diff --git a/src/Nerdbank.Streams/MultiplexingStream.Options.cs b/src/Nerdbank.Streams/MultiplexingStream.Options.cs
index 2494a666..b24e522a 100644
--- a/src/Nerdbank.Streams/MultiplexingStream.Options.cs
+++ b/src/Nerdbank.Streams/MultiplexingStream.Options.cs
@@ -60,6 +60,11 @@ public class Options
             /// </summary>
             private bool startSuspended;
 
+            /// <summary>
+            /// Backing field for the <see cref="FaultOpenChannelsOnStreamDisposal"/> property.
+            /// </summary>
+            private bool faultOpenChannelsOnStreamDisposal;
+
             /// <summary>
             /// Initializes a new instance of the <see cref="Options"/> class.
             /// </summary>
@@ -83,6 +88,7 @@ public Options(Options copyFrom)
                 this.defaultChannelTraceSourceFactory = copyFrom.defaultChannelTraceSourceFactory;
                 this.defaultChannelTraceSourceFactoryWithQualifier = copyFrom.defaultChannelTraceSourceFactoryWithQualifier;
                 this.startSuspended = copyFrom.startSuspended;
+                this.faultOpenChannelsOnStreamDisposal = copyFrom.faultOpenChannelsOnStreamDisposal;
                 this.SeededChannels = copyFrom.SeededChannels.ToList();
             }
 
@@ -226,6 +232,20 @@ public bool StartSuspended
             /// </remarks>
             public IList<ChannelOptions> SeededChannels { get; private set; }
 
+            /// <summary>
+            /// Gets or sets a value indicating whether any open channels should be faulted (i.e. their <see cref="Channel.Completion"/> task will be faulted)
+            /// when the <see cref="MultiplexingStream"/> is disposed.
+            /// </summary>
+            public bool FaultOpenChannelsOnStreamDisposal
+            {
+                get => this.faultOpenChannelsOnStreamDisposal;
+                set
+                {
+                    this.ThrowIfFrozen();
+                    this.faultOpenChannelsOnStreamDisposal = value;
+                }
+            }
+
             /// <summary>
             /// Gets a value indicating whether this instance is frozen.
             /// </summary>
diff --git a/src/Nerdbank.Streams/MultiplexingStream.cs b/src/Nerdbank.Streams/MultiplexingStream.cs
index 37b9473b..106549e9 100644
--- a/src/Nerdbank.Streams/MultiplexingStream.cs
+++ b/src/Nerdbank.Streams/MultiplexingStream.cs
@@ -104,6 +104,12 @@ public partial class MultiplexingStream : IDisposableObservable, System.IAsyncDi
         /// </summary>
         private readonly int protocolMajorVersion;
 
+        /// <summary>
+        /// A value indicating whether any open channels should be faulted (i.e. their <see cref="Channel.Completion"/> task will be faulted)
+        /// when the <see cref="MultiplexingStream"/> is disposed.
+        /// </summary>
+        private readonly bool faultOpenChannelsOnStreamDisposal;
+
         /// <summary>
         /// The last number assigned to a channel.
         /// Each use of this should increment by two, if <see cref="isOdd"/> has a value.
@@ -131,6 +137,7 @@ private MultiplexingStream(Formatter formatter, bool? isOdd, Options options)
             }
 
             this.TraceSource = options.TraceSource;
+            this.faultOpenChannelsOnStreamDisposal = options.FaultOpenChannelsOnStreamDisposal;
 
             this.DefaultChannelTraceSourceFactory =
                 options.DefaultChannelTraceSourceFactoryWithQualifier
@@ -689,7 +696,7 @@ public async ValueTask DisposeAsync()
                 {
                     foreach (KeyValuePair<QualifiedChannelId, Channel> entry in this.openChannels)
                     {
-                        entry.Value.Dispose(new ObjectDisposedException(nameof(MultiplexingStream)));
+                        entry.Value.Dispose(this.faultOpenChannelsOnStreamDisposal ? new ObjectDisposedException(nameof(MultiplexingStream)) : null);
                     }
 
