#95168 [BUG] [VS Code / Cursor extension] Manual session tab rename reverts after ~150 ms (regression in 2.1.269)

Preflight Checklist

I have searched existing issues and this hasn't been reported yet
This is a single bug report (please file separate reports for different bugs)
I am using the latest version of Claude Code

What's Wrong?

Summary The first manual rename of a session works. Every rename after that shows the new name for about 150 ms, then reverts to the previous name.

Actual

Editing works: the field activates, the cursor goes in, and the text changes.
The new name appears in the session sidebar and on the editor tab for about 150 ms.
Both then revert to the name from before the edit.
This happens on every rename after the first.

Suspected cause (not verified) Something in 2.1.269 overwrites the stored title after a manual edit. Two possibilities: the automatic title is re-applied, or stale state gets written back. The "user set this title" flag may only be honored for the first rename.

Impact With many parallel sessions open, you can no longer label them by hand, and tab names are how you tell them apart.

What Should Happen?

The new name stays in the session sidebar and on the editor tab.

Error Messages/Logs

Steps to Reproduce

Open a Claude Code session in the extension.
Rename the session with the editable title field. The new name sticks.
Keep working until the automatic title has been applied.
Rename the session again. Click the field, place the cursor, change the text, confirm.

Claude Model

Other

Is this a regression?

Yes, this worked in a previous version

Last Working Version

2.1.268

Claude Code Version

every release above 2.1.268 as of today , including 2.1.274

Platform

Other

Operating System

Windows

Terminal/Shell

Cursor

Additional Information

No response