@google/gemini-cli 0.10.0-preview.3 → 0.11.0-nightly.20251021.e72c00cf

package/dist/src/config/settings.test.js

@@ -0,0 +1,1937 @@
+/**
+ * @license
+ * Copyright 2025 Google LLC
+ * SPDX-License-Identifier: Apache-2.0
+ */
+/// <reference types="vitest/globals" />
+// Mock 'os' first.
+import * as osActual from 'node:os'; // Import for type info for the mock factory
+vi.mock('os', async (importOriginal) => {
+    const actualOs = await importOriginal();
+    return {
+        ...actualOs,
+        homedir: vi.fn(() => '/mock/home/user'),
+        platform: vi.fn(() => 'linux'),
+    };
+});
+// Mock './settings.js' to ensure it uses the mocked 'os.homedir()' for its internal constants.
+vi.mock('./settings.js', async (importActual) => {
+    const originalModule = await importActual();
+    return {
+        __esModule: true, // Ensure correct module shape
+        ...originalModule, // Re-export all original members
+        // We are relying on originalModule's USER_SETTINGS_PATH being constructed with mocked os.homedir()
+    };
+});
+// Mock trustedFolders
+vi.mock('./trustedFolders.js', () => ({
+    isWorkspaceTrusted: vi
+        .fn()
+        .mockReturnValue({ isTrusted: true, source: 'file' }),
+}));
+// NOW import everything else, including the (now effectively re-exported) settings.js
+import path, * as pathActual from 'node:path'; // Restored for MOCK_WORKSPACE_SETTINGS_PATH
+import { describe, it, expect, vi, beforeEach, afterEach, } from 'vitest';
+import * as fs from 'node:fs'; // fs will be mocked separately
+import stripJsonComments from 'strip-json-comments'; // Will be mocked separately
+import { isWorkspaceTrusted } from './trustedFolders.js';
+import { disableExtension, ExtensionStorage } from './extension.js';
+// These imports will get the versions from the vi.mock('./settings.js', ...) factory.
+import { loadSettings, USER_SETTINGS_PATH, // This IS the mocked path.
+getSystemSettingsPath, getSystemDefaultsPath, migrateSettingsToV1, needsMigration, loadEnvironment, migrateDeprecatedSettings, SettingScope, } from './settings.js';
+import { FatalConfigError, GEMINI_DIR, Storage } from '@google/gemini-cli-core';
+import { ExtensionEnablementManager } from './extensions/extensionEnablement.js';
+const MOCK_WORKSPACE_DIR = '/mock/workspace';
+// Use the (mocked) GEMINI_DIR for consistency
+const MOCK_WORKSPACE_SETTINGS_PATH = pathActual.join(MOCK_WORKSPACE_DIR, GEMINI_DIR, 'settings.json');
+vi.mock('fs', async (importOriginal) => {
+    // Get all the functions from the real 'fs' module
+    const actualFs = await importOriginal();
+    return {
+        ...actualFs, // Keep all the real functions
+        // Now, just override the ones we need for the test
+        existsSync: vi.fn(),
+        readFileSync: vi.fn(),
+        writeFileSync: vi.fn(),
+        mkdirSync: vi.fn(),
+        realpathSync: (p) => p,
+    };
+});
+vi.mock('./extension.js');
+vi.mock('strip-json-comments', () => ({
+    default: vi.fn((content) => content),
+}));
+describe('Settings Loading and Merging', () => {
+    let mockFsExistsSync;
+    let mockStripJsonComments;
+    let mockFsMkdirSync;
+    beforeEach(() => {
+        vi.resetAllMocks();
+        mockFsExistsSync = vi.mocked(fs.existsSync);
+        mockFsMkdirSync = vi.mocked(fs.mkdirSync);
+        mockStripJsonComments = vi.mocked(stripJsonComments);
+        vi.mocked(osActual.homedir).mockReturnValue('/mock/home/user');
+        mockStripJsonComments.mockImplementation((jsonString) => jsonString);
+        mockFsExistsSync.mockReturnValue(false);
+        fs.readFileSync.mockReturnValue('{}'); // Return valid empty JSON
+        mockFsMkdirSync.mockImplementation(() => undefined);
+        vi.mocked(isWorkspaceTrusted).mockReturnValue({
+            isTrusted: true,
+            source: 'file',
+        });
+    });
+    afterEach(() => {
+        vi.restoreAllMocks();
+    });
+    describe('loadSettings', () => {
+        it('should load empty settings if no files exist', () => {
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.system.settings).toEqual({});
+            expect(settings.user.settings).toEqual({});
+            expect(settings.workspace.settings).toEqual({});
+            expect(settings.merged).toEqual({});
+        });
+        it('should load system settings if only system file exists', () => {
+            mockFsExistsSync.mockImplementation((p) => p === getSystemSettingsPath());
+            const systemSettingsContent = {
+                ui: {
+                    theme: 'system-default',
+                },
+                tools: {
+                    sandbox: false,
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(fs.readFileSync).toHaveBeenCalledWith(getSystemSettingsPath(), 'utf-8');
+            expect(settings.system.settings).toEqual(systemSettingsContent);
+            expect(settings.user.settings).toEqual({});
+            expect(settings.workspace.settings).toEqual({});
+            expect(settings.merged).toEqual({
+                ...systemSettingsContent,
+            });
+        });
+        it('should load user settings if only user file exists', () => {
+            const expectedUserSettingsPath = USER_SETTINGS_PATH; // Use the path actually resolved by the (mocked) module
+            mockFsExistsSync.mockImplementation((p) => p === expectedUserSettingsPath);
+            const userSettingsContent = {
+                ui: {
+                    theme: 'dark',
+                },
+                context: {
+                    fileName: 'USER_CONTEXT.md',
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === expectedUserSettingsPath)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(fs.readFileSync).toHaveBeenCalledWith(expectedUserSettingsPath, 'utf-8');
+            expect(settings.user.settings).toEqual(userSettingsContent);
+            expect(settings.workspace.settings).toEqual({});
+            expect(settings.merged).toEqual({
+                ...userSettingsContent,
+            });
+        });
+        it('should load workspace settings if only workspace file exists', () => {
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const workspaceSettingsContent = {
+                tools: {
+                    sandbox: true,
+                },
+                context: {
+                    fileName: 'WORKSPACE_CONTEXT.md',
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(fs.readFileSync).toHaveBeenCalledWith(MOCK_WORKSPACE_SETTINGS_PATH, 'utf-8');
+            expect(settings.user.settings).toEqual({});
+            expect(settings.workspace.settings).toEqual(workspaceSettingsContent);
+            expect(settings.merged).toEqual({
+                ...workspaceSettingsContent,
+            });
+        });
+        it('should merge system, user and workspace settings, with system taking precedence over workspace, and workspace over user', () => {
+            mockFsExistsSync.mockImplementation((p) => p === getSystemSettingsPath() ||
+                p === USER_SETTINGS_PATH ||
+                p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const systemSettingsContent = {
+                ui: {
+                    theme: 'system-theme',
+                },
+                tools: {
+                    sandbox: false,
+                },
+                mcp: {
+                    allowed: ['server1', 'server2'],
+                },
+                telemetry: { enabled: false },
+            };
+            const userSettingsContent = {
+                ui: {
+                    theme: 'dark',
+                },
+                tools: {
+                    sandbox: true,
+                },
+                context: {
+                    fileName: 'USER_CONTEXT.md',
+                },
+            };
+            const workspaceSettingsContent = {
+                tools: {
+                    sandbox: false,
+                    core: ['tool1'],
+                },
+                context: {
+                    fileName: 'WORKSPACE_CONTEXT.md',
+                },
+                mcp: {
+                    allowed: ['server1', 'server2', 'server3'],
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.system.settings).toEqual(systemSettingsContent);
+            expect(settings.user.settings).toEqual(userSettingsContent);
+            expect(settings.workspace.settings).toEqual(workspaceSettingsContent);
