diff --git a/Tools/LambdaTestTool-v2/src/Amazon.Lambda.TestTool/Processes/ApiGatewayEmulatorProcess.cs b/Tools/LambdaTestTool-v2/src/Amazon.Lambda.TestTool/Processes/ApiGatewayEmulatorProcess.cs
index 8f654ae55..70a02d7af 100644
--- a/Tools/LambdaTestTool-v2/src/Amazon.Lambda.TestTool/Processes/ApiGatewayEmulatorProcess.cs
+++ b/Tools/LambdaTestTool-v2/src/Amazon.Lambda.TestTool/Processes/ApiGatewayEmulatorProcess.cs
@@ -96,7 +96,7 @@ public static ApiGatewayEmulatorProcess Startup(RunCommandSettings settings, Can
                 PayloadStream = lambdaRequestStream
             };
 
-            using var lambdaClient = CreateLambdaServiceClient(routeConfig);
+            using var lambdaClient = CreateLambdaServiceClient(routeConfig, settings);
             var response =  await lambdaClient.InvokeAsync(invokeRequest);
 
             if (response.FunctionError != null)
@@ -111,13 +111,11 @@ public static ApiGatewayEmulatorProcess Startup(RunCommandSettings settings, Can
             {
                 var lambdaResponse = response.ToApiGatewayHttpApiV2ProxyResponse();
                 await lambdaResponse.ToHttpResponseAsync(context);
-                return;
             }
             else
             {
                 var lambdaResponse = response.ToApiGatewayProxyResponse(settings.ApiGatewayEmulatorMode.Value);
                 await lambdaResponse.ToHttpResponseAsync(context, settings.ApiGatewayEmulatorMode.Value);
-                return;
             }
         });
 
@@ -131,12 +129,27 @@ public static ApiGatewayEmulatorProcess Startup(RunCommandSettings settings, Can
         };
     }
 
-    private static IAmazonLambda CreateLambdaServiceClient(ApiGatewayRouteConfig routeConfig)
+    /// <summary>
+    /// Creates an Amazon Lambda service client with the specified configuration.
+    /// </summary>
+    /// <param name="routeConfig">The API Gateway route configuration containing the endpoint information.
+    /// If the endpoint is specified in routeConfig, it will be used as the service URL.</param>
+    /// <param name="settings">The run command settings containing host and port information.
+    /// If routeConfig endpoint is null, the service URL will be constructed using settings.Host and settings.Port.</param>
+    /// <returns>An instance of IAmazonLambda configured with the specified endpoint and credentials.</returns>
+    /// <remarks>
+    /// The function uses hard-coded AWS credentials ("accessKey", "secretKey") for authentication since they are not actually being used.
+    /// The service URL is determined by either:
+    /// - Using routeConfig.Endpoint if it's not null
+    /// - Combining settings.Host and settings.Port if routeConfig.Endpoint is null
+    /// </remarks>
+    private static IAmazonLambda CreateLambdaServiceClient(ApiGatewayRouteConfig routeConfig, RunCommandSettings settings)
     {
-        // TODO: Handle routeConfig.Endpoint to null and use the settings versions of runtime.
+        var endpoint = routeConfig.Endpoint ?? $"http://{settings.LambdaEmulatorHost}:{settings.LambdaEmulatorPort}";
+
         var lambdaConfig = new AmazonLambdaConfig
         {
-            ServiceURL = routeConfig.Endpoint
+            ServiceURL = endpoint
         };
 
         return new AmazonLambdaClient(new Amazon.Runtime.BasicAWSCredentials("accessKey", "secretKey"), lambdaConfig);
diff --git a/Tools/LambdaTestTool-v2/tests/Amazon.Lambda.TestTool.IntegrationTests/ApiGatewayEmulatorProcessTests.cs b/Tools/LambdaTestTool-v2/tests/Amazon.Lambda.TestTool.IntegrationTests/ApiGatewayEmulatorProcessTests.cs
index eb5b693a1..96415e630 100644
--- a/Tools/LambdaTestTool-v2/tests/Amazon.Lambda.TestTool.IntegrationTests/ApiGatewayEmulatorProcessTests.cs
+++ b/Tools/LambdaTestTool-v2/tests/Amazon.Lambda.TestTool.IntegrationTests/ApiGatewayEmulatorProcessTests.cs
@@ -61,7 +61,6 @@ public async Task TestLambdaToUpperV2()
         finally
         {
             await cancellationTokenSource.CancelAsync();
-            await CleanupProcesses();
         }
     }
 
