Description

When attempting to create a new template from within a post or page using the Post Template Panel, the Create new template modal partially obscures itself behind the Post Template Panel. This obstruction prevents the use of crucial functionalities, such as accessing the Create button on screens with a width less than 1400px.

The problem has become more noticeable after the Post Template Panel was repositioned to the left side of the sidebar (Ref: #69134).

This issue can be easily resolved by introducing a stacking order that places the Create new template modal above the Post Template Panel.

Step-by-step reproduction instructions

1. Set the browser width to 1400px or use the iPad Air (landscape) dimensions from the responsive presets.
2. Create a new page and open it in editing mode.
3. In the page sidebar, click the button present beside the label Template.
4. Notice that the Create New Template modal is partially obscured by the Post Template Panel.
5. Confirm that the Create button is inaccessible due to this obstruction.

Screenshots, screen recording, code snippet

Environment info

• WordPres Version: Trunk
• Gutenberg Version: Trunk
• OS: macOS Sequoia

Please confirm that you have searched existing issues in the repo.

• Yes

Please confirm that you have tested with all plugins deactivated except Gutenberg.

• Yes

Please confirm which theme type you used for testing.

• Block
• Classic
• Hybrid (e.g. classic with theme.json)
• Not sure