+            expect(settings.merged).toEqual({
+                ui: {
+                    theme: 'system-theme',
+                },
+                tools: {
+                    sandbox: false,
+                    core: ['tool1'],
+                },
+                telemetry: { enabled: false },
+                context: {
+                    fileName: 'WORKSPACE_CONTEXT.md',
+                },
+                mcp: {
+                    allowed: ['server1', 'server2'],
+                },
+            });
+        });
+        it('should correctly migrate a complex legacy (v1) settings file', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const legacySettingsContent = {
+                theme: 'legacy-dark',
+                vimMode: true,
+                contextFileName: 'LEGACY_CONTEXT.md',
+                model: 'gemini-pro',
+                mcpServers: {
+                    'legacy-server-1': {
+                        command: 'npm',
+                        args: ['run', 'start:server1'],
+                        description: 'Legacy Server 1',
+                    },
+                    'legacy-server-2': {
+                        command: 'node',
+                        args: ['server2.js'],
+                        description: 'Legacy Server 2',
+                    },
+                },
+                allowMCPServers: ['legacy-server-1'],
+                someUnrecognizedSetting: 'should-be-preserved',
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(legacySettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged).toEqual({
+                ui: {
+                    theme: 'legacy-dark',
+                },
+                general: {
+                    vimMode: true,
+                },
+                context: {
+                    fileName: 'LEGACY_CONTEXT.md',
+                },
+                model: {
+                    name: 'gemini-pro',
+                },
+                mcpServers: {
+                    'legacy-server-1': {
+                        command: 'npm',
+                        args: ['run', 'start:server1'],
+                        description: 'Legacy Server 1',
+                    },
+                    'legacy-server-2': {
+                        command: 'node',
+                        args: ['server2.js'],
+                        description: 'Legacy Server 2',
+                    },
+                },
+                mcp: {
+                    allowed: ['legacy-server-1'],
+                },
+                someUnrecognizedSetting: 'should-be-preserved',
+            });
+        });
+        it('should rewrite allowedTools to tools.allowed during migration', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const legacySettingsContent = {
+                allowedTools: ['fs', 'shell'],
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(legacySettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.tools?.allowed).toEqual(['fs', 'shell']);
+            expect(settings.merged['allowedTools']).toBeUndefined();
+        });
+        it('should correctly merge and migrate legacy array properties from multiple scopes', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const legacyUserSettings = {
+                includeDirectories: ['/user/dir'],
+                excludeTools: ['user-tool'],
+                excludedProjectEnvVars: ['USER_VAR'],
+            };
+            const legacyWorkspaceSettings = {
+                includeDirectories: ['/workspace/dir'],
+                excludeTools: ['workspace-tool'],
+                excludedProjectEnvVars: ['WORKSPACE_VAR', 'USER_VAR'],
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(legacyUserSettings);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(legacyWorkspaceSettings);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            // Verify includeDirectories are concatenated
+            expect(settings.merged.context?.includeDirectories).toEqual([
+                '/user/dir',
+                '/workspace/dir',
+            ]);
+            // Verify excludeTools are concatenated and de-duped
+            expect(settings.merged.tools?.exclude).toEqual([
+                'user-tool',
+                'workspace-tool',
+            ]);
+            // Verify excludedProjectEnvVars are concatenated and de-duped
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual(expect.arrayContaining(['USER_VAR', 'WORKSPACE_VAR']));
+            expect(settings.merged.advanced?.excludedEnvVars).toHaveLength(2);
+        });
+        it('should merge all settings files with the correct precedence', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const systemDefaultsContent = {
+                ui: {
+                    theme: 'default-theme',
+                },
+                tools: {
+                    sandbox: true,
+                },
+                telemetry: true,
+                context: {
+                    includeDirectories: ['/system/defaults/dir'],
+                },
+            };
+            const userSettingsContent = {
+                ui: {
+                    theme: 'user-theme',
+                },
+                context: {
+                    fileName: 'USER_CONTEXT.md',
+                    includeDirectories: ['/user/dir1', '/user/dir2'],
+                },
+            };
+            const workspaceSettingsContent = {
+                tools: {
+                    sandbox: false,
+                },
+                context: {
+                    fileName: 'WORKSPACE_CONTEXT.md',
+                    includeDirectories: ['/workspace/dir'],
+                },
+            };
+            const systemSettingsContent = {
+                ui: {
+                    theme: 'system-theme',
+                },
+                telemetry: false,
+                context: {
+                    includeDirectories: ['/system/dir'],
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemDefaultsPath())
+                    return JSON.stringify(systemDefaultsContent);
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.systemDefaults.settings).toEqual(systemDefaultsContent);
+            expect(settings.system.settings).toEqual(systemSettingsContent);
+            expect(settings.user.settings).toEqual(userSettingsContent);
+            expect(settings.workspace.settings).toEqual(workspaceSettingsContent);
+            expect(settings.merged).toEqual({
+                context: {
+                    fileName: 'WORKSPACE_CONTEXT.md',
+                    includeDirectories: [
+                        '/system/defaults/dir',
+                        '/user/dir1',
+                        '/user/dir2',
+                        '/workspace/dir',
+                        '/system/dir',
+                    ],
+                },
+                telemetry: false,
+                tools: {
+                    sandbox: false,
+                },
+                ui: {
+                    theme: 'system-theme',
+                },
+            });
+        });
+        it('should use folderTrust from workspace settings when trusted', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                security: {
+                    folderTrust: {
+                        enabled: true,
+                    },
+                },
+            };
+            const workspaceSettingsContent = {
+                security: {
+                    folderTrust: {
+                        enabled: false, // This should be used
+                    },
+                },
+            };
+            const systemSettingsContent = {
+            // No folderTrust here
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.security?.folderTrust?.enabled).toBe(false); // Workspace setting should be used
+        });
+        it('should use system folderTrust over user setting', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                security: {
+                    folderTrust: {
+                        enabled: false,
+                    },
+                },
+            };
+            const workspaceSettingsContent = {
+                security: {
+                    folderTrust: {
+                        enabled: true, // This should be ignored
+                    },
+                },
+            };
+            const systemSettingsContent = {
+                security: {
