diff --git a/Gemfile b/Gemfile
index 343fc60c..c078c191 100644
--- a/Gemfile
+++ b/Gemfile
@@ -6,7 +6,7 @@ git_source(:github) { |repo| "https://github.com/#{repo}.git" }
 ruby "3.4.6"
 
 gem "cpflow", "5.1.1", require: false
-gem "react_on_rails_pro", "17.0.0.rc.6"
+gem "react_on_rails_pro", "17.0.0.rc.7"
 gem "shakapacker", "10.2.0"
 
 # Bundle edge Rails instead: gem "rails", github: "rails/rails"
diff --git a/Gemfile.lock b/Gemfile.lock
index e8c08948..e02234c1 100644
--- a/Gemfile.lock
+++ b/Gemfile.lock
@@ -78,7 +78,7 @@ GEM
     addressable (2.9.0)
       public_suffix (>= 2.0.2, < 8.0)
     ast (2.4.3)
-    async (2.39.0)
+    async (2.42.0)
       console (~> 1.29)
       fiber-annotation
       io-event (~> 1.11)
@@ -191,7 +191,7 @@ GEM
     interception (0.5)
     io-console (0.8.2)
     io-endpoint (0.17.2)
-    io-event (1.16.2)
+    io-event (1.19.1)
     io-stream (0.13.1)
     irb (1.18.0)
       pp (>= 0.6.0)
@@ -346,22 +346,21 @@ GEM
       erb
       psych (>= 4.0.0)
       tsort
-    react_on_rails (17.0.0.rc.6)
+    react_on_rails (17.0.0.rc.7)
       addressable
       connection_pool
       execjs (~> 2.5)
       rails (>= 5.2)
       rainbow (~> 3.0)
       shakapacker (>= 6.0)
-    react_on_rails_pro (17.0.0.rc.6)
-      addressable
+    react_on_rails_pro (17.0.0.rc.7)
       async (>= 2.29)
       async-http (~> 0.95)
       execjs (~> 2.9)
       io-endpoint (~> 0.17.0)
       jwt (>= 2.5, < 4)
-      rainbow
-      react_on_rails (= 17.0.0.rc.6)
+      nokogiri (>= 1.12, < 2)
+      react_on_rails (= 17.0.0.rc.7)
     redcarpet (3.6.0)
     redis (5.3.0)
       redis-client (>= 0.22.0)
@@ -549,7 +548,7 @@ DEPENDENCIES
   rails-html-sanitizer
   rails_best_practices
   rainbow
-  react_on_rails_pro (= 17.0.0.rc.6)
+  react_on_rails_pro (= 17.0.0.rc.7)
   redcarpet
   redis (~> 5.0)
   rspec-rails (~> 6.0.0)
diff --git a/README.md b/README.md
index 0cf47a7f..753d7b63 100644
--- a/README.md
+++ b/README.md
@@ -184,11 +184,11 @@ assets_bundler: rspack
 
 ### Version Targets
 
-- `react_on_rails_pro` gem: `17.0.0.rc.6`
-- `react-on-rails-pro` npm package: `17.0.0-rc.6`
-- `react-on-rails-pro-node-renderer` npm package: `17.0.0-rc.6`
-- `react-on-rails-rsc` npm package: `19.2.0`
-- `shakapacker` gem/npm package: `10.1.0`
+- `react_on_rails_pro` gem: `17.0.0.rc.7`
+- `react-on-rails-pro` npm package: `17.0.0-rc.7`
+- `react-on-rails-pro-node-renderer` npm package: `17.0.0-rc.7`
+- `react-on-rails-rsc` npm package: `19.2.1-rc.0`
+- `shakapacker` gem/npm package: `10.2.0`
 - `@rspack/core` and `@rspack/cli`: `2.0.0-beta.7`
 - `react`: `~19.2.7` (minimum for React Server Components)
 
diff --git a/client/app/bundles/server-components/components/LiveActivityRefresher.jsx b/client/app/bundles/server-components/components/LiveActivityRefresher.jsx
index 1be88de3..9844e27c 100644
--- a/client/app/bundles/server-components/components/LiveActivityRefresher.jsx
+++ b/client/app/bundles/server-components/components/LiveActivityRefresher.jsx
@@ -1,9 +1,10 @@
 'use client';
 