                     foreach (KeyValuePair<string, Queue<TaskCompletionSource<Channel>>> entry in this.acceptingChannels)
diff --git a/src/Nerdbank.Streams/netstandard2.0/PublicAPI.Unshipped.txt b/src/Nerdbank.Streams/netstandard2.0/PublicAPI.Unshipped.txt
index b00dc10d..1343167c 100644
--- a/src/Nerdbank.Streams/netstandard2.0/PublicAPI.Unshipped.txt
+++ b/src/Nerdbank.Streams/netstandard2.0/PublicAPI.Unshipped.txt
@@ -1,4 +1,6 @@
 Nerdbank.Streams.BufferWriterExtensions
+Nerdbank.Streams.MultiplexingStream.Options.FaultOpenChannelsOnStreamDisposal.get -> bool
+Nerdbank.Streams.MultiplexingStream.Options.FaultOpenChannelsOnStreamDisposal.set -> void
 Nerdbank.Streams.ReadOnlySequenceExtensions
 Nerdbank.Streams.StreamPipeReader
 Nerdbank.Streams.StreamPipeReader.Read() -> System.IO.Pipelines.ReadResult
diff --git a/src/Nerdbank.Streams/netstandard2.1/PublicAPI.Unshipped.txt b/src/Nerdbank.Streams/netstandard2.1/PublicAPI.Unshipped.txt
index 31a266eb..e805ed90 100644
--- a/src/Nerdbank.Streams/netstandard2.1/PublicAPI.Unshipped.txt
+++ b/src/Nerdbank.Streams/netstandard2.1/PublicAPI.Unshipped.txt
@@ -1,4 +1,6 @@
 Nerdbank.Streams.BufferWriterExtensions
+Nerdbank.Streams.MultiplexingStream.Options.FaultOpenChannelsOnStreamDisposal.get -> bool
+Nerdbank.Streams.MultiplexingStream.Options.FaultOpenChannelsOnStreamDisposal.set -> void
 Nerdbank.Streams.ReadOnlySequenceExtensions
 Nerdbank.Streams.StreamPipeReader
 Nerdbank.Streams.StreamPipeReader.Read() -> System.IO.Pipelines.ReadResult
diff --git a/test/Nerdbank.Streams.Tests/MultiplexingStreamTests.cs b/test/Nerdbank.Streams.Tests/MultiplexingStreamTests.cs
index 101fc06b..213850af 100644
--- a/test/Nerdbank.Streams.Tests/MultiplexingStreamTests.cs
+++ b/test/Nerdbank.Streams.Tests/MultiplexingStreamTests.cs
@@ -38,28 +38,7 @@ public MultiplexingStreamTests(ITestOutputHelper logger)
 
     public async Task InitializeAsync()
     {
-        var mx1TraceSource = new TraceSource(nameof(this.mx1), SourceLevels.All);
-        var mx2TraceSource = new TraceSource(nameof(this.mx2), SourceLevels.All);
-
-        mx1TraceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
-        mx2TraceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
-
-        Func<string, MultiplexingStream.QualifiedChannelId, string, TraceSource> traceSourceFactory = (string mxInstanceName, MultiplexingStream.QualifiedChannelId id, string name) =>
-        {
-            var traceSource = new TraceSource(mxInstanceName + " channel " + id, SourceLevels.All);
-            traceSource.Listeners.Clear(); // remove DefaultTraceListener
-            traceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
-            return traceSource;
-        };
-
-        Func<MultiplexingStream.QualifiedChannelId, string, TraceSource> mx1TraceSourceFactory = (MultiplexingStream.QualifiedChannelId id, string name) => traceSourceFactory(nameof(this.mx1), id, name);
-        Func<MultiplexingStream.QualifiedChannelId, string, TraceSource> mx2TraceSourceFactory = (MultiplexingStream.QualifiedChannelId id, string name) => traceSourceFactory(nameof(this.mx2), id, name);
-
-        (this.transport1, this.transport2) = FullDuplexStream.CreatePair(new PipeOptions(pauseWriterThreshold: 2 * 1024 * 1024));
-        Task<MultiplexingStream>? mx1 = MultiplexingStream.CreateAsync(this.transport1, new MultiplexingStream.Options { ProtocolMajorVersion = this.ProtocolMajorVersion, TraceSource = mx1TraceSource, DefaultChannelTraceSourceFactoryWithQualifier = mx1TraceSourceFactory }, this.TimeoutToken);
-        Task<MultiplexingStream>? mx2 = MultiplexingStream.CreateAsync(this.transport2, new MultiplexingStream.Options { ProtocolMajorVersion = this.ProtocolMajorVersion, TraceSource = mx2TraceSource, DefaultChannelTraceSourceFactoryWithQualifier = mx2TraceSourceFactory }, this.TimeoutToken);
-        this.mx1 = await mx1;
-        this.mx2 = await mx2;
+        await this.ReinitializeMxStreamsAsync(new MultiplexingStream.Options());
     }
 
     public async Task DisposeAsync()
@@ -302,13 +281,14 @@ public async Task Disposal_DisposesTransportStream()
         Assert.Throws<ObjectDisposedException>(() => this.transport1.Position);
     }
 