+                    folderTrust: {
+                        enabled: true,
+                    },
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.security?.folderTrust?.enabled).toBe(true); // System setting should be used
+        });
+        it('should handle contextFileName correctly when only in user settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = { context: { fileName: 'CUSTOM.md' } };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.context?.fileName).toBe('CUSTOM.md');
+        });
+        it('should handle contextFileName correctly when only in workspace settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const workspaceSettingsContent = {
+                context: { fileName: 'PROJECT_SPECIFIC.md' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.context?.fileName).toBe('PROJECT_SPECIFIC.md');
+        });
+        it('should handle excludedProjectEnvVars correctly when only in user settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['DEBUG', 'NODE_ENV', 'CUSTOM_VAR'] },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                'DEBUG',
+                'NODE_ENV',
+                'CUSTOM_VAR',
+            ]);
+        });
+        it('should handle excludedProjectEnvVars correctly when only in workspace settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const workspaceSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['WORKSPACE_DEBUG', 'WORKSPACE_VAR'] },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                'WORKSPACE_DEBUG',
+                'WORKSPACE_VAR',
+            ]);
+        });
+        it('should merge excludedProjectEnvVars with workspace taking precedence over user', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH || p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const userSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['DEBUG', 'NODE_ENV', 'USER_VAR'] },
+            };
+            const workspaceSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['WORKSPACE_DEBUG', 'WORKSPACE_VAR'] },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings.advanced?.excludedEnvVars).toEqual([
+                'DEBUG',
+                'NODE_ENV',
+                'USER_VAR',
+            ]);
+            expect(settings.workspace.settings.advanced?.excludedEnvVars).toEqual([
+                'WORKSPACE_DEBUG',
+                'WORKSPACE_VAR',
+            ]);
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                'DEBUG',
+                'NODE_ENV',
+                'USER_VAR',
+                'WORKSPACE_DEBUG',
+                'WORKSPACE_VAR',
+            ]);
+        });
+        it('should default contextFileName to undefined if not in any settings file', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH || p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const userSettingsContent = { ui: { theme: 'dark' } };
+            const workspaceSettingsContent = { tools: { sandbox: true } };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.context?.fileName).toBeUndefined();
+        });
+        it('should load telemetry setting from user settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = { telemetry: { enabled: true } };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.telemetry?.enabled).toBe(true);
+        });
+        it('should load telemetry setting from workspace settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const workspaceSettingsContent = { telemetry: { enabled: false } };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.telemetry?.enabled).toBe(false);
+        });
+        it('should prioritize workspace telemetry setting over user setting', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = { telemetry: { enabled: true } };
+            const workspaceSettingsContent = { telemetry: { enabled: false } };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.telemetry?.enabled).toBe(false);
+        });
+        it('should have telemetry as undefined if not in any settings file', () => {
+            mockFsExistsSync.mockReturnValue(false); // No settings files exist
+            fs.readFileSync.mockReturnValue('{}');
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.telemetry).toBeUndefined();
+            expect(settings.merged.ui).toBeUndefined();
+            expect(settings.merged.mcpServers).toBeUndefined();
+        });
+        it('should merge MCP servers correctly, with workspace taking precedence', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH || p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const userSettingsContent = {
+                mcpServers: {
+                    'user-server': {
+                        command: 'user-command',
+                        args: ['--user-arg'],
+                        description: 'User MCP server',
+                    },
+                    'shared-server': {
+                        command: 'user-shared-command',
+                        description: 'User shared server config',
+                    },
+                },
+            };
+            const workspaceSettingsContent = {
+                mcpServers: {
+                    'workspace-server': {
+                        command: 'workspace-command',
+                        args: ['--workspace-arg'],
+                        description: 'Workspace MCP server',
+                    },
+                    'shared-server': {
+                        command: 'workspace-shared-command',
+                        description: 'Workspace shared server config',
+                    },
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings).toEqual(userSettingsContent);
+            expect(settings.workspace.settings).toEqual(workspaceSettingsContent);
+            expect(settings.merged.mcpServers).toEqual({
+                'user-server': {
+                    command: 'user-command',
+                    args: ['--user-arg'],
+                    description: 'User MCP server',
+                },
+                'workspace-server': {
+                    command: 'workspace-command',
+                    args: ['--workspace-arg'],
+                    description: 'Workspace MCP server',
+                },
+                'shared-server': {
+                    command: 'workspace-shared-command',
+                    description: 'Workspace shared server config',
+                },
+            });
+        });
+        it('should handle MCP servers when only in user settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = {
+                mcpServers: {
+                    'user-only-server': {
+                        command: 'user-only-command',
+                        description: 'User only server',
+                    },
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.mcpServers).toEqual({
+                'user-only-server': {
+                    command: 'user-only-command',
+                    description: 'User only server',
+                },
+            });
+        });
+        it('should handle MCP servers when only in workspace settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            const workspaceSettingsContent = {
+                mcpServers: {
+                    'workspace-only-server': {
+                        command: 'workspace-only-command',
+                        description: 'Workspace only server',
+                    },
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.mcpServers).toEqual({
+                'workspace-only-server': {
+                    command: 'workspace-only-command',
+                    description: 'Workspace only server',
+                },
+            });
+        });
+        it('should have mcpServers as undefined if not in any settings file', () => {
+            mockFsExistsSync.mockReturnValue(false); // No settings files exist
+            fs.readFileSync.mockReturnValue('{}');
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.mcpServers).toBeUndefined();
+        });
+        it('should merge MCP servers from system, user, and workspace with system taking precedence', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const systemSettingsContent = {
+                mcpServers: {
+                    'shared-server': {
+                        command: 'system-command',
+                        args: ['--system-arg'],
+                    },
