diff --git a/internal/archive/traversal.go b/internal/archive/traversal.go
index de8b0da62..ddb84a02d 100644
--- a/internal/archive/traversal.go
+++ b/internal/archive/traversal.go
@@ -90,11 +90,14 @@ func (t *Traversal) FullTraversalArchivePath() string {
 // ContainerPath returns the full path of the archive directly holding the file at c, or blank for a
 // file on the scanned filesystem, whether or not its FullPath is set.
 func ContainerPath(c file.Coordinates) string {
-	i := strings.LastIndex(c.FullPath, file.ArchivePathSeparator)
-	if i < 0 {
+	entries, ok := archiveEntries(c)
+	if !ok {
 		return ""
 	}
-	return c.FullPath[:i]
+	if i := strings.LastIndex(entries, file.ArchivePathSeparator); i >= 0 {
+		return c.RealPath + file.ArchivePathSeparator + entries[:i]
+	}
+	return c.RealPath
 }
 
 // archiveEntries is the "!/"-delimited chain of entry paths after RealPath, reporting false for a file
diff --git a/internal/archive/traversal_test.go b/internal/archive/traversal_test.go
index 15010c697..73d0306b0 100644
--- a/internal/archive/traversal_test.go
+++ b/internal/archive/traversal_test.go
@@ -32,6 +32,9 @@ func TestContainerPath(t *testing.T) {
 	assert.Equal(t, "", ContainerPath(file.NewCoordinates("/app.war", "")))
 	assert.Equal(t, "", ContainerPath(file.Coordinates{RealPath: "/app.war", FullPath: "/app.war"}), "a top-level file whose FullPath is set")
 	assert.Equal(t, "", ContainerPath(file.Coordinates{RealPath: "/odd!/name"}), "a separator in a top-level real path is not an archive boundary")
+	assert.Equal(t, "", ContainerPath(file.Coordinates{RealPath: "/odd!/name", FullPath: "/odd!/name"}), "nor when FullPath is set")
+	assert.Equal(t, "/odd!/name.zip", ContainerPath(locationIn("/odd!/name.zip", "a.txt").Coordinates))
+	assert.Equal(t, "/odd!/name.zip!/b.jar", ContainerPath(locationIn("/odd!/name.zip", "b.jar!/a.txt").Coordinates))
 	assert.Equal(t, "/app.war", ContainerPath(locationIn("/app.war", "WEB-INF/lib/dep.jar").Coordinates))
 	assert.Equal(t, "/app.war!/WEB-INF/lib/dep.jar",
 		ContainerPath(locationIn("/app.war", "WEB-INF/lib/dep.jar!/META-INF/MANIFEST.MF").Coordinates))
diff --git a/syft/file/coordinates.go b/syft/file/coordinates.go
index c496aad67..3645c534d 100644
--- a/syft/file/coordinates.go
+++ b/syft/file/coordinates.go
@@ -30,14 +30,18 @@ func (c Coordinates) FullNestedPath() string {
 	return c.FullPath
 }
 
-// LocalPath is the rooted path within the resolver holding the file: the segment of FullNestedPath after
-// the last archive separator, keeping the separator's slash, or RealPath for a file not within an archive.
+// LocalPath is the rooted path within the resolver holding the file: the last entry path in FullPath, or
+// RealPath for a file not within an archive. RealPath is cut off before looking for a separator, so a
+// "!/" in a real path is never taken for an archive boundary.
 func (c Coordinates) LocalPath() string {
-	fullPath := c.FullNestedPath()
-	if i := strings.LastIndex(fullPath, ArchivePathSeparator); i >= 0 {
-		return fullPath[i+len(ArchivePathSeparator)-1:]
+	entries, ok := strings.CutPrefix(c.FullPath, c.RealPath+ArchivePathSeparator)
+	if !ok {
+		return c.RealPath
 	}
-	return fullPath
+	if i := strings.LastIndex(entries, ArchivePathSeparator); i >= 0 {
+		entries = entries[i+len(ArchivePathSeparator):]
+	}
+	return "/" + entries
 }
 
 func NewCoordinates(realPath, fsID string) Coordinates {
diff --git a/syft/file/location_test.go b/syft/file/location_test.go
index 7ea14de63..34074c7fa 100644
--- a/syft/file/location_test.go
+++ b/syft/file/location_test.go
@@ -106,4 +106,8 @@ func TestCoordinates_LocalPath(t *testing.T) {
 	assert.Equal(t, "/a.jar", NewCoordinates("/a.jar", "").LocalPath())
 	assert.Equal(t, "/a.jar", Coordinates{RealPath: "/a.jar"}.LocalPath())
 	assert.Equal(t, "/META-INF/MANIFEST.MF", Coordinates{RealPath: "/a.war", FullPath: "/a.war!/lib/b.jar!/META-INF/MANIFEST.MF"}.LocalPath())
+	assert.Equal(t, "/data/Hello!/world.txt", NewCoordinates("/data/Hello!/world.txt", "").LocalPath(), "a separator in a real path is not an archive boundary")
+	assert.Equal(t, "/data/Hello!/world.txt", Coordinates{RealPath: "/data/Hello!/world.txt", FullPath: "/data/Hello!/world.txt"}.LocalPath())
+	assert.Equal(t, "/x.txt", Coordinates{RealPath: "/data/Hello!/a.zip", FullPath: "/data/Hello!/a.zip!/x.txt"}.LocalPath())
+	assert.Equal(t, "/x.txt", Coordinates{RealPath: "/data/Hello!/a.zip", FullPath: "/data/Hello!/a.zip!/b.jar!/x.txt"}.LocalPath())
 }