How do I configure a nuxt custom 404?

We’re deploying a NUXT system on Layer0. I am having trouble creating a generic 404 page or having routes redirected to a certain route. Our nuxt config is set to have:

    target: 'server',
      ssr: true,
      generate: {
        fallback: '404.html',
      },

I also took a bit of time to look through your documentation before reaching out but still not able to come up with a solution. Am I missing something simple in a way to redirect non found routes to a 404? Or is there something I can do in the routs.js file that could catch any unfound requests and redirect to a certain page?
Thank you in advance for your time.

https://docs.layer0.co/guides/nuxt

See Layer0 Documentation - Nuxt.js

I think you want:

generate: {
  fallback: true
}

I have changed the setting, deployed, and still have the same results.

Error message is: None of the specified routes in “default” destination have matched the request (edge receive).

With these changes, Add Nuxt Custom 404 Page by howdiz · Pull Request #3 · layer0-docs/layer0-examples · GitHub I get a custom 404 page returned with yarn dev but not with layer0 dev and not when deployed on Layer0.

See: https://howie-ross-layer0-nuxt-example-default.layer0.link/404