diff --git a/pkg/services/authz/zanzana/server/server_check.go b/pkg/services/authz/zanzana/server/server_check.go
index d8c1a2ec0c9..44d4ea28c4c 100644
--- a/pkg/services/authz/zanzana/server/server_check.go
+++ b/pkg/services/authz/zanzana/server/server_check.go
@@ -12,6 +12,7 @@ import (
 	"go.opentelemetry.io/otel/codes"
 	"google.golang.org/protobuf/types/known/structpb"
 
+	dashboardV1 "github.com/grafana/grafana/apps/dashboard/pkg/apis/dashboard/v1beta1"
 	"github.com/grafana/grafana/pkg/services/authz/zanzana/common"
 )
 
@@ -148,6 +149,18 @@ func (s *Server) checkGeneric(ctx context.Context, subject, relation string, res
 		folderRelation = common.SubresourceRelation(relation)
 	)
 
+	if isFolderPermissionBasedResource(resource.GroupResource()) {
+		// Check if resource inherits permissions from the folder (like dashboards in a folder)
+		res, err := s.openfgaCheck(ctx, store, subject, relation, folderIdent, contextuals, resourceCtx)
+		if err != nil {
+			return nil, err
+		}
+
+		if res.GetAllowed() {
+			return &authzv1.CheckResponse{Allowed: res.GetAllowed()}, nil
+		}
+	}
+
 	if folderIdent != "" && common.IsSubresourceRelation(folderRelation) {
 		// Check if subject has access as a sub resource for the folder
 		res, err := s.openfgaCheck(ctx, store, subject, folderRelation, folderIdent, contextuals, resourceCtx)
@@ -196,3 +209,12 @@ func (s *Server) openfgaCheck(ctx context.Context, store *storeInfo, subject, re
 
 	return res, nil
 }
+
+var folderPermissionBasedResources = map[string]bool{
+	// dashboard.grafana.app/dashboards
+	common.FormatGroupResource(dashboardV1.DashboardResourceInfo.GroupResource().Group, dashboardV1.DashboardResourceInfo.GroupResource().Resource, ""): true,
+}
+
+func isFolderPermissionBasedResource(resource string) bool {
+	return folderPermissionBasedResources[resource]
+}
diff --git a/pkg/services/authz/zanzana/server/server_check_test.go b/pkg/services/authz/zanzana/server/server_check_test.go
index 528eb483187..bd22a4d6d62 100644
--- a/pkg/services/authz/zanzana/server/server_check_test.go
+++ b/pkg/services/authz/zanzana/server/server_check_test.go
@@ -184,4 +184,36 @@ func testCheck(t *testing.T, server *Server) {
 		require.NoError(t, err)
 		assert.True(t, res.GetAllowed())
 	})
+
+	t.Run("user:17 should be able to view dashboards in folder 4 and all subfolders", func(t *testing.T) {
+		// Check for folders
+		res, err := server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, folderGroup, folderResource, "", "", "4"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed())
+
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, folderGroup, folderResource, "", "", "5"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed())
+
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, folderGroup, folderResource, "", "", "6"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed())
+
+		// Check for dashboards
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, dashboardGroup, dashboardResource, "", "4", "1"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed(), "user should be able to view dashboards in folder 4")
+
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, dashboardGroup, dashboardResource, "", "5", "1"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed(), "user should be able to view dashboards in folder 5")
+
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, dashboardGroup, dashboardResource, "", "6", "1"))
+		require.NoError(t, err)
+		assert.True(t, res.GetAllowed(), "user should be able to view dashboards in folder 6")
+
+		res, err = server.Check(newContextWithNamespace(), newReq("user:17", utils.VerbGet, "foo.grafana.app", "bar", "", "4", "1"))
+		require.NoError(t, err)
+		assert.False(t, res.GetAllowed(), "user should not be able to view other resources in folder 4")
+	})
 }
diff --git a/pkg/services/authz/zanzana/server/server_list.go b/pkg/services/authz/zanzana/server/server_list.go
index 46f7a9167ad..216e8df933e 100644
--- a/pkg/services/authz/zanzana/server/server_list.go
+++ b/pkg/services/authz/zanzana/server/server_list.go
@@ -153,6 +153,25 @@ func (s *Server) listGeneric(ctx context.Context, subject, relation string, reso
 		folders = res.GetObjects()
 	}
 
