diff --git a/changelogs/fragments/65698-synchronize-docker-controller-managed.yml b/changelogs/fragments/65698-synchronize-docker-controller-managed.yml
new file mode 100644
index 00000000000..60180142e70
--- /dev/null
+++ b/changelogs/fragments/65698-synchronize-docker-controller-managed.yml
@@ -0,0 +1,2 @@
+bugfixes:
+  - synchronize - allow data to be passed between two managed nodes when using the docker connection plugin (https://github.com/ansible/ansible/pull/65698)
diff --git a/lib/ansible/plugins/action/synchronize.py b/lib/ansible/plugins/action/synchronize.py
index 0c0a89cbf0e..0385cc9a72d 100644
--- a/lib/ansible/plugins/action/synchronize.py
+++ b/lib/ansible/plugins/action/synchronize.py
@@ -391,7 +391,7 @@ class ActionModule(ActionBase):
 
         # If launching synchronize against docker container
         # use rsync_opts to support container to override rsh options
-        if self._remote_transport in ['docker', 'buildah']:
+        if self._remote_transport in ['docker', 'buildah'] and not use_delegate:
             # Replicate what we do in the module argumentspec handling for lists
             if not isinstance(_tmp_args.get('rsync_opts'), MutableSequence):
                 tmp_rsync_opts = _tmp_args.get('rsync_opts', [])