-    [Fact]
-    public async Task Dispose_DisposesChannels()
+    [Theory, PairwiseData]
+    public async Task Dispose_DisposesChannels(bool channelFaulted)
     {
+        await this.ReinitializeMxStreamsAsync(new MultiplexingStream.Options() { FaultOpenChannelsOnStreamDisposal = channelFaulted });
         (MultiplexingStream.Channel channel1, MultiplexingStream.Channel channel2) = await this.EstablishChannelsAsync("A");
         await this.mx1.DisposeAsync();
         Assert.True(channel1.IsDisposed);
-        await VerifyChannelCompleted(channel1, new ObjectDisposedException(nameof(MultiplexingStream)).Message);
+        await VerifyChannelCompleted(channel1, channelFaulted ? new ObjectDisposedException(nameof(MultiplexingStream)).Message : null);
 
 #pragma warning disable CS0618 // Type or member is obsolete
         await channel1.Input.WaitForWriterCompletionAsync().WithCancellation(this.TimeoutToken);
@@ -1322,6 +1302,40 @@ protected async Task WaitForEphemeralChannelOfferToPropagateAsync()
         return (channel1.AsStream(), channel2.AsStream());
     }
 
+    private async Task ReinitializeMxStreamsAsync(MultiplexingStream.Options optionsTemplate)
+    {
+        await (this.mx1?.DisposeAsync() ?? default);
+        await (this.mx2?.DisposeAsync() ?? default);
+
+        var mx1TraceSource = new TraceSource(nameof(this.mx1), SourceLevels.All);
+        var mx2TraceSource = new TraceSource(nameof(this.mx2), SourceLevels.All);
+
+        mx1TraceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
+        mx2TraceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
+
+        Func<string, MultiplexingStream.QualifiedChannelId, string, TraceSource> traceSourceFactory = (string mxInstanceName, MultiplexingStream.QualifiedChannelId id, string name) =>
+        {
+            var traceSource = new TraceSource(mxInstanceName + " channel " + id, SourceLevels.All);
+            traceSource.Listeners.Clear(); // remove DefaultTraceListener
+            traceSource.Listeners.Add(new XunitTraceListener(this.Logger, this.TestId, this.TestTimer));
+            return traceSource;
+        };
+
+        Func<MultiplexingStream.QualifiedChannelId, string, TraceSource> mx1TraceSourceFactory = (MultiplexingStream.QualifiedChannelId id, string name) => traceSourceFactory(nameof(this.mx1), id, name);
+        Func<MultiplexingStream.QualifiedChannelId, string, TraceSource> mx2TraceSourceFactory = (MultiplexingStream.QualifiedChannelId id, string name) => traceSourceFactory(nameof(this.mx2), id, name);
+
+        optionsTemplate = new(optionsTemplate) { ProtocolMajorVersion = this.ProtocolMajorVersion };
+
+        var mx1Options = new MultiplexingStream.Options(optionsTemplate) { TraceSource = mx1TraceSource, DefaultChannelTraceSourceFactoryWithQualifier = mx1TraceSourceFactory };
+        var mx2Options = new MultiplexingStream.Options(optionsTemplate) { TraceSource = mx2TraceSource, DefaultChannelTraceSourceFactoryWithQualifier = mx2TraceSourceFactory };
+
+        (this.transport1, this.transport2) = FullDuplexStream.CreatePair(new PipeOptions(pauseWriterThreshold: 2 * 1024 * 1024));
+        Task<MultiplexingStream>? mx1 = MultiplexingStream.CreateAsync(this.transport1, mx1Options, this.TimeoutToken);
+        Task<MultiplexingStream>? mx2 = MultiplexingStream.CreateAsync(this.transport2, mx2Options, this.TimeoutToken);
+        this.mx1 = await mx1;
+        this.mx2 = await mx2;
+    }
+
     protected class SlowPipeWriter : PipeWriter
     {
         private readonly Sequence<byte> writtenBytes = new Sequence<byte>();