+	// Special case for folder permission based resources (like dashboards in a folder)
+	if isFolderPermissionBasedResource(resource.GroupResource()) {
+		res, err := s.listObjects(ctx, &openfgav1.ListObjectsRequest{
+			StoreId:              store.ID,
+			AuthorizationModelId: store.ModelID,
+			Type:                 common.TypeFolder,
+			Relation:             relation,
+			User:                 subject,
+			Context:              resourceCtx,
+			ContextualTuples:     contextuals,
+		})
+
+		if err != nil {
+			return nil, err
+		}
+
+		folders = append(folders, res.GetObjects()...)
+	}
+
 	// 2. List all resource directly assigned to subject
 	var objects []string
 	if resource.IsValidRelation(relation) {
diff --git a/pkg/services/authz/zanzana/server/server_list_test.go b/pkg/services/authz/zanzana/server/server_list_test.go
index 2979e4118d4..d105e9827d3 100644
--- a/pkg/services/authz/zanzana/server/server_list_test.go
+++ b/pkg/services/authz/zanzana/server/server_list_test.go
@@ -155,4 +155,15 @@ func testList(t *testing.T, server *Server) {
 
 		assert.Contains(t, res.GetItems(), "1")
 	})
+
+	t.Run("user:17 should be able to list all dashboards in folder 4 and all subfolders", func(t *testing.T) {
+		res, err := server.List(newContextWithNamespace(), newList("user:17", dashboardGroup, dashboardResource, ""))
+		require.NoError(t, err)
+		assert.Len(t, res.GetItems(), 0)
+		assert.Len(t, res.GetFolders(), 3)
+
+		assert.Contains(t, res.GetFolders(), "4")
+		assert.Contains(t, res.GetFolders(), "5")
+		assert.Contains(t, res.GetFolders(), "6")
+	})
 }
diff --git a/pkg/services/authz/zanzana/server/server_test.go b/pkg/services/authz/zanzana/server/server_test.go
index 14e8f629729..63cf8ee2a50 100644
--- a/pkg/services/authz/zanzana/server/server_test.go
+++ b/pkg/services/authz/zanzana/server/server_test.go
@@ -57,6 +57,7 @@ func setup(t *testing.T, srv *Server) *Server {
 		common.NewFolderResourceTuple("user:5", common.RelationSetEdit, dashboardGroup, dashboardResource, "", "1"),
 		common.NewFolderTuple("user:6", common.RelationGet, "1"),
 		common.NewGroupResourceTuple("user:7", common.RelationGet, folderGroup, folderResource, ""),
+		// folder-4 -> folder-5 -> folder-6
 		common.NewFolderParentTuple("5", "4"),
 		common.NewFolderParentTuple("6", "5"),
 		common.NewFolderResourceTuple("user:8", common.RelationSetEdit, dashboardGroup, dashboardResource, "", "5"),
@@ -69,6 +70,7 @@ func setup(t *testing.T, srv *Server) *Server {
 		common.NewTypedResourceTuple("user:14", common.RelationGet, common.TypeTeam, teamGroup, teamResource, statusSubresource, "1"),
 		common.NewTypedResourceTuple("user:15", common.RelationGet, common.TypeUser, userGroup, userResource, statusSubresource, "1"),
 		common.NewTypedResourceTuple("user:16", common.RelationGet, common.TypeServiceAccount, serviceAccountGroup, serviceAccountResource, statusSubresource, "1"),
+		common.NewFolderTuple("user:17", common.RelationSetView, "4"),
 	}
 
 	return setupOpenFGADatabase(t, srv, tuples)