diff --git a/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Fixture/rename_usage_with_same_named_arrow_param.php.inc b/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Fixture/rename_usage_with_same_named_arrow_param.php.inc
new file mode 100644
index 00000000000..e7b45ecad43
--- /dev/null
+++ b/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Fixture/rename_usage_with_same_named_arrow_param.php.inc
@@ -0,0 +1,39 @@
+<?php
+
+namespace Rector\Tests\Naming\Rector\Assign\RenameVariableToMatchMethodCallReturnTypeRector\Fixture;
+
+use Rector\Tests\Naming\Rector\Assign\RenameVariableToMatchMethodCallReturnTypeRector\Source\SortableBuilder;
+
+final class RenameUsageWithSameNamedArrowParam
+{
+    public function index(): array
+    {
+        $query = SortableBuilder::for(self::class)
+            ->allowedSorts(fn (SortableBuilder $query): SortableBuilder => $query->defaultSort('x'))
+            ->defaultSort('part_type');
+
+        return $query->jsonPaginate();
+    }
+}
+
+?>
+-----
+<?php
+
+namespace Rector\Tests\Naming\Rector\Assign\RenameVariableToMatchMethodCallReturnTypeRector\Fixture;
+
+use Rector\Tests\Naming\Rector\Assign\RenameVariableToMatchMethodCallReturnTypeRector\Source\SortableBuilder;
+
+final class RenameUsageWithSameNamedArrowParam
+{
+    public function index(): array
+    {
+        $sortableBuilder = SortableBuilder::for(self::class)
+            ->allowedSorts(fn (SortableBuilder $query): SortableBuilder => $query->defaultSort('x'))
+            ->defaultSort('part_type');
+
+        return $sortableBuilder->jsonPaginate();
+    }
+}
+
+?>
diff --git a/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Source/SortableBuilder.php b/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Source/SortableBuilder.php
new file mode 100644
index 00000000000..9d995def6e9
--- /dev/null
+++ b/rules-tests/Naming/Rector/Assign/RenameVariableToMatchMethodCallReturnTypeRector/Source/SortableBuilder.php
@@ -0,0 +1,28 @@
+<?php
+
+declare(strict_types=1);
+
+namespace Rector\Tests\Naming\Rector\Assign\RenameVariableToMatchMethodCallReturnTypeRector\Source;
+
+final class SortableBuilder
+{
+    public static function for(string $class): self
+    {
+        return new self();
+    }
+
+    public function allowedSorts(callable $callback): self
+    {
+        return $this;
+    }
+
+    public function defaultSort(string $sort): self
+    {
+        return $this;
+    }
+
+    public function jsonPaginate(): array
+    {
+        return [];
+    }
+}
diff --git a/rules/Naming/VariableRenamer.php b/rules/Naming/VariableRenamer.php
index 43c38939083..46402a043a7 100644
--- a/rules/Naming/VariableRenamer.php
+++ b/rules/Naming/VariableRenamer.php
@@ -116,6 +116,12 @@ private function isParamInParentFunction(Variable $variable, ?FunctionLike $func
             return false;
         }
 
+        // the tracked function-like is only reset on enter, so it can linger past its own body;
+        // a variable located after it is no longer inside it and its params must be ignored
+        if ($variable->getStartTokenPos() > $functionLike->getEndTokenPos()) {
+            return false;
+        }
+
         $scope = $variable->getAttribute(AttributeKey::SCOPE);
         $functionLikeScope = $functionLike->getAttribute(AttributeKey::SCOPE);