diff --git a/sdk/ml/azure-ai-ml/CHANGELOG.md b/sdk/ml/azure-ai-ml/CHANGELOG.md
index b30945c53062..f9ade068ade2 100644
--- a/sdk/ml/azure-ai-ml/CHANGELOG.md
+++ b/sdk/ml/azure-ai-ml/CHANGELOG.md
@@ -7,6 +7,7 @@
 ### Bugs Fixed
 - Fixed `MLClient.jobs.create_or_update`, `archive`, and `restore` failing for previously-fetched jobs across all job types by routing metadata-only edits through the RunHistory PATCH endpoint.
 - Fixed `DeploymentTemplate.creation_context` always being `None` when retrieved via `get()` or `list()`. The created/modified timestamps and identity returned by the service (as `createdTime` / `modifiedTime` / `createdBy`) are now populated on `creation_context`, making `DeploymentTemplate` consistent with `Model` and `Environment`.
+- Fixed `deployment_templates.list(name=...)` raising `AttributeError: 'str' object has no attribute 'request_timeout'`. In the list response, `requestSettings` / `livenessProbe` / `readinessProbe` arrive as stringified dicts nested under `properties`; these are now parsed before conversion, giving `list()` parity with `models.list()` / `environments.list()`.
 
 ### Other Changes
 
diff --git a/sdk/ml/azure-ai-ml/azure/ai/ml/entities/_deployment/deployment_template.py b/sdk/ml/azure-ai-ml/azure/ai/ml/entities/_deployment/deployment_template.py
index 20b9d980fe82..87089aca1143 100644
--- a/sdk/ml/azure-ai-ml/azure/ai/ml/entities/_deployment/deployment_template.py
+++ b/sdk/ml/azure-ai-ml/azure/ai/ml/entities/_deployment/deployment_template.py
@@ -11,6 +11,12 @@
 from pathlib import Path
 from typing import IO, Any, AnyStr, Dict, List, Optional, Union
 
+from azure.ai.ml._restclient.azure_ai_assets_v2024_04_01.azureaiassetsv20240401.models import (
+    OnlineRequestSettings as RestOnlineRequestSettings,
+)
+from azure.ai.ml._restclient.azure_ai_assets_v2024_04_01.azureaiassetsv20240401.models import (
+    ProbeSettings as RestProbeSettings,
+)
 from azure.ai.ml._utils._experimental import experimental
 from azure.ai.ml.entities._assets import Environment
 from azure.ai.ml.entities._deployment.accelerator_map import AcceleratorMap
@@ -85,6 +91,28 @@ def _extract_created_by(value: Any) -> Any:
     return _read_wire_value(value, "userName", "user_name", "userObjectId", "user_object_id")
 
 
+def _coerce_rest_settings(value: Any, rest_cls: type) -> Any:
+    """Coerce a settings value into ``rest_cls`` so attribute-based converters work.
+
+    In the ``list()`` response, settings such as ``requestSettings`` / ``livenessProbe`` /
+    ``readinessProbe`` arrive as stringified dicts nested under ``properties`` (whereas
+    ``get()`` returns typed objects at the top level). Parse the string and wrap the
+    resulting dict into the typed REST model so ``_from_rest_object`` works for both shapes.
+    """
+    import ast
+
+    if value is None or isinstance(value, rest_cls):
+        return value
+    if isinstance(value, str):
+        try:
+            value = ast.literal_eval(value)
+        except (ValueError, SyntaxError):
+            return None
+    if isinstance(value, dict):
+        return rest_cls(value)
+    return value
+
+
 @experimental
 class DeploymentTemplate(Resource, RestTranslatableMixin):  # pylint: disable=too-many-instance-attributes
     """DeploymentTemplate entity for Azure ML deployments.
@@ -530,6 +558,13 @@ def get_value(source, key, default=None):
             except (ValueError, SyntaxError):
                 allowed_environment_variable_overrides = None
 
