create-nuxt-app Yarn fails when name contains capital letters

[SheetJSDev]

Versions

• nuxt: (latest) using create-nuxt-app v4.0.0
• node: v16.16.0

Steps to reproduce

npx create-nuxt-app SheetJSNuxt

Select all defaults (just keeping hitting Enter)

What is Expected?

One of two possibilities:

A) "names with capital letters are invalid" -> entering a project name with capital letters would error immediately

B) "names with capital letters are valid" -> show the npm / Yarn warning on install but successfully install

What is actually happening?

⠋ Installing packages with yarnTrace: Error: spawn yarn ENOENT

Note: this only happens with Yarn. Choosing npm will show the same warning Warning: name can no longer contain capital letters but it will successfully install all modules