diff --git a/tests/litellm/llms/sagemaker/test_sagemaker_common_utils.py b/tests/litellm/llms/sagemaker/test_sagemaker_common_utils.py
new file mode 100644
index 00000000000..e19c41f1ac3
--- /dev/null
+++ b/tests/litellm/llms/sagemaker/test_sagemaker_common_utils.py
@@ -0,0 +1,93 @@
+import json
+import os
+import sys
+from unittest.mock import AsyncMock, MagicMock, patch
+
+import httpx
+import pytest
+
+sys.path.insert(0, os.path.abspath("../../../../.."))
+from litellm.llms.sagemaker.common_utils import AWSEventStreamDecoder
+
+
+@pytest.mark.asyncio
+async def test_aiter_bytes_unicode_decode_error():
+    """
+    Test that AWSEventStreamDecoder.aiter_bytes() does not raise an error when encountering invalid UTF-8 bytes. (UnicodeDecodeError)
+
+
+    Ensures stream processing continues despite the error.
+    """
+    # Create an instance of AWSEventStreamDecoder
+    decoder = AWSEventStreamDecoder(model="test-model")
+
+    # Create a mock event that will trigger a UnicodeDecodeError
+    mock_event = MagicMock()
+    mock_event.to_response_dict.return_value = {
+        "status_code": 200,
+        "headers": {},
+        "body": b"\xff\xfe",  # Invalid UTF-8 bytes
+    }
+
+    # Create a mock EventStreamBuffer that yields our mock event
+    mock_buffer = MagicMock()
+    mock_buffer.__iter__.return_value = [mock_event]
+
+    # Mock the EventStreamBuffer class
+    with patch("botocore.eventstream.EventStreamBuffer", return_value=mock_buffer):
+        # Create an async generator that yields some test bytes
+        async def mock_iterator():
+            yield b""
+
+        # Process the stream
+        chunks = []
+        async for chunk in decoder.aiter_bytes(mock_iterator()):
+            if chunk is not None:
+                print("chunk=", chunk)
+                chunks.append(chunk)
+
+        # Verify that processing continued despite the error
+        # The chunks list should be empty since we only sent invalid data
+        assert len(chunks) == 0
+
+
+@pytest.mark.asyncio
+async def test_aiter_bytes_valid_chunk_followed_by_unicode_error():
+    """
+    Test that valid chunks are processed correctly even when followed by Unicode decode errors.
+    This ensures errors don't corrupt or prevent processing of valid data that came before.
+    """
+    decoder = AWSEventStreamDecoder(model="test-model")
+
+    # Create two mock events - first valid, then invalid
+    mock_valid_event = MagicMock()
+    mock_valid_event.to_response_dict.return_value = {
+        "status_code": 200,
+        "headers": {},
+        "body": json.dumps({"token": {"text": "hello"}}).encode(),  # Valid data first
+    }
+
+    mock_invalid_event = MagicMock()
+    mock_invalid_event.to_response_dict.return_value = {
+        "status_code": 200,
+        "headers": {},
+        "body": b"\xff\xfe",  # Invalid UTF-8 bytes second
+    }
+
+    # Create a mock EventStreamBuffer that yields valid event first, then invalid
+    mock_buffer = MagicMock()
+    mock_buffer.__iter__.return_value = [mock_valid_event, mock_invalid_event]
+
+    with patch("botocore.eventstream.EventStreamBuffer", return_value=mock_buffer):
+
+        async def mock_iterator():
+            yield b"test_bytes"
+
+        chunks = []
+        async for chunk in decoder.aiter_bytes(mock_iterator()):
+            if chunk is not None:
+                chunks.append(chunk)
+
+        # Verify we got our valid chunk despite the subsequent error
+        assert len(chunks) == 1
+        assert chunks[0]["text"] == "hello"  # Verify the content of the valid chunk