diff --git a/tests/legacy-cli/e2e/tests/commands/ng-generate-collection.ts b/tests/legacy-cli/e2e/tests/commands/ng-generate-collection.ts
new file mode 100644
index 000000000000..8d4a37bc0a4a
--- /dev/null
+++ b/tests/legacy-cli/e2e/tests/commands/ng-generate-collection.ts
@@ -0,0 +1,19 @@
+import { execAndWaitForOutputToMatch } from '../../utils/process';
+
+export default async function () {
+  const currentDirectory = process.cwd();
+
+  try {
+    process.chdir('..');
+
+    // The below is a way to validate that the `--collection` option is being considered.
+    await execAndWaitForOutputToMatch(
+      'ng',
+      ['g', '--collection', 'invalid-schematic'],
+      /Collection "invalid-schematic" cannot be resolved/,
+    );
+  } finally {
+    // Change directory back
+    process.chdir(currentDirectory);
+  }
+}