diff --git a/tests/cases/compiler/contextualSignatureInstantiation4.ts b/tests/cases/compiler/contextualSignatureInstantiation4.ts
new file mode 100644
index 0000000000..6c29ca3d40
--- /dev/null
+++ b/tests/cases/compiler/contextualSignatureInstantiation4.ts
@@ -0,0 +1,20 @@
+// @strict: true
+
+// Repros from #32976
+
+declare class Banana<T extends string> { constructor(a: string, property: T) }
+
+declare function fruitFactory1<TFruit>(Fruit: new (...args: any[]) => TFruit): TFruit
+const banana1 = fruitFactory1(Banana) // Banana<any>
+
+declare function fruitFactory2<TFruit>(Fruit: new (a: string, ...args: any[]) => TFruit): TFruit
+const banana2 = fruitFactory2(Banana) // Banana<any>
+
+declare function fruitFactory3<TFruit>(Fruit: new (a: string, s: "foo", ...args: any[]) => TFruit): TFruit
+const banana3 = fruitFactory3(Banana) // Banana<"foo">
+
+declare function fruitFactory4<TFruit>(Fruit: new (a: string, ...args: "foo"[]) => TFruit): TFruit
+const banana4 = fruitFactory4(Banana) // Banana<"foo">
+
+declare function fruitFactory5<TFruit>(Fruit: new (...args: "foo"[]) => TFruit): TFruit
+const banana5 = fruitFactory5(Banana) // Banana<"foo">