diff --git a/tests/test_rtvi_processor.py b/tests/test_rtvi_processor.py
new file mode 100644
index 000000000..003619f40
--- /dev/null
+++ b/tests/test_rtvi_processor.py
@@ -0,0 +1,113 @@
+#
+# Copyright (c) 2024-2026, Daily
+#
+# SPDX-License-Identifier: BSD 2-Clause License
+#
+
+import unittest
+from unittest.mock import AsyncMock, patch
+
+import pipecat.processors.frameworks.rtvi.models as RTVI
+from pipecat.processors.frameworks.rtvi.processor import RTVIProcessor
+
+
+class TestRTVIClientReadyVersionHandling(unittest.IsolatedAsyncioTestCase):
+    def setUp(self):
+        self.processor = RTVIProcessor()
+
+    async def asyncTearDown(self):
+        await self.processor.cleanup()
+
+    async def _call_handle_client_ready(self, data):
+        """Helper to call _handle_client_ready with a mocked _send_error_response."""
+        self.processor._send_error_response = AsyncMock()
+        self.processor._input_transport = None
+        self.processor.set_client_ready = AsyncMock()
+        await self.processor._handle_client_ready("req-1", data)
+
+    async def test_valid_version_1_0_0_sends_no_error(self):
+        data = RTVI.ClientReadyData(
+            version="1.0.0",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor._send_error_response.assert_not_called()
+        self.assertEqual(self.processor._client_version, [1, 0, 0])
+
+    async def test_valid_version_1_2_0_sends_no_error(self):
+        data = RTVI.ClientReadyData(
+            version="1.2.0",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor._send_error_response.assert_not_called()
+        self.assertEqual(self.processor._client_version, [1, 2, 0])
+
+    async def test_version_below_1_0_0_sends_error(self):
+        data = RTVI.ClientReadyData(
+            version="0.3.0",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor._send_error_response.assert_called_once()
+        error_msg = self.processor._send_error_response.call_args[0][1]
+        self.assertIn("0.3.0", error_msg)
+        self.assertIn("not compatible", error_msg)
+
+    async def test_version_above_protocol_major_sends_error(self):
+        data = RTVI.ClientReadyData(
+            version="2.3.1",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor._send_error_response.assert_called_once()
+        error_msg = self.processor._send_error_response.call_args[0][1]
+        self.assertIn("2.3.1", error_msg)
+        self.assertIn("not compatible", error_msg)
+
+    async def test_no_version_sends_error(self):
+        """Client sends no data (data=None)."""
+        await self._call_handle_client_ready(None)
+        self.processor._send_error_response.assert_called_once()
+        error_msg = self.processor._send_error_response.call_args[0][1]
+        self.assertIn("unknown", error_msg)
+
+    async def test_invalid_version_format_sends_error(self):
+        data = RTVI.ClientReadyData(
+            version="not-a-version",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor._send_error_response.assert_called_once()
+        error_msg = self.processor._send_error_response.call_args[0][1]
+        self.assertIn("Invalid client version format", error_msg)
+        self.assertIn("not-a-version", error_msg)
+
+    async def test_error_message_includes_compatibility_warning(self):
+        """All version errors should append the compatibility warning."""
+        for version in ["0.9.9", "2.0.0"]:
+            with self.subTest(version=version):
+                data = RTVI.ClientReadyData(
+                    version=version,
+                    about=RTVI.AboutClientData(library="test-client"),
+                )
+                await self._call_handle_client_ready(data)
+                error_msg = self.processor._send_error_response.call_args[0][1]
+                self.assertIn("Compatibility issues may occur", error_msg)
+
+    async def test_client_ready_is_set_even_on_version_error(self):
+        """Client-ready state should be set regardless of version errors."""
+        data = RTVI.ClientReadyData(
+            version="0.3.0",
+            about=RTVI.AboutClientData(library="test-client"),
+        )
+        await self._call_handle_client_ready(data)
+        self.processor.set_client_ready.assert_called_once()
+
+    async def test_client_ready_is_set_when_no_data(self):
+        await self._call_handle_client_ready(None)
+        self.processor.set_client_ready.assert_called_once()
+
+
+if __name__ == "__main__":
+    unittest.main()