diff --git a/packages/tldraw/src/state/shapes/StickyUtil/StickyUtil.tsx b/packages/tldraw/src/state/shapes/StickyUtil/StickyUtil.tsx
index a5b082858..754bae57c 100644
--- a/packages/tldraw/src/state/shapes/StickyUtil/StickyUtil.tsx
+++ b/packages/tldraw/src/state/shapes/StickyUtil/StickyUtil.tsx
@@ -84,7 +84,12 @@ export class StickyUtil extends TDShapeUtil<T, E> {
 
       const handleKeyDown = React.useCallback(
         (e: React.KeyboardEvent<HTMLTextAreaElement>) => {
-          if (e.key === 'Escape') return
+          if (e.key === 'Escape') {
+            e.preventDefault()
+            e.stopPropagation()
+            onShapeBlur?.()
+            return
+          }
 
           if (e.key === 'Tab' && shape.text.length === 0) {
             e.preventDefault()
diff --git a/packages/tldraw/src/state/shapes/TextUtil/TextUtil.tsx b/packages/tldraw/src/state/shapes/TextUtil/TextUtil.tsx
index 2225b1b2e..f4f7016b8 100644
--- a/packages/tldraw/src/state/shapes/TextUtil/TextUtil.tsx
+++ b/packages/tldraw/src/state/shapes/TextUtil/TextUtil.tsx
@@ -131,7 +131,12 @@ export class TextUtil extends TDShapeUtil<T, E> {
 
       const handleKeyDown = React.useCallback(
         (e: React.KeyboardEvent<HTMLTextAreaElement>) => {
-          if (e.key === 'Escape') return
+          if (e.key === 'Escape') {
+            e.preventDefault()
+            e.stopPropagation()
+            onShapeBlur?.()
+            return
+          }
 
           if (e.key === 'Tab' && shape.text.length === 0) {
             e.preventDefault()
diff --git a/packages/tldraw/src/state/shapes/shared/TextLabel.tsx b/packages/tldraw/src/state/shapes/shared/TextLabel.tsx
index 3622166ff..55ac63833 100644
--- a/packages/tldraw/src/state/shapes/shared/TextLabel.tsx
+++ b/packages/tldraw/src/state/shapes/shared/TextLabel.tsx
@@ -1,6 +1,6 @@
 import * as React from 'react'
 import { stopPropagation } from '~components/stopPropagation'
-import { GHOSTED_OPACITY,  LETTER_SPACING } from '~constants'
+import { GHOSTED_OPACITY, LETTER_SPACING } from '~constants'
 import { TLDR } from '~state/TLDR'
 import { styled } from '~styles'
 import { getTextLabelSize } from './getTextSize'
@@ -40,7 +40,12 @@ export const TextLabel = React.memo(function TextLabel({
   )
   const handleKeyDown = React.useCallback(
     (e: React.KeyboardEvent<HTMLTextAreaElement>) => {
-      if (e.key === 'Escape') return
+      if (e.key === 'Escape') {
+        e.preventDefault()
+        e.stopPropagation()
+        onBlur?.()
+        return
+      }
 
       if (e.key === 'Tab' && text.length === 0) {
         e.preventDefault()