diff --git a/codeflash/verification/verifier.py b/codeflash/verification/verifier.py
index c43bf500d..9751ebc11 100644
--- a/codeflash/verification/verifier.py
+++ b/codeflash/verification/verifier.py
@@ -34,9 +34,20 @@ def generate_tests(
     # TODO: Sometimes this recreates the original Class definition. This overrides and messes up the original
     #  class import. Remove the recreation of the class definition
     start_time = time.perf_counter()
-    # Use traverse_up=True to handle co-located __tests__ directories that may be outside
-    # the configured tests_root (e.g., src/gateway/__tests__/ when tests_root is test/)
-    test_module_path = Path(module_name_from_file_path(test_path, test_cfg.tests_project_rootdir, traverse_up=True))
+
+    # Compute test module path - handle case where test file is outside tests_project_rootdir
+    # (e.g., JavaScript/TypeScript tests generated in __tests__ subdirectories adjacent to source files)
+    # Similar to javascript/parse.py:330-333 fallback pattern
+    try:
+        # Use traverse_up=True to handle co-located __tests__ directories that may be outside
+        # the configured tests_root (e.g., src/gateway/__tests__/ when tests_root is test/)
+        test_module_path = Path(module_name_from_file_path(test_path, test_cfg.tests_project_rootdir, traverse_up=True))
+    except ValueError:
+        # Test file is not within tests_project_rootdir - use just the filename
+        # This can happen for JavaScript/TypeScript when get_test_dir_for_source()
+        # places tests adjacent to source files (e.g., in src/foo/__tests__/)
+        # instead of within the configured tests_root
+        test_module_path = Path(test_path.name)
 
     # Detect module system via language support (non-None for JS/TS, None for Python)
     lang_support = current_language_support()
diff --git a/tests/verification/test_verifier_path_handling.py b/tests/verification/test_verifier_path_handling.py
new file mode 100644
index 000000000..2b5ffb772
--- /dev/null
+++ b/tests/verification/test_verifier_path_handling.py
@@ -0,0 +1,55 @@
+"""Test that verifier.py handles test files outside tests_project_rootdir gracefully.
+
+This tests the fix for the bug where JavaScript/TypeScript test files generated
+in __tests__ subdirectories (adjacent to source files) caused ValueError when
+verifier.py tried to compute their module path relative to tests_project_rootdir.
+
+Trace ID: 84f5467f-8acf-427f-b468-02cb3342097e
+"""
+
+from pathlib import Path
+
+import pytest
+
+from codeflash.code_utils.code_utils import module_name_from_file_path
+
+
+class TestVerifierPathHandling:
+    """Test path handling in verifier.py for test files outside tests_root."""
+
+    def test_module_name_from_file_path_raises_valueerror_when_outside_root(self) -> None:
+        """Verify that module_name_from_file_path raises ValueError when file is outside root.
+
+        This is the current behavior that causes the bug in verifier.py line 37.
+
+        Scenario:
+        - JavaScript support generates test at: /workspace/target/src/gateway/server/__tests__/codeflash-generated/test_foo.test.ts
+        - tests_project_rootdir is: /workspace/target/test
+        - Test file is NOT within tests_root, so relative_to() fails
+        """
+        test_path = Path("/workspace/target/src/gateway/server/__tests__/codeflash-generated/test_foo.test.ts")
+        tests_root = Path("/workspace/target/test")
+
+        # This should raise ValueError before the fix
+        with pytest.raises(ValueError, match="is not within the project root"):
+            module_name_from_file_path(test_path, tests_root)
+
+    def test_module_name_from_file_path_with_fallback_succeeds(self) -> None:
+        """Test that adding a fallback (try-except) allows graceful handling.
+
+        This is the pattern used in javascript/parse.py:330-333 that should
+        also be applied to verifier.py:37.
+        """
+        test_path = Path("/workspace/target/src/gateway/server/__tests__/codeflash-generated/test_foo.test.ts")
+        tests_root = Path("/workspace/target/test")
+
+        # Simulate the fix: try-except with fallback to filename
+        try:
+            test_module_path = module_name_from_file_path(test_path, tests_root)
+        except ValueError:
+            # Fallback: use just the filename (or relative path from parent)
+            # This is what javascript/parse.py does
+            test_module_path = test_path.name
+
+        # After fallback, we should have a valid path
+        assert test_module_path == "test_foo.test.ts"