+                    'system-only-server': {
+                        command: 'system-only-command',
+                    },
+                },
+            };
+            const userSettingsContent = {
+                mcpServers: {
+                    'user-server': {
+                        command: 'user-command',
+                    },
+                    'shared-server': {
+                        command: 'user-command',
+                        description: 'from user',
+                    },
+                },
+            };
+            const workspaceSettingsContent = {
+                mcpServers: {
+                    'workspace-server': {
+                        command: 'workspace-command',
+                    },
+                    'shared-server': {
+                        command: 'workspace-command',
+                        args: ['--workspace-arg'],
+                    },
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.mcpServers).toEqual({
+                'user-server': {
+                    command: 'user-command',
+                },
+                'workspace-server': {
+                    command: 'workspace-command',
+                },
+                'system-only-server': {
+                    command: 'system-only-command',
+                },
+                'shared-server': {
+                    command: 'system-command',
+                    args: ['--system-arg'],
+                },
+            });
+        });
+        it('should merge mcp allowed/excluded lists with system taking precedence over workspace', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const systemSettingsContent = {
+                mcp: {
+                    allowed: ['system-allowed'],
+                },
+            };
+            const userSettingsContent = {
+                mcp: {
+                    allowed: ['user-allowed'],
+                    excluded: ['user-excluded'],
+                },
+            };
+            const workspaceSettingsContent = {
+                mcp: {
+                    allowed: ['workspace-allowed'],
+                    excluded: ['workspace-excluded'],
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.mcp).toEqual({
+                allowed: ['system-allowed'],
+                excluded: ['workspace-excluded'],
+            });
+        });
+        it('should merge chatCompression settings, with workspace taking precedence', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                general: {},
+                model: { chatCompression: { contextPercentageThreshold: 0.5 } },
+            };
+            const workspaceSettingsContent = {
+                general: {},
+                model: { chatCompression: { contextPercentageThreshold: 0.8 } },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            const e = settings.user.settings.model?.chatCompression;
+            console.log(e);
+            expect(settings.user.settings.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 0.5,
+            });
+            expect(settings.workspace.settings.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 0.8,
+            });
+            expect(settings.merged.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 0.8,
+            });
+        });
+        it('should merge output format settings, with workspace taking precedence', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                output: { format: 'text' },
+            };
+            const workspaceSettingsContent = {
+                output: { format: 'json' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.output?.format).toBe('json');
+        });
+        it('should handle chatCompression when only in user settings', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = {
+                general: {},
+                model: { chatCompression: { contextPercentageThreshold: 0.5 } },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 0.5,
+            });
+        });
+        it('should have model as undefined if not in any settings file', () => {
+            mockFsExistsSync.mockReturnValue(false); // No settings files exist
+            fs.readFileSync.mockReturnValue('{}');
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.model).toBeUndefined();
+        });
+        it('should ignore chatCompression if contextPercentageThreshold is invalid', () => {
+            const warnSpy = vi.spyOn(console, 'warn').mockImplementation(() => { });
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = {
+                general: {},
+                model: { chatCompression: { contextPercentageThreshold: 1.5 } },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 1.5,
+            });
+            warnSpy.mockRestore();
+        });
+        it('should deep merge chatCompression settings', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                general: {},
+                model: { chatCompression: { contextPercentageThreshold: 0.5 } },
+            };
+            const workspaceSettingsContent = {
+                general: {},
+                model: { chatCompression: {} },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.model?.chatCompression).toEqual({
+                contextPercentageThreshold: 0.5,
+            });
+        });
+        it('should merge includeDirectories from all scopes', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const systemSettingsContent = {
+                context: { includeDirectories: ['/system/dir'] },
+            };
+            const systemDefaultsContent = {
+                context: { includeDirectories: ['/system/defaults/dir'] },
+            };
+            const userSettingsContent = {
+                context: { includeDirectories: ['/user/dir1', '/user/dir2'] },
+            };
+            const workspaceSettingsContent = {
+                context: { includeDirectories: ['/workspace/dir'] },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath())
+                    return JSON.stringify(systemSettingsContent);
+                if (p === getSystemDefaultsPath())
+                    return JSON.stringify(systemDefaultsContent);
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.context?.includeDirectories).toEqual([
+                '/system/defaults/dir',
+                '/user/dir1',
+                '/user/dir2',
+                '/workspace/dir',
+                '/system/dir',
+            ]);
+        });
+        it('should handle JSON parsing errors gracefully', () => {
+            mockFsExistsSync.mockReturnValue(true); // Both files "exist"
+            const invalidJsonContent = 'invalid json';
+            const userReadError = new SyntaxError("Expected ',' or '}' after property value in JSON at position 10");
+            const workspaceReadError = new SyntaxError('Unexpected token i in JSON at position 0');
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH) {
+                    // Simulate JSON.parse throwing for user settings
+                    vi.spyOn(JSON, 'parse').mockImplementationOnce(() => {
+                        throw userReadError;
+                    });
+                    return invalidJsonContent; // Content that would cause JSON.parse to throw
+                }
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH) {
+                    // Simulate JSON.parse throwing for workspace settings
+                    vi.spyOn(JSON, 'parse').mockImplementationOnce(() => {
+                        throw workspaceReadError;
+                    });
+                    return invalidJsonContent;
+                }
+                return '{}'; // Default for other reads
+            });
+            try {
+                loadSettings(MOCK_WORKSPACE_DIR);
+                throw new Error('loadSettings should have thrown a FatalConfigError');
+            }
+            catch (e) {
+                expect(e).toBeInstanceOf(FatalConfigError);
+                const error = e;
+                expect(error.message).toContain(`Error in ${USER_SETTINGS_PATH}: ${userReadError.message}`);
+                expect(error.message).toContain(`Error in ${MOCK_WORKSPACE_SETTINGS_PATH}: ${workspaceReadError.message}`);
+                expect(error.message).toContain('Please fix the configuration file(s) and try again.');
+            }
+            // Restore JSON.parse mock if it was spied on specifically for this test