+        # In the list() response shape these settings arrive as stringified dicts nested under
+        # ``properties`` (get() returns typed objects at the top level instead). Coerce them into
+        # the typed REST models so the attribute-based converters below work for both shapes.
+        request_settings = _coerce_rest_settings(request_settings, RestOnlineRequestSettings)
+        liveness_probe = _coerce_rest_settings(liveness_probe, RestProbeSettings)
+        readiness_probe = _coerce_rest_settings(readiness_probe, RestProbeSettings)
+
         # Convert request_settings to OnlineRequestSettings object using the built-in conversion method
         request_settings_obj = OnlineRequestSettings._from_rest_object(request_settings) if request_settings else None
 
diff --git a/sdk/ml/azure-ai-ml/cspell.json b/sdk/ml/azure-ai-ml/cspell.json
index d1566bbf2e25..d5ddd5fe87a9 100644
--- a/sdk/ml/azure-ai-ml/cspell.json
+++ b/sdk/ml/azure-ai-ml/cspell.json
@@ -8,6 +8,7 @@
     "aadtoken",
     "alds",
     "arimax",
+    "azureaiassetsv",
     "elts",
     "entra",
     "expirable",
diff --git a/sdk/ml/azure-ai-ml/tests/deployment_template/unittests/test_deployment_template.py b/sdk/ml/azure-ai-ml/tests/deployment_template/unittests/test_deployment_template.py
index c5c0fd88134a..577ee654f407 100644
--- a/sdk/ml/azure-ai-ml/tests/deployment_template/unittests/test_deployment_template.py
+++ b/sdk/ml/azure-ai-ml/tests/deployment_template/unittests/test_deployment_template.py
@@ -384,3 +384,64 @@ def test_deployment_template_from_rest_object_creation_context_none_when_absent(
         template = DeploymentTemplate._from_rest_object(mock_rest)
 
         assert template.creation_context is None
+
+    def test_deployment_template_from_rest_object_list_shape_stringified_settings(self):
+        """Regression test for bug #5402672.
+
+        In the list() response, settings such as requestSettings / livenessProbe /
+        readinessProbe arrive as stringified dicts nested under ``properties`` (rather
+        than as typed objects at the top level like get() returns). _from_rest_object
+        must parse them instead of raising
+        ``AttributeError: 'str' object has no attribute 'request_timeout'``.
+        """
+        mock_rest = Mock(spec=[])
+        mock_rest.name = "list-shape-template"
+        mock_rest.id = None
+        # Top-level typed fields are None in the list() shape.
+        mock_rest.request_settings = None
+        mock_rest.liveness_probe = None
+        mock_rest.readiness_probe = None
+        # The real data is nested (and stringified) under properties.
+        mock_rest.properties = {
+            "name": "list-shape-template",
+            "version": "5",
+            "requestSettings": "{'requestTimeout': 'PT1M30S', 'maxConcurrentRequestsPerInstance': 32}",
+            "livenessProbe": "{'initialDelay': 'PT5M', 'period': 'PT10S', 'timeout': 'PT10S', "
+            "'failureThreshold': 30, 'successThreshold': 1}",
+            "readinessProbe": "{'initialDelay': 'PT5M', 'period': 'PT10S', 'timeout': 'PT10S', "
+            "'failureThreshold': 30, 'successThreshold': 1}",
+        }
+
+        # Must not raise, and must parse the stringified settings into real objects.
+        template = DeploymentTemplate._from_rest_object(mock_rest)
+
+        assert template.request_settings is not None
+        assert template.request_settings.request_timeout_ms == 90000
+        assert template.request_settings.max_concurrent_requests_per_instance == 32
+        assert template.liveness_probe is not None
+        assert template.liveness_probe.failure_threshold == 30
+        assert template.readiness_probe is not None
+        assert template.readiness_probe.failure_threshold == 30
+
+    def test_deployment_template_from_rest_object_get_shape_typed_settings(self):
+        """Parity check: the get() shape (typed request_settings at top level) still works."""
+        from azure.ai.ml._restclient.azure_ai_assets_v2024_04_01.azureaiassetsv20240401.models import (
+            OnlineRequestSettings as RestOnlineRequestSettings,
+        )
+
+        mock_rest = Mock(spec=[])
+        mock_rest.name = "get-shape-template"
+        mock_rest.id = None
+        mock_rest.properties = None
+        # get() returns the typed REST settings object (wire keys, snake attrs) at the top level.
+        mock_rest.request_settings = RestOnlineRequestSettings(
+            {"requestTimeout": "PT1M30S", "maxConcurrentRequestsPerInstance": 16}
+        )
+        mock_rest.liveness_probe = None
+        mock_rest.readiness_probe = None
+
+        template = DeploymentTemplate._from_rest_object(mock_rest)
+
+        assert template.request_settings is not None
+        assert template.request_settings.request_timeout_ms == 90000
+        assert template.request_settings.max_concurrent_requests_per_instance == 16