@@ -97,7 +96,6 @@ public async Task TestLambdaToUpperRest()
         finally
         {
             await cancellationTokenSource.CancelAsync();
-            await CleanupProcesses();
         }
     }
 
@@ -133,7 +131,6 @@ public async Task TestLambdaToUpperV1()
         finally
         {
             await cancellationTokenSource.CancelAsync();
-            await CleanupProcesses();
         }
     }
 
@@ -175,7 +172,6 @@ public async Task TestLambdaBinaryResponse()
         finally
         {
             await cancellationTokenSource.CancelAsync();
-            await CleanupProcesses();
         }
     }
 
@@ -211,7 +207,39 @@ public async Task TestLambdaReturnString()
         finally
         {
             await cancellationTokenSource.CancelAsync();
-            await CleanupProcesses();
+        }
+    }
+
+    [Fact]
+    public async Task TestLambdaWithNullEndpoint()
+    {
+        var testProjectDir = Path.GetFullPath("../../../../../testapps");
+        var config = new TestConfig
+        {
+            TestToolPath = Path.GetFullPath(Path.Combine(testProjectDir, "../src/Amazon.Lambda.TestTool")),
+            LambdaPath = Path.GetFullPath(Path.Combine(testProjectDir, "LambdaTestFunctionV2")),
+            FunctionName = "LambdaTestFunctionV2",
+            RouteName = "testfunction",
+            HttpMethod = "Post"
+        };
+
+        var cancellationTokenSource = new CancellationTokenSource();
+
+        try
+        {
+            StartTestToolProcessWithNullEndpoint(ApiGatewayEmulatorMode.HttpV2, Constants.DefaultApiGatewayEmulatorPort, config, cancellationTokenSource);
+            await WaitForGatewayHealthCheck(Constants.DefaultApiGatewayEmulatorPort);
+            await StartLambdaProcess(config, Constants.DefaultLambdaEmulatorPort);
+
+            var response = await TestEndpoint(config, Constants.DefaultApiGatewayEmulatorPort );
+            var responseContent = await response.Content.ReadAsStringAsync();
+
+            Assert.Equal(HttpStatusCode.OK, response.StatusCode);
+            Assert.Equal("HELLO WORLD", responseContent);
+        }
+        finally
+        {
+            await cancellationTokenSource.CancelAsync();
         }
     }
 
@@ -236,6 +264,24 @@ private async Task<HttpResponseMessage> TestEndpoint(TestConfig config, int apiG
         };
     }
 
+    private void StartTestToolProcessWithNullEndpoint(ApiGatewayEmulatorMode apiGatewayMode, int apiGatewayPort, TestConfig config, CancellationTokenSource cancellationTokenSource)
+    {
+        Environment.SetEnvironmentVariable("ASPNETCORE_ENVIRONMENT", "Development");
+        Environment.SetEnvironmentVariable("APIGATEWAY_EMULATOR_ROUTE_CONFIG", $@"{{
+        ""LambdaResourceName"": ""{config.RouteName}"",
+        ""HttpMethod"": ""{config.HttpMethod}"",
+        ""Path"": ""/{config.RouteName}""
+    }}");
+
+        cancellationTokenSource.CancelAfter(5000);
+        var settings = new RunCommandSettings { NoLaunchWindow = true, ApiGatewayEmulatorMode = apiGatewayMode, ApiGatewayEmulatorPort = apiGatewayPort};
+
+        var command = new RunCommand(_mockInteractiveService.Object, _mockEnvironmentManager.Object);
+        var context = new CommandContext(new List<string>(), _mockRemainingArgs.Object, "run", null);
+
+        _ = command.ExecuteAsync(context, settings, cancellationTokenSource);
+    }
+
     private void StartTestToolProcess(ApiGatewayEmulatorMode apiGatewayMode, TestConfig config, int lambdaPort, int apiGatewayPort, CancellationTokenSource cancellationTokenSource)
     {
         Environment.SetEnvironmentVariable("ASPNETCORE_ENVIRONMENT", "Development");