-import React, { useState, Suspense } from 'react';
+import React, { Suspense, useRef, useState } from 'react';
 import { ErrorBoundary } from 'react-error-boundary';
 import RSCRoute from 'react-on-rails-pro/RSCRoute';
 import { useRSC } from 'react-on-rails-pro/RSCProvider';
+import { ServerComponentFetchError } from 'react-on-rails-pro/ServerComponentFetchError';
 
 // Same shape and dimensions as the rendered LiveActivity card. Local Suspense
 // fallback prevents the RSCRoute suspension from bubbling to an outer
@@ -23,33 +24,102 @@ function ActivityCardSkeleton() {
   );
 }
 
+function ActivityErrorFallback({ error, onRetry }) {
+  return (
+    <div className="bg-rose-50 border border-rose-200 rounded-lg p-4">
+      <p className="text-rose-700 font-semibold mb-1">Server component fetch failed</p>
+      <p className="text-rose-600 text-sm font-mono mb-3">{error.message}</p>
+      <button
+        type="button"
+        onClick={onRetry}
+        className="px-3 py-1.5 text-sm bg-rose-600 text-white rounded hover:bg-rose-700"
+      >
+        Retry
+      </button>
+    </div>
+  );
+}
+
+function toServerComponentFetchError(error, componentProps) {
+  if (error instanceof ServerComponentFetchError) {
+    return error;
+  }
+
+  const originalError = error instanceof Error ? error : new Error(String(error));
+  return new ServerComponentFetchError(originalError.message, 'LiveActivity', componentProps, originalError);
+}
+
+function ThrowActivityError({ error }) {
+  throw error;
+}
+
 function LiveActivityRefresher() {
-  const [refreshKey, setRefreshKey] = useState(0);
-  const [simulateError, setSimulateError] = useState(false);
+  const [refreshCount, setRefreshCount] = useState(0);
+  const [routeRefreshKey, setRouteRefreshKey] = useState(0);
+  const [fetchError, setFetchError] = useState(null);
+  const latestRequestIdRef = useRef(0);
   const { refetchComponent } = useRSC();
 
+  const nextRequestId = () => {
+    latestRequestIdRef.current += 1;
+    return latestRequestIdRef.current;
+  };
+
+  const refetchLiveActivity = (componentProps) =>
+    refetchComponent('LiveActivity', componentProps, true).then((payload) => {
+      if (payload instanceof Error) {
+        throw payload;
+      }
+    });
+
   const handleRefresh = () => {
-    setSimulateError(false);
-    setRefreshKey((k) => k + 1);
+    const nextKey = refreshCount + 1;
+
+    nextRequestId();
+    setFetchError(null);
+    setRefreshCount(nextKey);
+    setRouteRefreshKey(nextKey);
   };
 
   const handleSimulateError = () => {
-    setSimulateError(true);
-    setRefreshKey((k) => k + 1);
+    const requestId = nextRequestId();
+    const nextKey = refreshCount + 1;
+    const errorProps = { simulateError: true, refreshKey: nextKey };
+
+    setFetchError(null);
+    setRefreshCount(nextKey);
+    refetchLiveActivity(errorProps).catch((error) => {
+      if (latestRequestIdRef.current === requestId) {
+        setFetchError(toServerComponentFetchError(error, errorProps));
+      }
+    });
   };
 