+            vi.restoreAllMocks(); // Or more targeted restore if needed
+        });
+        it('should resolve environment variables in user settings', () => {
+            process.env['TEST_API_KEY'] = 'user_api_key_from_env';
+            const userSettingsContent = {
+                apiKey: '$TEST_API_KEY',
+                someUrl: 'https://test.com/${TEST_API_KEY}',
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['apiKey']).toBe('user_api_key_from_env');
+            expect(settings.user.settings['someUrl']).toBe('https://test.com/user_api_key_from_env');
+            expect(settings.merged['apiKey']).toBe('user_api_key_from_env');
+            delete process.env['TEST_API_KEY'];
+        });
+        it('should resolve environment variables in workspace settings', () => {
+            process.env['WORKSPACE_ENDPOINT'] = 'workspace_endpoint_from_env';
+            const workspaceSettingsContent = {
+                endpoint: '${WORKSPACE_ENDPOINT}/api',
+                nested: { value: '$WORKSPACE_ENDPOINT' },
+            };
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.workspace.settings['endpoint']).toBe('workspace_endpoint_from_env/api');
+            const nested = settings.workspace.settings['nested'];
+            expect(nested['value']).toBe('workspace_endpoint_from_env');
+            expect(settings.merged['endpoint']).toBe('workspace_endpoint_from_env/api');
+            delete process.env['WORKSPACE_ENDPOINT'];
+        });
+        it('should correctly resolve and merge env variables from different scopes', () => {
+            process.env['SYSTEM_VAR'] = 'system_value';
+            process.env['USER_VAR'] = 'user_value';
+            process.env['WORKSPACE_VAR'] = 'workspace_value';
+            process.env['SHARED_VAR'] = 'final_value';
+            const systemSettingsContent = {
+                configValue: '$SHARED_VAR',
+                systemOnly: '$SYSTEM_VAR',
+            };
+            const userSettingsContent = {
+                configValue: '$SHARED_VAR',
+                userOnly: '$USER_VAR',
+                ui: {
+                    theme: 'dark',
+                },
+            };
+            const workspaceSettingsContent = {
+                configValue: '$SHARED_VAR',
+                workspaceOnly: '$WORKSPACE_VAR',
+                ui: {
+                    theme: 'light',
+                },
+            };
+            mockFsExistsSync.mockReturnValue(true);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === getSystemSettingsPath()) {
+                    return JSON.stringify(systemSettingsContent);
+                }
+                if (p === USER_SETTINGS_PATH) {
+                    return JSON.stringify(userSettingsContent);
+                }
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH) {
+                    return JSON.stringify(workspaceSettingsContent);
+                }
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            // Check resolved values in individual scopes
+            expect(settings.system.settings['configValue']).toBe('final_value');
+            expect(settings.system.settings['systemOnly']).toBe('system_value');
+            expect(settings.user.settings['configValue']).toBe('final_value');
+            expect(settings.user.settings['userOnly']).toBe('user_value');
+            expect(settings.workspace.settings['configValue']).toBe('final_value');
+            expect(settings.workspace.settings['workspaceOnly']).toBe('workspace_value');
+            // Check merged values (system > workspace > user)
+            expect(settings.merged['configValue']).toBe('final_value');
+            expect(settings.merged['systemOnly']).toBe('system_value');
+            expect(settings.merged['userOnly']).toBe('user_value');
+            expect(settings.merged['workspaceOnly']).toBe('workspace_value');
+            expect(settings.merged.ui?.theme).toBe('light'); // workspace overrides user
+            delete process.env['SYSTEM_VAR'];
+            delete process.env['USER_VAR'];
+            delete process.env['WORKSPACE_VAR'];
+            delete process.env['SHARED_VAR'];
+        });
+        it('should correctly merge dnsResolutionOrder with workspace taking precedence', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                advanced: { dnsResolutionOrder: 'ipv4first' },
+            };
+            const workspaceSettingsContent = {
+                advanced: { dnsResolutionOrder: 'verbatim' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.advanced?.dnsResolutionOrder).toBe('verbatim');
+        });
+        it('should use user dnsResolutionOrder if workspace is not defined', () => {
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            const userSettingsContent = {
+                advanced: { dnsResolutionOrder: 'verbatim' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.advanced?.dnsResolutionOrder).toBe('verbatim');
+        });
+        it('should leave unresolved environment variables as is', () => {
+            const userSettingsContent = { apiKey: '$UNDEFINED_VAR' };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['apiKey']).toBe('$UNDEFINED_VAR');
+            expect(settings.merged['apiKey']).toBe('$UNDEFINED_VAR');
+        });
+        it('should resolve multiple environment variables in a single string', () => {
+            process.env['VAR_A'] = 'valueA';
+            process.env['VAR_B'] = 'valueB';
+            const userSettingsContent = {
+                path: '/path/$VAR_A/${VAR_B}/end',
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['path']).toBe('/path/valueA/valueB/end');
+            delete process.env['VAR_A'];
+            delete process.env['VAR_B'];
+        });
+        it('should resolve environment variables in arrays', () => {
+            process.env['ITEM_1'] = 'item1_env';
+            process.env['ITEM_2'] = 'item2_env';
+            const userSettingsContent = {
+                list: ['$ITEM_1', '${ITEM_2}', 'literal'],
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['list']).toEqual([
+                'item1_env',
+                'item2_env',
+                'literal',
+            ]);
+            delete process.env['ITEM_1'];
+            delete process.env['ITEM_2'];
+        });
+        it('should correctly pass through null, boolean, and number types, and handle undefined properties', () => {
+            process.env['MY_ENV_STRING'] = 'env_string_value';
+            process.env['MY_ENV_STRING_NESTED'] = 'env_string_nested_value';
+            const userSettingsContent = {
+                nullVal: null,
+                trueVal: true,
+                falseVal: false,
+                numberVal: 123.45,
+                stringVal: '$MY_ENV_STRING',
+                nestedObj: {
+                    nestedNull: null,
+                    nestedBool: true,
+                    nestedNum: 0,
+                    nestedString: 'literal',
+                    anotherEnv: '${MY_ENV_STRING_NESTED}',
+                },
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['nullVal']).toBeNull();
+            expect(settings.user.settings['trueVal']).toBe(true);
+            expect(settings.user.settings['falseVal']).toBe(false);
+            expect(settings.user.settings['numberVal']).toBe(123.45);
+            expect(settings.user.settings['stringVal']).toBe('env_string_value');
+            expect(settings.user.settings['undefinedVal']).toBeUndefined();
+            const nestedObj = settings.user.settings['nestedObj'];
+            expect(nestedObj['nestedNull']).toBeNull();
+            expect(nestedObj['nestedBool']).toBe(true);
+            expect(nestedObj['nestedNum']).toBe(0);
+            expect(nestedObj['nestedString']).toBe('literal');
+            expect(nestedObj['anotherEnv']).toBe('env_string_nested_value');
+            delete process.env['MY_ENV_STRING'];
+            delete process.env['MY_ENV_STRING_NESTED'];
+        });
+        it('should resolve multiple concatenated environment variables in a single string value', () => {
+            process.env['TEST_HOST'] = 'myhost';
+            process.env['TEST_PORT'] = '9090';
+            const userSettingsContent = {
+                serverAddress: '${TEST_HOST}:${TEST_PORT}/api',
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings['serverAddress']).toBe('myhost:9090/api');
