diff --git a/docs/explorer-sidebar.md b/docs/explorer-sidebar.md
index 606a82391a..9415abd85a 100644
--- a/docs/explorer-sidebar.md
+++ b/docs/explorer-sidebar.md
@@ -31,7 +31,8 @@ switcher keeps only agents and terminals. A panel kind opts in with `compactShee
 sheet and tab, so callers open targets the same way on every layout. Each sheet holds one ordinary
 `WorkspaceTab`, and sheets stack: a target opened from a sheet covers it, and closing the top sheet
 (drag, Close, backdrop, or Android Back) uncovers the one below. Revealing a target that already has
-a sheet drops the sheets above it. Opening a sheet as a tab dismisses the sheets above it, since the
+a sheet brings that sheet back to the top and closes the sheets above it, except ones holding unsaved
+work. Opening a sheet as a tab dismisses the sheets above it, since the
 tab would sit under them. The stack is not persisted.
 
 Sheets are modal and cover the whole compact column, header included. A sheet's header is its drag
diff --git a/packages/app/src/stores/workspace-layout-store.test.ts b/packages/app/src/stores/workspace-layout-store.test.ts
index 73000b8bc8..fc973f442d 100644
--- a/packages/app/src/stores/workspace-layout-store.test.ts
+++ b/packages/app/src/stores/workspace-layout-store.test.ts
@@ -4878,19 +4878,26 @@ describe("compact workspace sheet", () => {
       });
     });
 
-    it("opens a stacked target as a tab rather than dropping a modified sheet above it", () => {
+    it("brings a covered sheet back to the top and keeps a modified sheet above it beneath", () => {
       const store = createCompactStore();
       const otherTarget = { kind: "file" as const, path: "src/other.ts" };
-      store.getState().openTab({ workspaceKey, target: otherTarget, intent: "reveal" });
+      const otherTabId = store
+        .getState()
+        .openTab({ workspaceKey, target: otherTarget, intent: "reveal" });
       const modifiedSheetTabId = openModifiedFileSheet(store);
+      const focusedBefore = focusedTabId(store);
 
       const tabId = store
         .getState()
         .openTab({ workspaceKey, target: otherTarget, intent: "reveal" });
 
-      expect(sheetTabId(store)).toBe(modifiedSheetTabId);
-      expect(stripTab(store, tabId ?? "")).toMatchObject({ target: otherTarget });
-      expect(focusedTabId(store)).toBe(tabId);
+      expect(tabId).toBe(otherTabId);
+      expect(sheetTargets(store)).toEqual([fileTarget, otherTarget]);
+      expect(store.getState().sheetsByWorkspace[workspaceKey]?.[0]?.tab.tabId).toBe(
+        modifiedSheetTabId,
+      );
+      expect(stripTab(store, tabId ?? "")).toBeNull();
+      expect(focusedTabId(store)).toBe(focusedBefore);
     });
 
     it("opens a tab target under a modified sheet without closing it", () => {
diff --git a/packages/app/src/stores/workspace-layout-store.ts b/packages/app/src/stores/workspace-layout-store.ts
index 9d0a2a841e..ba186b655a 100644
--- a/packages/app/src/stores/workspace-layout-store.ts
+++ b/packages/app/src/stores/workspace-layout-store.ts
@@ -864,7 +864,7 @@ function sheetHoldsUnsavedWork(workspaceKey: string, sheet: WorkspaceSheet): boo
 /**
  * Where an open lands in the sheet stack, or null when it opens as a tab. A new target goes on
  * top. A reveal of a resource a sheet already shows keeps that sheet's tab and brings it back to
- * the top, closing the sheets above it, unless one of those holds unsaved work.
+ * the top; the sheets above it close, except ones holding unsaved work, which stay beneath it.
  */
 function resolveSheetPlacement(
   state: WorkspaceLayoutStore,
@@ -878,11 +878,7 @@ function resolveSheetPlacement(
   const sheets = getSheets(state, workspaceKey);
   const resourceKey = panelResourceKey(target);
   const index = sheets.findIndex((sheet) => panelResourceKey(sheet.tab.target) === resourceKey);
-  if (index === -1) return { policy, keptIndex: null };
-  const above = sheets.slice(index + 1);
-  return above.some((sheet) => sheetHoldsUnsavedWork(workspaceKey, sheet))
-    ? null
-    : { policy, keptIndex: index };
+  return { policy, keptIndex: index === -1 ? null : index };
 }
 
 /** Closes the sheets because navigation moved on underneath them, except ones with unsaved work. */
@@ -1005,7 +1001,15 @@ export function createWorkspaceLayoutStore(
               parentTabId,
               state: input.state,
             });
-            const below = keptIndex === null ? sheets : sheets.slice(0, keptIndex);
+            const below =
+              keptIndex === null
+                ? sheets
+                : [
+                    ...sheets.slice(0, keptIndex),
+                    ...sheets
+                      .slice(keptIndex + 1)
+                      .filter((above) => sheetHoldsUnsavedWork(normalizedWorkspaceKey, above)),
+                  ];
             set((state) => withSheets(state, normalizedWorkspaceKey, [...below, sheet]));
             return sheet.tab.tabId;
           }