diff --git a/docs/ai-generated/tasks/PR199-sitemanage-failing-tests/task.md b/docs/ai-generated/tasks/PR199-sitemanage-failing-tests/task.md
new file mode 100644
index 0000000000..dc093ee9b6
--- /dev/null
+++ b/docs/ai-generated/tasks/PR199-sitemanage-failing-tests/task.md
@@ -0,0 +1,40 @@
+# Issue 199: sitemanage — fix 3 failing unit tests
+
+## Scope
+
+Two production code changes in `projects/sitemanage` plus one test isolation
+fix in `projects/sitemanage/src/test`. No cross-module impact.
+
+## Files changed
+
+- `projects/sitemanage/src/main/java/com/percussion/pathmanagement/service/impl/PSDispatchingPathService.java`
+  - `PathNormalizer.normalizePath`: replace `notNull(path, "Path cannot be null")` with an explicit
+    `if (path == null) throw new IllegalArgumentException("Path cannot be null");` so the
+    implementation honours the `IPSPathNormalizer.normalizePath(...) throws IllegalArgumentException`
+    contract and the `shouldFailOnNormalizeNullPath` test expectation.
+  - `PathMatch.toFullPath`: same fix — replace `notNull(relativePath, ...)` with an explicit
+    `IllegalArgumentException` throw to satisfy `shouldFailToReturnProperFullPathIfGivenRelativePathIsNull`.
+
+- `projects/sitemanage/src/test/java/com/percussion/itemmanagement/service/impl/PSItemServiceTest.java`
+  - Add `@Rule TemporaryFolder temporaryFolder`.
+  - In `setUp`: `PathUtils.clearRxDir()` then `PathUtils.setThreadOnlyRxDir(temporaryFolder.getRoot())`.
+  - In `tearDown`: `PathUtils.unsetThreadOnlyRxDir(temporaryFolder.getRoot())` then
+    `PathUtils.clearRxDir()`.
+  - This is the same isolation pattern already used by
+    `projects/sitemanage/src/test/java/com/percussion/share/extension/PSEnsureMyFacesSecretTest.java`
+    and is needed because earlier test classes in the surefire JVM set `rxdeploydir` to a
+    JUnit `TemporaryFolder` root that is deleted after their class finishes, leaving a stale,
+    nonexistent `rxdeploydir` for any later class that constructs an `Rx`-aware service.
+
+## Verification
+
+`./mvn-env.sh test -pl projects/sitemanage` after the change:
+
+```
+[INFO] Tests run: 314, Failures: 0, Errors: 0, Skipped: 17
+[INFO] BUILD SUCCESS
+```
+
+The 17 skipped tests are the pre-existing `@Ignore`d tests, unchanged from the prior baseline.
+
+`./mvn-env.sh spotless:check -pl projects/sitemanage` is clean.
diff --git a/projects/sitemanage/src/main/java/com/percussion/pathmanagement/service/impl/PSDispatchingPathService.java b/projects/sitemanage/src/main/java/com/percussion/pathmanagement/service/impl/PSDispatchingPathService.java
index d4873016e1..66fa2e0074 100644
--- a/projects/sitemanage/src/main/java/com/percussion/pathmanagement/service/impl/PSDispatchingPathService.java
+++ b/projects/sitemanage/src/main/java/com/percussion/pathmanagement/service/impl/PSDispatchingPathService.java
@@ -757,7 +757,9 @@ public PathMatch(
        * @return never <code>null</code>.
        */
       public String toFullPath(String relativePath) {
-        notNull(relativePath, "relative path cannot be null");
+        if (relativePath == null) {
+          throw new IllegalArgumentException("relative path cannot be null");
+        }
         relativePath = StringUtils.removeStart(relativePath, "/").trim();
         return pathPrefix + relativePath;
       }
@@ -1142,7 +1144,9 @@ public static class PathNormalizer implements IPSPathNormalizer {
 
     /** {@inheritDoc} */
     public String normalizePath(String path) {
-      notNull(path, "Path cannot be null");
+      if (path == null) {
+        throw new IllegalArgumentException("Path cannot be null");
+      }
       String rvalue = path.trim();
       if (!StringUtils.endsWith(rvalue, "/")) {
         rvalue = rvalue + "/";
diff --git a/projects/sitemanage/src/test/java/com/percussion/itemmanagement/service/impl/PSItemServiceTest.java b/projects/sitemanage/src/test/java/com/percussion/itemmanagement/service/impl/PSItemServiceTest.java
index 1a80226f6c..f281a3de42 100644
--- a/projects/sitemanage/src/test/java/com/percussion/itemmanagement/service/impl/PSItemServiceTest.java
+++ b/projects/sitemanage/src/test/java/com/percussion/itemmanagement/service/impl/PSItemServiceTest.java
@@ -38,6 +38,7 @@
 import com.percussion.share.dao.IPSFolderHelper;
 import com.percussion.share.data.PSItemProperties;
 import com.percussion.share.service.IPSIdMapper;
+import com.percussion.utils.io.PathUtils;
 import com.percussion.utils.request.PSRequestInfo;
 import com.percussion.utils.request.PSRequestInfoBase;
 import com.percussion.webservices.content.IPSContentWs;
@@ -49,10 +50,14 @@
 import org.jmock.integration.junit4.JUnit4Mockery;
 import org.junit.After;
 import org.junit.Before;
+import org.junit.Rule;
 import org.junit.Test;
+import org.junit.rules.TemporaryFolder;
 
 public class PSItemServiceTest {
 
+  @Rule public TemporaryFolder temporaryFolder = new TemporaryFolder();
+
   private Mockery context = new JUnit4Mockery();
 
   private PSItemService service;
@@ -75,6 +80,15 @@ public class PSItemServiceTest {
 
   @Before
   public void setUp() throws Exception {
+    // Point PathUtils.getRxDir() at a fresh temp folder so the PSItemService constructor
+    // (which reads the Rx install directory for PSEncryptor) does not see a stale or missing
+    // rxdeploydir left behind by a previous test class running in the same surefire JVM.
+    // clearRxDir() must run before setThreadOnlyRxDir() so the static cache is dropped first;
+    // otherwise the prior RX_DIR value would short-circuit getRxDir() and ignore the new
+    // thread-local value.
+    PathUtils.clearRxDir();
+    PathUtils.setThreadOnlyRxDir(temporaryFolder.getRoot());
+
     idMapper = context.mock(IPSIdMapper.class);
     systemService = context.mock(IPSSystemService.class);
     workflowHelper = context.mock(IPSWorkflowHelper.class);
@@ -124,6 +138,8 @@ public void setUp() throws Exception {
   @After
   public void tearDown() throws Exception {
     PSRequestInfoBase.resetRequestInfo();
+    PathUtils.unsetThreadOnlyRxDir(temporaryFolder.getRoot());
+    PathUtils.clearRxDir();
   }
 
   @Test