+            delete process.env['TEST_HOST'];
+            delete process.env['TEST_PORT'];
+        });
+        describe('when GEMINI_CLI_SYSTEM_SETTINGS_PATH is set', () => {
+            const MOCK_ENV_SYSTEM_SETTINGS_PATH = '/mock/env/system/settings.json';
+            beforeEach(() => {
+                process.env['GEMINI_CLI_SYSTEM_SETTINGS_PATH'] =
+                    MOCK_ENV_SYSTEM_SETTINGS_PATH;
+            });
+            afterEach(() => {
+                delete process.env['GEMINI_CLI_SYSTEM_SETTINGS_PATH'];
+            });
+            it('should load system settings from the path specified in the environment variable', () => {
+                mockFsExistsSync.mockImplementation((p) => p === MOCK_ENV_SYSTEM_SETTINGS_PATH);
+                const systemSettingsContent = {
+                    ui: { theme: 'env-var-theme' },
+                    tools: { sandbox: true },
+                };
+                fs.readFileSync.mockImplementation((p) => {
+                    if (p === MOCK_ENV_SYSTEM_SETTINGS_PATH)
+                        return JSON.stringify(systemSettingsContent);
+                    return '{}';
+                });
+                const settings = loadSettings(MOCK_WORKSPACE_DIR);
+                expect(fs.readFileSync).toHaveBeenCalledWith(MOCK_ENV_SYSTEM_SETTINGS_PATH, 'utf-8');
+                expect(settings.system.path).toBe(MOCK_ENV_SYSTEM_SETTINGS_PATH);
+                expect(settings.system.settings).toEqual(systemSettingsContent);
+                expect(settings.merged).toEqual({
+                    ...systemSettingsContent,
+                });
+            });
+        });
+    });
+    describe('excludedProjectEnvVars integration', () => {
+        const originalEnv = { ...process.env };
+        beforeEach(() => {
+            process.env = { ...originalEnv };
+        });
+        afterEach(() => {
+            process.env = originalEnv;
+        });
+        it('should exclude DEBUG and DEBUG_MODE from project .env files by default', () => {
+            // Create a workspace settings file with excludedProjectEnvVars
+            const workspaceSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['DEBUG', 'DEBUG_MODE'] },
+            };
+            mockFsExistsSync.mockImplementation((p) => p === MOCK_WORKSPACE_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            // Mock findEnvFile to return a project .env file
+            const originalFindEnvFile = loadSettings.findEnvFile;
+            loadSettings.findEnvFile =
+                () => '/mock/project/.env';
+            // Mock fs.readFileSync for .env file content
+            const originalReadFileSync = fs.readFileSync;
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === '/mock/project/.env') {
+                    return 'DEBUG=true\nDEBUG_MODE=1\nGEMINI_API_KEY=test-key';
+                }
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH) {
+                    return JSON.stringify(workspaceSettingsContent);
+                }
+                return '{}';
+            });
+            try {
+                // This will call loadEnvironment internally with the merged settings
+                const settings = loadSettings(MOCK_WORKSPACE_DIR);
+                // Verify the settings were loaded correctly
+                expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                    'DEBUG',
+                    'DEBUG_MODE',
+                ]);
+                // Note: We can't directly test process.env changes here because the mocking
+                // prevents the actual file system operations, but we can verify the settings
+                // are correctly merged and passed to loadEnvironment
+            }
+            finally {
+                loadSettings.findEnvFile =
+                    originalFindEnvFile;
+                fs.readFileSync.mockImplementation(originalReadFileSync);
+            }
+        });
+        it('should respect custom excludedProjectEnvVars from user settings', () => {
+            const userSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['NODE_ENV', 'DEBUG'] },
+            };
+            mockFsExistsSync.mockImplementation((p) => p === USER_SETTINGS_PATH);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings.advanced?.excludedEnvVars).toEqual([
+                'NODE_ENV',
+                'DEBUG',
+            ]);
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                'NODE_ENV',
+                'DEBUG',
+            ]);
+        });
+        it('should merge excludedProjectEnvVars with workspace taking precedence', () => {
+            const userSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['DEBUG', 'NODE_ENV', 'USER_VAR'] },
+            };
+            const workspaceSettingsContent = {
+                general: {},
+                advanced: { excludedEnvVars: ['WORKSPACE_DEBUG', 'WORKSPACE_VAR'] },
+            };
+            mockFsExistsSync.mockReturnValue(true);
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.user.settings.advanced?.excludedEnvVars).toEqual([
+                'DEBUG',
+                'NODE_ENV',
+                'USER_VAR',
+            ]);
+            expect(settings.workspace.settings.advanced?.excludedEnvVars).toEqual([
+                'WORKSPACE_DEBUG',
+                'WORKSPACE_VAR',
+            ]);
+            expect(settings.merged.advanced?.excludedEnvVars).toEqual([
+                'DEBUG',
+                'NODE_ENV',
+                'USER_VAR',
+                'WORKSPACE_DEBUG',
+                'WORKSPACE_VAR',
+            ]);
+        });
+    });
+    describe('with workspace trust', () => {
+        it('should merge workspace settings when workspace is trusted', () => {
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                ui: { theme: 'dark' },
+                tools: { sandbox: false },
+            };
+            const workspaceSettingsContent = {
+                tools: { sandbox: true },
+                context: { fileName: 'WORKSPACE.md' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.tools?.sandbox).toBe(true);
+            expect(settings.merged.context?.fileName).toBe('WORKSPACE.md');
+            expect(settings.merged.ui?.theme).toBe('dark');
+        });
+        it('should NOT merge workspace settings when workspace is not trusted', () => {
+            vi.mocked(isWorkspaceTrusted).mockReturnValue({
+                isTrusted: false,
+                source: 'file',
+            });
+            mockFsExistsSync.mockReturnValue(true);
+            const userSettingsContent = {
+                ui: { theme: 'dark' },
+                tools: { sandbox: false },
+                context: { fileName: 'USER.md' },
+            };
+            const workspaceSettingsContent = {
+                tools: { sandbox: true },
+                context: { fileName: 'WORKSPACE.md' },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const settings = loadSettings(MOCK_WORKSPACE_DIR);
+            expect(settings.merged.tools?.sandbox).toBe(false); // User setting
+            expect(settings.merged.context?.fileName).toBe('USER.md'); // User setting
+            expect(settings.merged.ui?.theme).toBe('dark'); // User setting
+        });
+    });
+    describe('migrateSettingsToV1', () => {
+        it('should handle an empty object', () => {
+            const v2Settings = {};
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({});
+        });
+        it('should migrate a simple v2 settings object to v1', () => {
+            const v2Settings = {
+                general: {
+                    preferredEditor: 'vscode',
+                    vimMode: true,
+                },
+                ui: {
+                    theme: 'dark',
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                preferredEditor: 'vscode',
+                vimMode: true,
+                theme: 'dark',
+            });
+        });
+        it('should handle nested properties correctly', () => {
+            const v2Settings = {
+                security: {
+                    folderTrust: {
+                        enabled: true,
+                    },
+                    auth: {
+                        selectedType: 'oauth',
+                    },
+                },
+                advanced: {
