendBoundOperationOnNavigationPropertyPath(IEdmOperation edmOpera
 
                     ODataNavigationPropertySegment npSegment = path.Segments.Last(s => s is ODataNavigationPropertySegment) as ODataNavigationPropertySegment;
 
+                    if (!npSegment.NavigationProperty.ContainsTarget)
+                    {
+                        continue;
+                    }
+
                     bool isLastKeySegment = path.LastSegment is ODataKeySegment;
 
                     if (isCollection)
@@ -605,6 +610,11 @@ private bool AppendBoundOperationOnDerivedNavigationPropertyPath(
                             continue;
                         }
 
+                        if (!npSegment.NavigationProperty.ContainsTarget)
+                        {
+                            continue;
+                        }
+
                         bool isLastKeySegment = path.LastSegment is ODataKeySegment;
 
                         if (isCollection)
diff --git a/test/Microsoft.OpenAPI.OData.Reader.Tests/Edm/ODataPathProviderTests.cs b/test/Microsoft.OpenAPI.OData.Reader.Tests/Edm/ODataPathProviderTests.cs
index 2494b793..fa4f3b62 100644
--- a/test/Microsoft.OpenAPI.OData.Reader.Tests/Edm/ODataPathProviderTests.cs
+++ b/test/Microsoft.OpenAPI.OData.Reader.Tests/Edm/ODataPathProviderTests.cs
@@ -48,7 +48,7 @@ public void GetPathsForGraphBetaModelReturnsAllPaths()
 
             // Assert
             Assert.NotNull(paths);
-            Assert.Equal(17401, paths.Count());
+            Assert.Equal(13727, paths.Count());
         }
 
         [Fact]
@@ -67,7 +67,7 @@ public void GetPathsForGraphBetaModelWithDerivedTypesConstraintReturnsAllPaths()
 
             // Assert
             Assert.NotNull(paths);
-            Assert.Equal(13730, paths.Count());
+            Assert.Equal(13712, paths.Count());
         }
 
         [Fact]
@@ -276,6 +276,80 @@ public void GetPathsWithBoundActionOperationWorks()
             Assert.Contains("/Customers({ID})/NS.renew", paths.Select(p => p.GetPathItemName()));
         }
 
+        [Theory]
+        [InlineData(true)]
+        [InlineData(false)]
+        public void GetPathsWithBoundActionOperationForContainmentNavigationPropertyPathsWorks(bool containsTarget)
+        {
+            // Arrange
+            string navProp = $@"<NavigationProperty Name=""Referral"" Type=""NS.NiceCustomer"" ContainsTarget=""{containsTarget}""/>";
+            string boundAction =
+@"<Action Name=""Ack"" IsBound=""true"">
+   <Parameter Name=""bindingParameter"" Type=""NS.NiceCustomer"" />
+     <ReturnType Type=""Edm.Boolean"" />
+</Action>
+<EntityType Name=""NiceCustomer"">
+    <Property Name=""Other"" Type=""Edm.Int32"" Nullable=""true"" />
+</EntityType>";
+
+            IEdmModel model = GetEdmModel(boundAction, "", navProp);
+            ODataPathProvider provider = new ODataPathProvider();
+            var settings = new OpenApiConvertSettings();
+
+            // Act
+            var paths = provider.GetPaths(model, settings);
+
+            // Assert
+            Assert.NotNull(paths);
+            Assert.Equal(4, paths.Count());
+
+            if (containsTarget)
+            {
+                Assert.Contains("/Customers({ID})/Referral/NS.Ack", paths.Select(p => p.GetPathItemName()));
+            }
+            else
+            {
+                Assert.DoesNotContain("/Customers({ID})/Referral/NS.Ack", paths.Select(p => p.GetPathItemName()));
+            }
+        }
+
+        [Theory]
+        [InlineData(true)]
+        [InlineData(false)]
+        public void GetPathsWithBoundFunctionOperationForContainmentNavigationPropertyPathsWorks(bool containsTarget)
+        {
+            // Arrange
+            string navProp = $@"<NavigationProperty Name=""Referral"" Type=""NS.NiceCustomer"" ContainsTarget=""{containsTarget}""/>";
+            string boundAction =
+@"<Function Name=""Search"" IsBound=""true"">
+   <Parameter Name=""bindingParameter"" Type=""NS.NiceCustomer"" />
+     <ReturnType Type=""Collection(NS.Customer)"" />
+</Function>
+<EntityType Name=""NiceCustomer"">
+    <Property Name=""Other"" Type=""Edm.Int32"" Nullable=""true"" />
+</EntityType>";
+
+            IEdmModel model = GetEdmModel(boundAction, "", navProp);
+            ODataPathProvider provider = new ODataPathProvider();
+            var settings = new OpenApiConvertSettings();
+
+            // Act
+            var paths = provider.GetPaths(model, settings);
+
+            // Assert
+            Assert.NotNull(paths);
+            Assert.Equal(4, paths.Count());
+
+            if (containsTarget)
+            {
+                Assert.Contains("/Customers({ID})/Referral/NS.Search()", paths.Select(p => p.GetPathItemName()));
+            }
+            else
+            {
+                Assert.DoesNotContain("/Customers({ID})/Referral/NS.Search()", paths.Select(p => p.GetPathItemName()));
+            }
+        }
+
         [Fact]
         public void GetPathsWithUnboundOperationImportWorks()
         {
@@ -500,7 +574,7 @@ public void GetPathsWithStreamPropertyAndWithEntityHasStreamWorks(bool hasStream
             }
         }
 
-        private static IEdmModel GetEdmModel(string schemaElement, string containerElement)
+        private static IEdmModel GetEdmModel(string schemaElement, string containerElement, string propertySchema = null)
         {
             string template = $@"<?xml version=""1.0"" encoding=""utf-16""?>
 <Schema Namespace=""NS"" xmlns=""http://docs.oasis-open.org/odata/ns/edm"">
@@ -509,6 +583,7 @@ private static IEdmModel GetEdmModel(string schemaElement, string containerEleme
       <PropertyRef Name=""ID"" />
     </Key>
     <Property Name=""ID"" Type=""Edm.Int32"" Nullable=""false"" />
+    {propertySchema}
   </EntityType>
   {schemaElement}
   <EntityContainer Name =""Default"">