diff --git a/Userland/Services/WindowServer/ConnectionFromClient.cpp b/Userland/Services/WindowServer/ConnectionFromClient.cpp
index d49463e242..c702bf5c3c 100644
--- a/Userland/Services/WindowServer/ConnectionFromClient.cpp
+++ b/Userland/Services/WindowServer/ConnectionFromClient.cpp
@@ -576,10 +576,6 @@ void ConnectionFromClient::create_window(i32 window_id, Gfx::IntRect const& rect
             did_misbehave("CreateWindow with bad parent_window_id");
             return;
         }
-        if ((parent_window->is_blocking() && mode != (i32)WindowMode::CaptureInput) || parent_window->is_capturing_input()) {
-            did_misbehave("CreateWindow with forbidden parent mode");
-            return;
-        }
     }
 
     if (type < 0 || type >= (i32)WindowType::_Count) {
diff --git a/Userland/Services/WindowServer/Window.cpp b/Userland/Services/WindowServer/Window.cpp
index fab5fc03ab..a24de871f5 100644
--- a/Userland/Services/WindowServer/Window.cpp
+++ b/Userland/Services/WindowServer/Window.cpp
@@ -442,7 +442,7 @@ void Window::event(Core::Event& event)
         return;
     }
 
-    if (blocking_modal_window() && !is_capturing_input()) {
+    if (blocking_modal_window()) {
         // We still want to handle the WindowDeactivated event below when a new modal is
         // created to notify its parent window, despite it being "blocked by modal window".
         if (event.type() != Event::WindowDeactivated)
@@ -660,6 +660,8 @@ bool Window::is_active() const
 Window* Window::blocking_modal_window()
 {
     auto maybe_blocker = WindowManager::the().for_each_window_in_modal_chain(*this, [&](auto& window) {
+        if (is_descendant_of(window))
+            return IterationDecision::Continue;
         if (window.is_blocking() && this != &window)
             return IterationDecision::Break;
         return IterationDecision::Continue;
diff --git a/Userland/Services/WindowServer/WindowManager.cpp b/Userland/Services/WindowServer/WindowManager.cpp
index 860554dc58..c71818c83b 100644
--- a/Userland/Services/WindowServer/WindowManager.cpp
+++ b/Userland/Services/WindowServer/WindowManager.cpp
@@ -348,8 +348,7 @@ void WindowManager::move_to_front_and_make_active(Window& window)
         return IterationDecision::Continue;
     });
 
-    auto* blocker = window.blocking_modal_window();
-    if (blocker && !window.is_capturing_input()) {
+    if (auto* blocker = window.blocking_modal_window()) {
         blocker->window_stack().move_to_front(*blocker);
         set_active_window(blocker, true);
     } else {
@@ -1230,7 +1229,7 @@ void WindowManager::process_mouse_event_for_window(HitTestResult& result, MouseE
 
     // First check if we should initiate a move or resize (Super+LMB or Super+RMB).
     // In those cases, the event is swallowed by the window manager.
-    if ((!blocking_modal_window || window.is_capturing_input()) && window.is_movable()) {
+    if (!blocking_modal_window && window.is_movable()) {
         if (!window.is_fullscreen() && m_keyboard_modifiers == Mod_Super && event.type() == Event::MouseDown && event.button() == MouseButton::Primary) {
             start_window_move(window, event);
             return;
@@ -1248,7 +1247,7 @@ void WindowManager::process_mouse_event_for_window(HitTestResult& result, MouseE
             set_active_window(&window);
     }
 
-    if (blocking_modal_window && !window.is_capturing_input()) {
+    if (blocking_modal_window) {
         if (event.type() == Event::Type::MouseDown) {
             // We're clicking on something that's blocked by a modal window.
             // Flash the modal window to let the user know about it.
@@ -1835,8 +1834,7 @@ void WindowManager::notify_previous_active_input_window(Window& previous_input_w
 void WindowManager::set_active_window(Window* new_active_window, bool make_input)
 {
     if (new_active_window) {
-        auto* blocker = new_active_window->blocking_modal_window();
-        if (blocker && !new_active_window->is_capturing_input()) {
+        if (auto* blocker = new_active_window->blocking_modal_window()) {
             VERIFY(blocker->is_modal());
             VERIFY(blocker != new_active_window);
             new_active_window = blocker;
diff --git a/Userland/Services/WindowServer/WindowManager.h b/Userland/Services/WindowServer/WindowManager.h
index dad8c6eca7..2b88379074 100644
--- a/Userland/Services/WindowServer/WindowManager.h
+++ b/Userland/Services/WindowServer/WindowManager.h
@@ -241,24 +241,24 @@ public:
     template<typename Callback>
     Window* for_each_window_in_modal_chain(Window& window, Callback callback)
     {
-        Window* maybe_break = nullptr;
         Function<Window*(Window&)> recurse = [&](Window& w) -> Window* {
             if (!w.is_modal()) {
                 auto decision = callback(w);
                 if (decision == IterationDecision::Break)
-                    return maybe_break = &w;
+                    return &w;
             }
             for (auto& child : w.child_windows()) {
                 if (!child || child->is_destroyed() || !child->is_modal())
                     continue;
                 auto decision = callback(*child);
+                if (auto* result = recurse(*child))
+                    return result;
                 if (decision == IterationDecision::Break)
-                    return maybe_break = child;
-                recurse(*child);
+                    return child;
             }
-            return maybe_break;
+            return nullptr;
         };
-        if (auto* modeless = window.modeless_ancestor(); modeless)
+        if (auto* modeless = window.modeless_ancestor())
             return recurse(*modeless);
         return nullptr;
     }
diff --git a/Userland/Services/WindowServer/WindowMode.h b/Userland/Services/WindowServer/WindowMode.h
index 8fcd986836..c70e821337 100644
--- a/Userland/Services/WindowServer/WindowMode.h
+++ b/Userland/Services/WindowServer/WindowMode.h
@@ -14,7 +14,7 @@ namespace WindowServer {
 // - Passive:       Joins the modal chain but has no modal effect (default mode for child windows)
 // - RenderAbove:   Renders above its parent
 // - CaptureInput:  Captures input from its parent
-// - Blocking:      Preempts all interaction with its modal chain
+// - Blocking:      Preempts all interaction with its modal chain excepting descendants (default mode for Dialogs)
 enum class WindowMode {
     Modeless = 0,
     Passive,