diff --git a/doc/docker.md b/doc/docker.md
index 71af392360f..92a72b77a9c 100644
--- a/doc/docker.md
+++ b/doc/docker.md
@@ -109,6 +109,7 @@ If your database needs additional settings, you will have to use a personalized
 | `PAD_OPTIONS_ALWAYS_SHOW_CHAT`   |             | `false` |
 | `PAD_OPTIONS_CHAT_AND_USERS`     |             | `false` |
 | `PAD_OPTIONS_LANG`               |             | `null`  |
+| `PAD_OPTIONS_FADE_INACTIVE_AUTHOR_COLORS` | Fade each author's caret/background toward white as they go inactive. Set to `false` if users pick light colors that become indistinguishable from the faded variants. | `true`  |
 
 
 ### Shortcuts
diff --git a/settings.json.docker b/settings.json.docker
index 8fdd51de01e..fa26c199d38 100644
--- a/settings.json.docker
+++ b/settings.json.docker
@@ -288,7 +288,8 @@
     "rtl":              "${PAD_OPTIONS_RTL:false}",
     "alwaysShowChat":   "${PAD_OPTIONS_ALWAYS_SHOW_CHAT:false}",
     "chatAndUsers":     "${PAD_OPTIONS_CHAT_AND_USERS:false}",
-    "lang":             "${PAD_OPTIONS_LANG:null}"
+    "lang":             "${PAD_OPTIONS_LANG:null}",
+    "fadeInactiveAuthorColors": "${PAD_OPTIONS_FADE_INACTIVE_AUTHOR_COLORS:true}"
   },
 
   /*
diff --git a/settings.json.template b/settings.json.template
index 0d1493c2b40..d05b9360a96 100644
--- a/settings.json.template
+++ b/settings.json.template
@@ -261,7 +261,13 @@
     "rtl":              false,
     "alwaysShowChat":   false,
     "chatAndUsers":     false,
-    "lang":             null
+    "lang":             null,
+    /*
+     * When true (default), each author's caret/background color fades toward white
+     * as the author goes inactive. Set to false if users pick light colors and the
+     * faded variants become visually indistinguishable.
+     */
+    "fadeInactiveAuthorColors": true
   },
 
   /*
diff --git a/src/node/utils/Settings.ts b/src/node/utils/Settings.ts
index 0b250e494c3..5bd1e5d47f9 100644
--- a/src/node/utils/Settings.ts
+++ b/src/node/utils/Settings.ts
@@ -203,6 +203,7 @@ export type SettingsType = {
     alwaysShowChat: boolean,
     chatAndUsers: boolean,
     lang: string | null,
+    fadeInactiveAuthorColors: boolean,
   },
   enableMetrics: boolean,
   padShortcutEnabled: {
@@ -410,6 +411,7 @@ const settings: SettingsType = {
     alwaysShowChat: false,
     chatAndUsers: false,
     lang: null,
+    fadeInactiveAuthorColors: true,
   },
   /**
    * Wether to enable the /stats endpoint. The functionality in the admin menu is untouched for this.
diff --git a/src/static/js/ace2_inner.ts b/src/static/js/ace2_inner.ts
index 3ca880a9484..b40e2026651 100644
--- a/src/static/js/ace2_inner.ts
+++ b/src/static/js/ace2_inner.ts
@@ -236,7 +236,13 @@ function Ace2Inner(editorInfo, cssManagers) {
       cssManagers.parent.removeSelectorStyle(authorSelector);
     } else if (info.bgcolor) {
       let bgcolor = info.bgcolor;
-      if ((typeof info.fade) === 'number') {
+      // padOptions.fadeInactiveAuthorColors (default true) controls whether the author
+      // background fades toward white as the author goes inactive. Integrators can set
+      // it to false server-side when users pick light colors that become indistinguishable
+      // from the faded variants.
+      const fadeEnabled = window.clientVars.padOptions == null ||
+          window.clientVars.padOptions.fadeInactiveAuthorColors !== false;
+      if (fadeEnabled && (typeof info.fade) === 'number') {
         bgcolor = fadeColor(bgcolor, info.fade);
       }
       const textColor =
diff --git a/src/static/js/pad.ts b/src/static/js/pad.ts
index d9698f5e776..641b1c057b8 100644
--- a/src/static/js/pad.ts
+++ b/src/static/js/pad.ts
@@ -69,6 +69,13 @@ const getParameters = [
       $('#clearAuthorship').hide();
     },
   },
+  {
+    name: 'fadeInactiveAuthorColors',
+    checkVal: 'false',
+    callback: (val) => {
+      if (clientVars.padOptions) clientVars.padOptions.fadeInactiveAuthorColors = false;
+    },
+  },
   {
     name: 'showControls',
     checkVal: 'true',
diff --git a/src/tests/backend/specs/settings.ts b/src/tests/backend/specs/settings.ts
index 3f836ae404a..e89531b0fdb 100644
--- a/src/tests/backend/specs/settings.ts
+++ b/src/tests/backend/specs/settings.ts
@@ -147,4 +147,15 @@ describe(__filename, function () {
       }
     });
   });
+
+  // Regression test for https://github.com/ether/etherpad/issues/7138.
+  // padOptions.fadeInactiveAuthorColors must default to true so existing
+  // installations keep the legacy fade-on-inactive behavior, and must be
+  // overridable via PAD_OPTIONS_FADE_INACTIVE_AUTHOR_COLORS in docker.
+  describe('padOptions.fadeInactiveAuthorColors (issue #7138)', function () {
+    it('defaults to true so existing deployments are unchanged', function () {
+      const settings = require('../../../node/utils/Settings');
+      assert.strictEqual(settings.padOptions.fadeInactiveAuthorColors, true);
+    });
+  });
 });
diff --git a/src/tests/frontend-new/specs/inactive_color_fade.spec.ts b/src/tests/frontend-new/specs/inactive_color_fade.spec.ts
new file mode 100644
index 00000000000..f28c7cc35e5
--- /dev/null
+++ b/src/tests/frontend-new/specs/inactive_color_fade.spec.ts
@@ -0,0 +1,24 @@
+import {expect, test} from "@playwright/test";
+import {appendQueryParams, goToNewPad} from "../helper/padHelper";
+
+test.beforeEach(async ({page}) => {
+  // clearCookies on the page's own context — `browser.newContext()`
+  // creates a separate context that the `page` fixture doesn't use,
+  // so clearing cookies on it is a no-op (Qodo review feedback).
+  await page.context().clearCookies();
+  await goToNewPad(page);
+});
+
+test.describe('fadeInactiveAuthorColors URL parameter (issue #7138)', function () {
+  test('defaults to true (legacy fade behavior preserved)', async function ({page}) {
+    const fade = await page.evaluate(() => (window as any).clientVars?.padOptions?.fadeInactiveAuthorColors);
+    expect(fade).toBe(true);
+  });
+
+  test('fadeInactiveAuthorColors=false disables the fade', async function ({page}) {
+    await appendQueryParams(page, {fadeInactiveAuthorColors: 'false'});
+    const fade = await page.evaluate(
+        () => (window as any).clientVars?.padOptions?.fadeInactiveAuthorColors);
+    expect(fade).toBe(false);
+  });
+});