+                    autoConfigureMemory: true,
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                folderTrust: true,
+                selectedAuthType: 'oauth',
+                autoConfigureMaxOldSpaceSize: true,
+            });
+        });
+        it('should preserve mcpServers at the top level', () => {
+            const v2Settings = {
+                general: {
+                    preferredEditor: 'vscode',
+                },
+                mcpServers: {
+                    'my-server': {
+                        command: 'npm start',
+                    },
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                preferredEditor: 'vscode',
+                mcpServers: {
+                    'my-server': {
+                        command: 'npm start',
+                    },
+                },
+            });
+        });
+        it('should carry over unrecognized top-level properties', () => {
+            const v2Settings = {
+                general: {
+                    vimMode: false,
+                },
+                unrecognized: 'value',
+                another: {
+                    nested: true,
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                vimMode: false,
+                unrecognized: 'value',
+                another: {
+                    nested: true,
+                },
+            });
+        });
+        it('should handle a complex object with mixed properties', () => {
+            const v2Settings = {
+                general: {
+                    disableAutoUpdate: true,
+                },
+                ui: {
+                    hideBanner: true,
+                    customThemes: {
+                        myTheme: {},
+                    },
+                },
+                model: {
+                    name: 'gemini-pro',
+                    chatCompression: {
+                        contextPercentageThreshold: 0.5,
+                    },
+                },
+                mcpServers: {
+                    'server-1': {
+                        command: 'node server.js',
+                    },
+                },
+                unrecognized: {
+                    should: 'be-preserved',
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                disableAutoUpdate: true,
+                hideBanner: true,
+                customThemes: {
+                    myTheme: {},
+                },
+                model: 'gemini-pro',
+                chatCompression: {
+                    contextPercentageThreshold: 0.5,
+                },
+                mcpServers: {
+                    'server-1': {
+                        command: 'node server.js',
+                    },
+                },
+                unrecognized: {
+                    should: 'be-preserved',
+                },
+            });
+        });
+        it('should not migrate a v1 settings object', () => {
+            const v1Settings = {
+                preferredEditor: 'vscode',
+                vimMode: true,
+                theme: 'dark',
+            };
+            const migratedSettings = migrateSettingsToV1(v1Settings);
+            expect(migratedSettings).toEqual({
+                preferredEditor: 'vscode',
+                vimMode: true,
+                theme: 'dark',
+            });
+        });
+        it('should migrate a full v2 settings object to v1', () => {
+            const v2Settings = {
+                general: {
+                    preferredEditor: 'code',
+                    vimMode: true,
+                },
+                ui: {
+                    theme: 'dark',
+                },
+                privacy: {
+                    usageStatisticsEnabled: false,
+                },
+                model: {
+                    name: 'gemini-pro',
+                    chatCompression: {
+                        contextPercentageThreshold: 0.8,
+                    },
+                },
+                context: {
+                    fileName: 'CONTEXT.md',
+                    includeDirectories: ['/src'],
+                },
+                tools: {
+                    sandbox: true,
+                    exclude: ['toolA'],
+                },
+                mcp: {
+                    allowed: ['server1'],
+                },
+                security: {
+                    folderTrust: {
+                        enabled: true,
+                    },
+                },
+                advanced: {
+                    dnsResolutionOrder: 'ipv4first',
+                    excludedEnvVars: ['SECRET'],
+                },
+                mcpServers: {
+                    'my-server': {
+                        command: 'npm start',
+                    },
+                },
+                unrecognizedTopLevel: {
+                    value: 'should be preserved',
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                preferredEditor: 'code',
+                vimMode: true,
+                theme: 'dark',
+                usageStatisticsEnabled: false,
+                model: 'gemini-pro',
+                chatCompression: {
+                    contextPercentageThreshold: 0.8,
+                },
+                contextFileName: 'CONTEXT.md',
+                includeDirectories: ['/src'],
+                sandbox: true,
+                excludeTools: ['toolA'],
+                allowMCPServers: ['server1'],
+                folderTrust: true,
+                dnsResolutionOrder: 'ipv4first',
+                excludedProjectEnvVars: ['SECRET'],
+                mcpServers: {
+                    'my-server': {
+                        command: 'npm start',
+                    },
+                },
+                unrecognizedTopLevel: {
+                    value: 'should be preserved',
+                },
+            });
+        });
+        it('should handle partial v2 settings', () => {
+            const v2Settings = {
+                general: {
+                    vimMode: false,
+                },
+                ui: {},
+                model: {
+                    name: 'gemini-1.5-pro',
+                },
+                unrecognized: 'value',
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                vimMode: false,
+                model: 'gemini-1.5-pro',
+                unrecognized: 'value',
+            });
+        });
+        it('should handle settings with different data types', () => {
+            const v2Settings = {
+                general: {
+                    vimMode: false,
+                },
+                model: {
+                    maxSessionTurns: -1,
+                },
+                context: {
+                    includeDirectories: [],
+                },
+                security: {
+                    folderTrust: {
+                        enabled: undefined,
+                    },
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                vimMode: false,
+                maxSessionTurns: -1,
+                includeDirectories: [],
+                security: {
+                    folderTrust: {
+                        enabled: undefined,
+                    },
+                },
+            });
+        });
+        it('should preserve unrecognized top-level keys', () => {
+            const v2Settings = {
+                general: {
+                    vimMode: true,
+                },
+                customTopLevel: {
+                    a: 1,
+                    b: [2],
+                },
+                anotherOne: 'hello',
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                vimMode: true,
+                customTopLevel: {
+                    a: 1,
+                    b: [2],
+                },
+                anotherOne: 'hello',
+            });
+        });
+        it('should handle an empty v2 settings object', () => {
+            const v2Settings = {};
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({});
+        });
+        it('should correctly handle mcpServers at the top level', () => {
+            const v2Settings = {
+                mcpServers: {
+                    serverA: { command: 'a' },
+                },
+                mcp: {
+                    allowed: ['serverA'],
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                mcpServers: {