-  // refetchComponent primes the cache with corrected props before resetting
-  // the boundary, so the post-reset render hits cache instead of re-fetching.
-  const buildRetry = (resetErrorBoundary) => () => {
-    const newKey = refreshKey + 1;
-    setSimulateError(false);
-    setRefreshKey(newKey);
-    refetchComponent('LiveActivity', { simulateError: false, refreshKey: newKey })
-      // eslint-disable-next-line no-console
-      .catch((err) => console.error('Retry refetch failed:', err))
-      .finally(() => resetErrorBoundary());
+  const buildBoundaryRetry = (resetErrorBoundary) => () => {
+    const requestId = nextRequestId();
+    const newKey = refreshCount + 1;
+    const correctedProps = { simulateError: false, refreshKey: newKey };
+
+    setFetchError(null);
+    setRefreshCount(newKey);
+    refetchLiveActivity(correctedProps)
+      .then(() => {
+        if (latestRequestIdRef.current === requestId) {
+          setRouteRefreshKey(newKey);
+          resetErrorBoundary();
+        }
+      })
+      .catch((err) => {
+        if (latestRequestIdRef.current === requestId) {
+          // eslint-disable-next-line no-console
+          console.error('Retry refetch failed:', err);
+          setFetchError(toServerComponentFetchError(err, correctedProps));
+        }
+      });
   };
 
+  const componentProps = { simulateError: false, refreshKey: routeRefreshKey };
+
   return (
     <div className="space-y-3">
       <div className="flex items-center gap-2">
@@ -67,30 +137,24 @@ function LiveActivityRefresher() {
         >
           Simulate Error
         </button>
-        <span className="text-xs text-slate-500 ml-2">Refresh count: {refreshKey}</span>
+        <span className="text-xs text-slate-500 ml-2">Refresh count: {refreshCount}</span>
       </div>
       <ErrorBoundary
         // react-error-boundary's fallbackRender is a render-prop API by design;
-        // the closure captures buildRetry which depends on parent state.
+        // the closure captures retry state from this component.
         // eslint-disable-next-line react/no-unstable-nested-components
         fallbackRender={({ error, resetErrorBoundary }) => (
-          <div className="bg-rose-50 border border-rose-200 rounded-lg p-4">
-            <p className="text-rose-700 font-semibold mb-1">Server component fetch failed</p>
-            <p className="text-rose-600 text-sm font-mono mb-3">{error.message}</p>
-            <button
-              type="button"
-              onClick={buildRetry(resetErrorBoundary)}
-              className="px-3 py-1.5 text-sm bg-rose-600 text-white rounded hover:bg-rose-700"
-            >
-              Retry
-            </button>
-          </div>
+          <ActivityErrorFallback error={error} onRetry={buildBoundaryRetry(resetErrorBoundary)} />
         )}
-        resetKeys={[refreshKey]}
+        resetKeys={[routeRefreshKey]}
       >
-        <Suspense fallback={<ActivityCardSkeleton />}>
-          <RSCRoute componentName="LiveActivity" componentProps={{ simulateError, refreshKey }} />
-        </Suspense>
+        {fetchError ? (
+          <ThrowActivityError error={fetchError} />
+        ) : (
+          <Suspense fallback={<ActivityCardSkeleton />}>
+            <RSCRoute componentName="LiveActivity" componentProps={componentProps} />
+          </Suspense>
+        )}
       </ErrorBoundary>
     </div>
   );
diff --git a/client/app/bundles/server-components/ror_components/ServerComponentsPage.jsx b/client/app/bundles/server-components/ror_components/ServerComponentsPage.jsx
index 1aa636f6..4ba036bf 100644
--- a/client/app/bundles/server-components/ror_components/ServerComponentsPage.jsx
+++ b/client/app/bundles/server-components/ror_components/ServerComponentsPage.jsx
@@ -63,15 +63,15 @@ function ServerComponentsPage({ comments = [] }) {
           <h2 className="text-xl font-semibold text-slate-700 mb-4 flex items-center gap-2">
             Live Server Activity
             <span className="text-xs font-normal bg-indigo-100 text-indigo-700 px-2 py-0.5 rounded-full">
-              RSCRoute + ErrorBoundary
+              RSCRoute + Error Recovery
             </span>
           </h2>
           <p className="text-slate-500 text-sm mb-4">
             Click <strong>Refresh</strong> to fetch a new RSC payload — the server re-renders this section and
             streams the result back, no client-side JSON parsing or loading state plumbing. Click{' '}
             <strong>Simulate Error</strong> to make the server component throw; the failure surfaces as{' '}
-            <code>ServerComponentFetchError</code> and is caught by <code>&lt;ErrorBoundary&gt;</code>, which
-            renders a Retry button that calls <code>refetchComponent</code> with corrected props.
+            <code>ServerComponentFetchError</code> through the RSC refetch API, and the Retry button calls{' '}
+            <code>refetchComponent</code> with corrected props.
           </p>
           <LiveActivityRefresher />
         </section>
diff --git a/package.json b/package.json
index 2fd1be9f..01f313de 100644
--- a/package.json
+++ b/package.json
@@ -82,9 +82,9 @@
     "react-dom": "~19.2.7",
     "react-error-boundary": "^4.1.2",
     "react-intl": "^6.4.4",
-    "react-on-rails-pro": "17.0.0-rc.6",
-    "react-on-rails-pro-node-renderer": "17.0.0-rc.6",
-    "react-on-rails-rsc": "19.2.0",
+    "react-on-rails-pro": "17.0.0-rc.7",
+    "react-on-rails-pro-node-renderer": "17.0.0-rc.7",
+    "react-on-rails-rsc": "19.2.1-rc.0",
     "react-redux": "^8.1.0",
     "react-router": "^6.13.0",
     "react-router-dom": "^6.13.0",
diff --git a/spec/system/server_components_demo_spec.rb b/spec/system/server_components_demo_spec.rb
index 6361fc68..dd543cb7 100644
--- a/spec/system/server_components_demo_spec.rb
+++ b/spec/system/server_components_demo_spec.rb
@@ -32,7 +32,7 @@
       expect(page).to have_content("Refresh count: 1")
     end
 
