diff --git a/mypy/semanal.py b/mypy/semanal.py
index 7bfa3c66e118..55564306dbb8 100644
--- a/mypy/semanal.py
+++ b/mypy/semanal.py
@@ -91,7 +91,7 @@
     FunctionLike, UnboundType, TypeVarType, TupleType, UnionType, StarType,
     CallableType, Overloaded, Instance, Type, AnyType, LiteralType, LiteralValue,
     TypeTranslator, TypeOfAny, TypeType, NoneType, PlaceholderType, TPDICT_NAMES, ProperType,
-    get_proper_type, get_proper_types, TypeAliasType
+    get_proper_type, get_proper_types, TypeAliasType,
 )
 from mypy.typeops import function_type
 from mypy.type_visitor import TypeQuery
@@ -1326,10 +1326,10 @@ class Foo(Bar, Generic[T]): ...
         tvar_defs: List[TypeVarType] = []
         for name, tvar_expr in declared_tvars:
             tvar_def = self.tvar_scope.bind_new(name, tvar_expr)
-            assert isinstance(tvar_def, TypeVarType), (
-                "mypy does not currently support ParamSpec use in generic classes"
-            )
-            tvar_defs.append(tvar_def)
+            if isinstance(tvar_def, TypeVarType):
+                # This can also be `ParamSpecType`,
+                # error will be reported elsewhere: #11218
+                tvar_defs.append(tvar_def)
         return base_type_exprs, tvar_defs, is_protocol
 
     def analyze_class_typevar_declaration(
diff --git a/test-data/unit/semanal-errors.test b/test-data/unit/semanal-errors.test
index 9dc75a4930e4..62ffb4e62b07 100644
--- a/test-data/unit/semanal-errors.test
+++ b/test-data/unit/semanal-errors.test
@@ -41,6 +41,49 @@ x = None # type: X
 [out]
 main:2: error: Name "X" is not defined
 
+[case testInvalidParamSpecType1]
+# flags: --python-version 3.10
+from typing import ParamSpec
+
+P = ParamSpec("P")
+
+class MyFunction(P):
+    ...
+
+a: MyFunction[int]
+[out]
+main:6: error: Invalid location for ParamSpec "P"
+main:6: note: You can use ParamSpec as the first argument to Callable, e.g., 'Callable[P, int]'
+main:9: error: "MyFunction" expects no type arguments, but 1 given
+
+[case testInvalidParamSpecType2]
+from typing_extensions import ParamSpec
+
+P = ParamSpec("P")
+
+class MyFunction(P):
+    ...
+
+a: MyFunction[int]
+[out]
+main:5: error: Invalid location for ParamSpec "P"
+main:5: note: You can use ParamSpec as the first argument to Callable, e.g., 'Callable[P, int]'
+main:8: error: "MyFunction" expects no type arguments, but 1 given
+
+[case testGenericParamSpec]
+# flags: --python-version 3.10
+from typing import Generic, TypeVar, Callable, ParamSpec
+
+T = TypeVar("T")
+P = ParamSpec("P")
+
+class X(Generic[T, P]):
+  f: Callable[P, int]
+  x: T
+[out]
+main:7: error: Free type variable expected in Generic[...]
+main:8: error: The first argument to Callable must be a list of types or "..."
+
 [case testInvalidGenericArg]
 from typing import TypeVar, Generic
 t = TypeVar('t')