+                    serverA: { command: 'a' },
+                },
+                allowMCPServers: ['serverA'],
+            });
+        });
+        it('should correctly migrate customWittyPhrases', () => {
+            const v2Settings = {
+                ui: {
+                    customWittyPhrases: ['test phrase'],
+                },
+            };
+            const v1Settings = migrateSettingsToV1(v2Settings);
+            expect(v1Settings).toEqual({
+                customWittyPhrases: ['test phrase'],
+            });
+        });
+    });
+    describe('loadEnvironment', () => {
+        function setup({ isFolderTrustEnabled = true, isWorkspaceTrustedValue = true, }) {
+            delete process.env['TESTTEST']; // reset
+            const geminiEnvPath = path.resolve(path.join(GEMINI_DIR, '.env'));
+            vi.mocked(isWorkspaceTrusted).mockReturnValue({
+                isTrusted: isWorkspaceTrustedValue,
+                source: 'file',
+            });
+            mockFsExistsSync.mockImplementation((p) => [USER_SETTINGS_PATH, geminiEnvPath].includes(p.toString()));
+            const userSettingsContent = {
+                ui: {
+                    theme: 'dark',
+                },
+                security: {
+                    folderTrust: {
+                        enabled: isFolderTrustEnabled,
+                    },
+                },
+                context: {
+                    fileName: 'USER_CONTEXT.md',
+                },
+            };
+            fs.readFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === geminiEnvPath)
+                    return 'TESTTEST=1234';
+                return '{}';
+            });
+        }
+        it('sets environment variables from .env files', () => {
+            setup({ isFolderTrustEnabled: false, isWorkspaceTrustedValue: true });
+            loadEnvironment(loadSettings(MOCK_WORKSPACE_DIR).merged);
+            expect(process.env['TESTTEST']).toEqual('1234');
+        });
+        it('does not load env files from untrusted spaces', () => {
+            setup({ isFolderTrustEnabled: true, isWorkspaceTrustedValue: false });
+            loadEnvironment(loadSettings(MOCK_WORKSPACE_DIR).merged);
+            expect(process.env['TESTTEST']).not.toEqual('1234');
+        });
+    });
+    describe('needsMigration', () => {
+        it('should return false for an empty object', () => {
+            expect(needsMigration({})).toBe(false);
+        });
+        it('should return false for settings that are already in V2 format', () => {
+            const v2Settings = {
+                ui: {
+                    theme: 'dark',
+                },
+                tools: {
+                    sandbox: true,
+                },
+            };
+            expect(needsMigration(v2Settings)).toBe(false);
+        });
+        it('should return true for settings with a V1 key that needs to be moved', () => {
+            const v1Settings = {
+                theme: 'dark', // v1 key
+            };
+            expect(needsMigration(v1Settings)).toBe(true);
+        });
+        it('should return true for settings with a mix of V1 and V2 keys', () => {
+            const mixedSettings = {
+                theme: 'dark', // v1 key
+                tools: {
+                    sandbox: true, // v2 key
+                },
+            };
+            expect(needsMigration(mixedSettings)).toBe(true);
+        });
+        it('should return false for settings with only V1 keys that are the same in V2', () => {
+            const v1Settings = {
+                mcpServers: {},
+                telemetry: {},
+                extensions: [],
+            };
+            expect(needsMigration(v1Settings)).toBe(false);
+        });
+        it('should return true for settings with a mix of V1 keys that are the same in V2 and V1 keys that need moving', () => {
+            const v1Settings = {
+                mcpServers: {}, // same in v2
+                theme: 'dark', // needs moving
+            };
+            expect(needsMigration(v1Settings)).toBe(true);
+        });
+        it('should return false for settings with unrecognized keys', () => {
+            const settings = {
+                someUnrecognizedKey: 'value',
+            };
+            expect(needsMigration(settings)).toBe(false);
+        });
+        it('should return false for settings with v2 keys and unrecognized keys', () => {
+            const settings = {
+                ui: { theme: 'dark' },
+                someUnrecognizedKey: 'value',
+            };
+            expect(needsMigration(settings)).toBe(false);
+        });
+    });
+    describe('migrateDeprecatedSettings', () => {
+        let mockFsExistsSync;
+        let mockFsReadFileSync;
+        let mockDisableExtension;
+        beforeEach(() => {
+            vi.resetAllMocks();
+            mockFsExistsSync = vi.mocked(fs.existsSync);
+            mockFsReadFileSync = vi.mocked(fs.readFileSync);
+            mockDisableExtension = vi.mocked(disableExtension);
+            vi.mocked(ExtensionStorage.getUserExtensionsDir).mockReturnValue(new Storage(osActual.homedir()).getExtensionsDir());
+            mockFsExistsSync.mockReturnValue(true);
+            vi.mocked(isWorkspaceTrusted).mockReturnValue({
+                isTrusted: true,
+                source: undefined,
+            });
+        });
+        afterEach(() => {
+            vi.restoreAllMocks();
+        });
+        it('should migrate disabled extensions from user and workspace settings', () => {
+            const userSettingsContent = {
+                extensions: {
+                    disabled: ['user-ext-1', 'shared-ext'],
+                },
+            };
+            const workspaceSettingsContent = {
+                extensions: {
+                    disabled: ['workspace-ext-1', 'shared-ext'],
+                },
+            };
+            mockFsReadFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const loadedSettings = loadSettings(MOCK_WORKSPACE_DIR);
+            const setValueSpy = vi.spyOn(loadedSettings, 'setValue');
+            migrateDeprecatedSettings(loadedSettings, MOCK_WORKSPACE_DIR);
+            // Check user settings migration
+            expect(mockDisableExtension).toHaveBeenCalledWith('user-ext-1', SettingScope.User, expect.any(ExtensionEnablementManager), MOCK_WORKSPACE_DIR);
+            expect(mockDisableExtension).toHaveBeenCalledWith('shared-ext', SettingScope.User, expect.any(ExtensionEnablementManager), MOCK_WORKSPACE_DIR);
+            // Check workspace settings migration
+            expect(mockDisableExtension).toHaveBeenCalledWith('workspace-ext-1', SettingScope.Workspace, expect.any(ExtensionEnablementManager), MOCK_WORKSPACE_DIR);
+            expect(mockDisableExtension).toHaveBeenCalledWith('shared-ext', SettingScope.Workspace, expect.any(ExtensionEnablementManager), MOCK_WORKSPACE_DIR);
+            // Check that setValue was called to remove the deprecated setting
+            expect(setValueSpy).toHaveBeenCalledWith(SettingScope.User, 'extensions', {
+                disabled: undefined,
+            });
+            expect(setValueSpy).toHaveBeenCalledWith(SettingScope.Workspace, 'extensions', {
+                disabled: undefined,
+            });
+        });
+        it('should not do anything if there are no deprecated settings', () => {
+            const userSettingsContent = {
+                extensions: {
+                    enabled: ['user-ext-1'],
+                },
+            };
+            const workspaceSettingsContent = {
+                someOtherSetting: 'value',
+            };
+            mockFsReadFileSync.mockImplementation((p) => {
+                if (p === USER_SETTINGS_PATH)
+                    return JSON.stringify(userSettingsContent);
+                if (p === MOCK_WORKSPACE_SETTINGS_PATH)
+                    return JSON.stringify(workspaceSettingsContent);
+                return '{}';
+            });
+            const loadedSettings = loadSettings(MOCK_WORKSPACE_DIR);
+            const setValueSpy = vi.spyOn(loadedSettings, 'setValue');
+            migrateDeprecatedSettings(loadedSettings, MOCK_WORKSPACE_DIR);
+            expect(mockDisableExtension).not.toHaveBeenCalled();
+            expect(setValueSpy).not.toHaveBeenCalled();
+        });
+    });
+});
+//# sourceMappingURL=settings.test.js.map