-    it "shows the ErrorBoundary fallback when Simulate Error is clicked, then recovers on Retry" do
+    it "shows the error recovery fallback when Simulate Error is clicked, then recovers on Retry" do
       click_button "Simulate Error"
       expect(page).to have_content("Server component fetch failed")
 
diff --git a/yarn.lock b/yarn.lock
index 5028d4d2..f2b0ca9b 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -8767,10 +8767,10 @@ react-is@^18.0.0, react-is@^18.3.1:
   resolved "https://registry.npmjs.org/react-is/-/react-is-18.3.1.tgz"
   integrity sha512-/LLMVyas0ljjAtoYiPqYiL8VWXzUUdThrmU5+n20DZv+a+ClRoevUzw5JxU+Ieh5/c87ytoTBV9G1FiKfNJdmg==
 
-react-on-rails-pro-node-renderer@17.0.0-rc.6:
-  version "17.0.0-rc.6"
-  resolved "https://registry.npmjs.org/react-on-rails-pro-node-renderer/-/react-on-rails-pro-node-renderer-17.0.0-rc.6.tgz#1fef0e21a7a13eb9d4525e05b6989a0ed79fb9c2"
-  integrity sha512-nX9Nmgb3hiUMPItC5xfV/W/FGnYLLzefr5qJOURPxrkHgEa6dw1ndnH2mRPyh0zFkOaCB2FBIy8lkWfXvRpfiA==
+react-on-rails-pro-node-renderer@17.0.0-rc.7:
+  version "17.0.0-rc.7"
+  resolved "https://registry.npmjs.org/react-on-rails-pro-node-renderer/-/react-on-rails-pro-node-renderer-17.0.0-rc.7.tgz#dc5da170b71ae91cb6e53305f90645ee5c2d95c9"
+  integrity sha512-qyB0wd1AU7KsPMJJyc3U3l4rgq8ZVR8FOAqNQ4riZ2adqeNfz5k5Gx1NKwKMWd51ri7fGqyZDFC8295bAIQEZw==
   dependencies:
     "@fastify/formbody" "^7.4.0 || ^8.0.2"
     "@fastify/multipart" "^8.3.1 || ^9.0.3"
@@ -8780,27 +8780,27 @@ react-on-rails-pro-node-renderer@17.0.0-rc.6:
     lockfile "^1.0.4"
     pino "^9.14.0 || ^10.1.0"
 
