Generics don't expand alias types/don't work with other parameters

How are you using the lua-language-server?

Visual Studio Code Extension (sumneko.lua)

Which OS are you using?

Windows

What is the issue affecting?

Type Checking

Expected Behaviour

With a code sample like this:

---@alias TestFunction fun(abc: string): integer

---@generic T
---@param name `T`
---@param func T
local function testSecond(name, func) end

testSecond("TestFunction", function(abc) end)

I would expect abc to have a type of string, and the function to be type checked and require a return.

Actual Behaviour

Instead, abc has the any type and the function requires no return.
I further tested with a different code sample:

---@alias TestFunction fun(abc: string): integer

---@generic T
---@param name `T`
---@return T
local function testSecond(name, func) return function(abc) end end

local cool = testSecond("TestFunction", function(abc) end)
cool()

This shows no warnings and does not require me to pass any arguments to cool(), which is incorrect. Hovering over cool provides a type of 'TestFunction' and does not show the full expanded type of the alias, unlike other variables with a type of an alias. That rings the same with this code sample I also tested:

---@alias TestFunction fun(abc: string): integer

---@generic T
---@param name `T`
---@param func fun(cool: T)
local function testSecond(name, func) end

testSecond("TestFunction", function(abc) end)

where hovering over abc provides me with a 'TestFunction' unexpanded type.
However, correct behavior is seen with the following code sample using the base string type;

---@alias TestFunction fun(abc: string): integer

---@generic T
---@param name `T`
---@param func fun(cool: T)
---@return T
local function testSecond(name, func) end

local cool = testSecond("string", function(abc) abc.cool = "hi" end)
local testfind = cool:find("test")

Autocomplete is provided for :find() and abc.cool = "hi" throws the correct warning for field injection.
And most confusing of all, this code sample behaves in line with expected behavior, and the alias is fully expanded.

---@alias TestFunction fun(abc: string): integer

---@generic T
---@param name `T`
---@param func fun(cool: T)
---@return T
local function testSecond(name, func) end

local cool = testSecond("TestFunction",
    ---@param abc TestFunction
    function(abc)
        abc()
    end
)

This also doesn't work, which I kind of expected. (no warnings)

Reproduction steps

1. Paste code into project with Lua LSP on, see issue

Additional Notes

No response

Log File

No response

Start by reproducing the examples in the Visual Studio Code Extension with LuaLS, focusing on type checking for generic parameters and aliased function types. Compare the cases using TestFunction with those using the base string type. Done means aliases expand consistently, callback parameters receive the expected types, and invalid calls or missing returns produce warnings.