diff --git a/private/functions/Get-LoginPasswordHash.ps1 b/private/functions/Get-LoginPasswordHash.ps1
index 343e1f7e871..6e1518fcdba 100644
--- a/private/functions/Get-LoginPasswordHash.ps1
+++ b/private/functions/Get-LoginPasswordHash.ps1
@@ -68,7 +68,9 @@ function Get-LoginPasswordHash {
                 $hashedPassDt = $server.ConnectionContext.ExecuteWithResults($sql)
                 $hashedPass = $hashedPassDt.Tables[0].Rows[0].Item(0)
             } catch {
-                Stop-Function -Message "Failed to retrieve password hash for login $($Login.Name)" -ErrorRecord $_ -Target $Login -Continue
+                # No -Continue here: no loop encloses this catch, so the continue would escape the function
+                # and bypass the null-hash handling of the caller (#10638).
+                Stop-Function -Message "Failed to retrieve password hash for login $($Login.Name)" -ErrorRecord $_ -Target $Login
                 return
             }
         }