-react-on-rails-pro@17.0.0-rc.6:
-  version "17.0.0-rc.6"
-  resolved "https://registry.npmjs.org/react-on-rails-pro/-/react-on-rails-pro-17.0.0-rc.6.tgz#41dc95ed0e3513822a2f0c9b4b25b34c607106be"
-  integrity sha512-Uc4IUmNYAJIk4iy4RatLN0qVM7MAi8zgXVvd7vZMEnVkGGhHqvj1A82ft97yJqgfqF9mm3eSPPyU3gyXrH5CsQ==
+react-on-rails-pro@17.0.0-rc.7:
+  version "17.0.0-rc.7"
+  resolved "https://registry.npmjs.org/react-on-rails-pro/-/react-on-rails-pro-17.0.0-rc.7.tgz#d7f79b9c19e66061452bf2eecc64532da385339a"
+  integrity sha512-tfHNFjlX0Vnb/t4GxUc3X3mw742hHcrR3VapYfz3kAlDPNnpMi03PzPVPxwAO5FeQloHvAKq9/rjUemdsRDSQQ==
   dependencies:
-    react-on-rails "17.0.0-rc.6"
+    react-on-rails "17.0.0-rc.7"
 
-react-on-rails-rsc@19.2.0:
-  version "19.2.0"
-  resolved "https://registry.npmjs.org/react-on-rails-rsc/-/react-on-rails-rsc-19.2.0.tgz#3b539142048047193d524265fabdc81356bd482f"
-  integrity sha512-4PlfNFWGHl029al/yi10G3fcREbTwzqQ45uqYs6i9Baqds2OROyWp1xdorfX4Ok46IVJjje14SeaJVyN8pGDGg==
+react-on-rails-rsc@19.2.1-rc.0:
+  version "19.2.1-rc.0"
+  resolved "https://registry.npmjs.org/react-on-rails-rsc/-/react-on-rails-rsc-19.2.1-rc.0.tgz#cf50da6586b8c978d3ff0699178e892e8cbde006"
+  integrity sha512-lWUQloOMYS2/Jio7M9pKaY84+gNJ1ZD2pMTj37HDZtf6GsJjb0CJfJlizvxbquUdMQawX+1h59c63syFZ7AWmQ==
   dependencies:
     acorn-loose "^8.3.0"
     neo-async "^2.6.1"
     react-server-dom-webpack "~19.2.7"
     webpack-sources "^3.2.0"
 
-react-on-rails@17.0.0-rc.6:
-  version "17.0.0-rc.6"
-  resolved "https://registry.npmjs.org/react-on-rails/-/react-on-rails-17.0.0-rc.6.tgz#4372994d13e7dcff4acaf06efad7b413da4bc42d"
-  integrity sha512-/u2hzYvuUN+1HnH0gEdbfQvkWkgLMSN2kl/2x9CCOInIHffBvilgXzBgJrP5NlvjWpguUWSxO6PrYpgV0BzLMA==
+react-on-rails@17.0.0-rc.7:
+  version "17.0.0-rc.7"
+  resolved "https://registry.npmjs.org/react-on-rails/-/react-on-rails-17.0.0-rc.7.tgz#02c73fc20e68a7471aae391c9e5c7ed5ca3adaff"
+  integrity sha512-JWeDJeFUc8TEWtz4MWLMHpCIPBw3stKBx//EY8aPDZDwL1UxX3tnDDt/4JlIOzvGonz4ncGxEbEKcnBheyafDw==
 
 react-proxy@^1.1.7:
   version "1.1.8"