diff --git a/compiler/src/dotty/tools/dotc/typer/Implicits.scala b/compiler/src/dotty/tools/dotc/typer/Implicits.scala
index d9bff78ff9a3..58d009708e36 100644
--- a/compiler/src/dotty/tools/dotc/typer/Implicits.scala
+++ b/compiler/src/dotty/tools/dotc/typer/Implicits.scala
@@ -1250,7 +1250,7 @@ trait Implicits:
         val arity2 = sym2.info.firstParamTypes.length
         if arity1 < arity2 then return true
         if arity1 > arity2 then return false
-        compareOwner(sym1, sym2) == 1
+        compareOwner(sym1.owner, sym2.owner) == 1
 
       /** Sort list of implicit references according to `prefer`.
        *  This is just an optimization that aims at reducing the average
diff --git a/tests/pos/i10964.scala b/tests/pos/i10964.scala
new file mode 100644
index 000000000000..368659e12510
--- /dev/null
+++ b/tests/pos/i10964.scala
@@ -0,0 +1,48 @@
+trait Applicative[F[_]]
+
+trait FooT[F[_], A]
+trait BarT[F[_], A]
+trait QuxT[F[_], A]
+trait BazT[F[_], A]
+trait ZepT[F[_], A]
+trait JazT[F[_], A]
+trait LafT[F[_], A]
+trait PogT[F[_], A]
+
+trait Sync[F[_]]
+object Sync {
+  implicit def syncForFooT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> FooT[F, X]] = ???
+  implicit def syncForBarT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> BarT[F, X]] = ???
+  implicit def syncForQuxT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> QuxT[F, X]] = ???
+  implicit def syncForBazT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> BazT[F, X]] = ???
+  implicit def syncForZepT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> ZepT[F, X]] = ???
+  implicit def syncForJazT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> JazT[F, X]] = ???
+  // defining additional implicits beyond the 6 above seems to result in hang/OOM
+  implicit def syncForLafT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> LafT[F, X]] = ???
+  implicit def syncForPogT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> PogT[F, X]] = ???
+}
+
+trait Ref[F[_], A]
+object Ref {
+  trait Make[F[_]]
+  object Make extends MakeInstances
+
+  trait MakeInstances extends MakeLowPriorityInstances {
+    implicit def applicativeInstance[F[_]](implicit F: Applicative[F]): Make[F] = ???
+  }
+
+  trait MakeLowPriorityInstances {
+    implicit def syncInstance[F[_]](implicit F: Sync[F]): Make[F] = ???
+  }
+
+  def of[F[_], A](a: A)(implicit mk: Make[F]): F[Ref[F, A]] = ???
+}
+
+class Resource[F[_], A] {
+  implicit def syncForResource[F[_]](implicit F0: Sync[F]): Sync[[X] =>> Resource[F, X]] = ???
+
+  def foo(x: F[Unit])(implicit F: Applicative[F]) = {
+    Ref.of /*[F, (F[Unit], F[Unit])]*/ ((x, x))
+    ()
+  }
+}
\ No newline at end of file
diff --git a/tests/pos/i10964a.scala b/tests/pos/i10964a.scala
new file mode 100644
index 000000000000..55ba1a47d266
--- /dev/null
+++ b/tests/pos/i10964a.scala
@@ -0,0 +1,68 @@
+trait Monoid[A]
+trait Semigroup[A]
+trait Applicative[F[_]]
+
+trait OptionT[F[_], A]
+trait EitherT[F[_], A, B]
+trait IorT[F[_], A, B]
+trait WriterT[F[_], L, V]
+trait Kleisli[F[_], A, B]
+
+final class ApplicativeIdOps[A](private val a: A) extends AnyVal {
+  def pure[F[_]](implicit F: Applicative[F]): F[A] = ???
+}
+
+object ApplicativeSyntax {
+  implicit final def syntaxApplicativeId[A](a: A): ApplicativeIdOps[A] = new ApplicativeIdOps[A](a)
+}
+
+trait Sync[F[_]]
+
+object Sync {
+  implicit def syncForOptionT[F[_]](implicit F0: Sync[F]): Sync[[X] =>> OptionT[F, X]] = ???
+  implicit def syncForEitherT[F[_], E](implicit F0: Sync[F]): Sync[[X] =>> EitherT[F, E, X]] = ???
+  implicit def syncForIorT[F[_], L](implicit F0: Sync[F], L0: Semigroup[L]): Sync[[X] =>> IorT[F, L, X]] = ???
+  implicit def syncForWriterT[F[_], L](implicit F0: Sync[F], L0: Monoid[L]): Sync[[X] =>> WriterT[F, L, X]] = ???
+  implicit def syncForKleisli[F[_], R](implicit F0: Sync[F]): Sync[[X] =>> Kleisli[F, R, X]] = ???
+}
+
+trait Async[F[_]] extends Sync[F]
+
+object Async {
+  implicit def asyncForOptionT[F[_]](implicit F0: Async[F]): Async[[X] =>> OptionT[F, X]] = ???
+  implicit def asyncForEitherT[F[_], E](implicit F0: Async[F]): Async[[X] =>> EitherT[F, E, X]] = ???
+  implicit def asyncForIorT[F[_], L](implicit F0: Async[F], L0: Semigroup[L]): Async[[X] =>> IorT[F, L, X]] = ???
+  implicit def asyncForWriterT[F[_], L](implicit F0: Async[F], L0: Monoid[L]): Async[[X] =>> WriterT[F, L, X]] = ???
+  implicit def asyncForKleisli[F[_], R](implicit F0: Async[F]): Async[[X] =>> Kleisli[F, R, X]] = ???
+}
+
+trait Concurrent[F[_], E] extends Applicative[F]
+
+trait Ref[F[_], A]
+
+object Ref {
+  trait Make[F[_]]
+  object Make extends MakeInstances
+
+  trait MakeInstances extends MakeLowPriorityInstances {
+    implicit def concurrentInstance[F[_]](implicit F: Concurrent[F, _]): Make[F] = ???
+  }
+
+  trait MakeLowPriorityInstances {
+    implicit def syncInstance[F[_]](implicit F: Sync[F]): Make[F] = ???
+  }
+
+  def of[F[_], A](a: A)(implicit mk: Make[F]): F[Ref[F, A]] = ???
+}
+
+
+class Resource[F[_], A] {
+  import ApplicativeSyntax._
+
+  implicit def asyncForResource[F[_]](implicit F0: Async[F]): Async[[X] =>> Resource[F, X]] = ???
+
+  def parZip(implicit F: Concurrent[F, Throwable]) = {
+    Ref.of /*[F, (F[Unit], F[Unit])]*/ (().pure[F] -> ().pure[F])
+    ()
+  }
+}
\ No newline at end of file