diff --git a/.actions/requirements.txt b/.actions/requirements.txt
index 44548c1e0a370..0742eeb8dc353 100644
--- a/.actions/requirements.txt
+++ b/.actions/requirements.txt
@@ -1,3 +1,3 @@
-jsonargparse >=4.16.0, <=4.35.0
+jsonargparse
 requests
 packaging
diff --git a/.azure/gpu-benchmarks.yml b/.azure/gpu-benchmarks.yml
index b77dbfc4f792a..d01594ea83bdb 100644
--- a/.azure/gpu-benchmarks.yml
+++ b/.azure/gpu-benchmarks.yml
@@ -76,8 +76,13 @@ jobs:
         displayName: "Image info & NVIDIA"
 
       - bash: |
-          pip install -e .[dev] --find-links ${TORCH_URL}
-          pip install setuptools==75.6.0 jsonargparse==4.35.0
+          pip install -U -q -r .actions/requirements.txt
+          python .actions/assistant.py copy_replace_imports --source_dir="./tests" \
+            --source_import="lightning.fabric,lightning.pytorch" \
+            --target_import="lightning_fabric,pytorch_lightning"
+        displayName: "Adjust tests"
+
+      - bash: pip install -e .[dev] --find-links ${TORCH_URL}
         env:
           FREEZE_REQUIREMENTS: "1"
         displayName: "Install package"
@@ -88,13 +93,6 @@ jobs:
           python -c "import torch ; mgpu = torch.cuda.device_count() ; assert mgpu == 2, f'GPU: {mgpu}'"
         displayName: "Env details"
 
-      - bash: |
-          pip install -q -r .actions/requirements.txt
-          python .actions/assistant.py copy_replace_imports --source_dir="./tests" \
-            --source_import="lightning.fabric,lightning.pytorch" \
-            --target_import="lightning_fabric,pytorch_lightning"
-        displayName: "Adjust tests"
-
       - bash: python -m pytest parity_$(PACKAGE_NAME) -v --durations=0
         env:
           PL_RUNNING_BENCHMARKS: "1"
diff --git a/.azure/gpu-tests-fabric.yml b/.azure/gpu-tests-fabric.yml
index 583451fa0cdfa..5fc2b5a27cd92 100644
--- a/.azure/gpu-tests-fabric.yml
+++ b/.azure/gpu-tests-fabric.yml
@@ -109,11 +109,22 @@ jobs:
           done
         displayName: "Adjust dependencies"
 
+      - bash: |
+          pip install -U -q -r .actions/requirements.txt
+          python .actions/assistant.py copy_replace_imports --source_dir="./tests/tests_fabric" \
+            --source_import="lightning.fabric" \
+            --target_import="lightning_fabric"
+          python .actions/assistant.py copy_replace_imports --source_dir="./examples/fabric" \
+            --source_import="lightning.fabric" \
+            --target_import="lightning_fabric"
+        # without succeeded this could run even if the job has already failed
+        condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'fabric'))
+        displayName: "Adjust tests & examples"
+
       - bash: |
           set -e
           extra=$(python -c "print({'lightning': 'fabric-'}.get('$(PACKAGE_NAME)', ''))")
-          pip install -e ".[${extra}dev]" pytest-timeout -U --extra-index-url="${TORCH_URL}"
-          pip install setuptools==75.6.0 jsonargparse==4.35.0
+          pip install -e ".[${extra}dev]" -U --extra-index-url="${TORCH_URL}"
         displayName: "Install package & dependencies"
 
       - bash: |
@@ -130,18 +141,6 @@ jobs:
         condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'fabric'))
         displayName: "Testing: Fabric doctests"
 
-      - bash: |
-          pip install -q -r .actions/requirements.txt
-          python .actions/assistant.py copy_replace_imports --source_dir="./tests/tests_fabric" \
-            --source_import="lightning.fabric" \
-            --target_import="lightning_fabric"
-          python .actions/assistant.py copy_replace_imports --source_dir="./examples/fabric" \
-            --source_import="lightning.fabric" \
-            --target_import="lightning_fabric"
-        # without succeeded this could run even if the job has already failed
-        condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'fabric'))
-        displayName: "Adjust tests & examples"
-
       - bash: python -m coverage run --source ${COVERAGE_SOURCE} -m pytest tests_fabric/ -v --durations=50
         workingDirectory: tests/
         displayName: "Testing: fabric standard"
diff --git a/.azure/gpu-tests-pytorch.yml b/.azure/gpu-tests-pytorch.yml
index eb76cd49e3f94..f899b01091668 100644
--- a/.azure/gpu-tests-pytorch.yml
+++ b/.azure/gpu-tests-pytorch.yml
@@ -113,10 +113,22 @@ jobs:
           done
         displayName: "Adjust dependencies"
 
+      - bash: |
+          pip install -U -q -r .actions/requirements.txt
+          python .actions/assistant.py copy_replace_imports --source_dir="./tests/tests_pytorch" \
+            --source_import="lightning.fabric,lightning.pytorch" \
+            --target_import="lightning_fabric,pytorch_lightning"
+          python .actions/assistant.py copy_replace_imports --source_dir="./examples/pytorch/basics" \
+            --source_import="lightning.fabric,lightning.pytorch" \
+            --target_import="lightning_fabric,pytorch_lightning"
+        # without succeeded this could run even if the job has already failed
+        condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'pytorch'))
+        displayName: "Adjust tests & examples"
+
       - bash: |
           set -e
           extra=$(python -c "print({'lightning': 'pytorch-'}.get('$(PACKAGE_NAME)', ''))")
-          pip install -e ".[${extra}dev]" pytest-timeout -U --extra-index-url="${TORCH_URL}"
+          pip install -e ".[${extra}dev]" -U --extra-index-url="${TORCH_URL}"
         displayName: "Install package & dependencies"
 
       - bash: pip uninstall -y lightning
@@ -143,17 +155,6 @@ jobs:
         condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'pytorch'))
         displayName: "Testing: PyTorch doctests"
 
-      - bash: |
-          python .actions/assistant.py copy_replace_imports --source_dir="./tests/tests_pytorch" \
-            --source_import="lightning.fabric,lightning.pytorch" \
-            --target_import="lightning_fabric,pytorch_lightning"
-          python .actions/assistant.py copy_replace_imports --source_dir="./examples/pytorch/basics" \
-            --source_import="lightning.fabric,lightning.pytorch" \
-            --target_import="lightning_fabric,pytorch_lightning"
-        # without succeeded this could run even if the job has already failed
-        condition: and(succeeded(), eq(variables['PACKAGE_NAME'], 'pytorch'))
-        displayName: "Adjust tests & examples"
-
       - bash: |
           bash .actions/pull_legacy_checkpoints.sh
           cd tests/legacy