In edit, paragraphs overflow their container

This issue is reproducible in

Drupal 10.1.2

Steps to reproduce

1. Set Claro as admin theme
2. Add content which uses Nested Paragraphs
3. Click show row weights, you can see container overflowing
4. This issue might be related to https://www.drupal.org/project/paragraphs/issues/3112245 →

Seems related to 🐛 CKEditor 5 toolbar items of multi-value field (typically Paragraphs) overflowing on narrow viewports and overlapping with node form's sidebar on wide viewports Active

It's not related to CKEditor. So removing the CKEditor 5 issue from the related issue.

I can confirm, I am facing this issue as well with Paragraphs (8.x-1.17) on a Drupal 10 site, reported by the CMS team. See attached below;

Added related issue