@letterblack/lbe-exec 1.2.15 → 1.2.17

package/dist/cli.js

@@ -404,7 +404,7 @@ var init_localPolicy = __esm({
   "src/core/localPolicy.js"() {
     init_auditLog();
     init_atomicWrite();
-    POLICY_FILE = "lbe.policy.json";
+    POLICY_FILE = ".lbe/policy.json";
     AUDIT_FILE = ".lbe/audit.jsonl";
   }
 });
@@ -2363,12 +2363,8 @@ This project has LetterBlack LBE (Local-first execution Governance) active.
 
 ## Your role as an agent
 
-You do not have direct access to the file system or shell in this workspace.
-Every file write, file read, file delete, and shell command must go through the
-LBE executor. The executor validates every action against the project policy,
-signs it, audits it, and either allows or blocks it \u2014 transparently.
-
-You do not need to know how this works. You only need to use the right methods.
+Every file write, delete, and shell command must go through the LBE executor.
+The executor validates each action against the project policy and audits it.
 
 ## How to perform actions
 
@@ -2376,143 +2372,83 @@ You do not need to know how this works. You only need to use the right methods.
 import { createLocalExecutor } from '@letterblack/lbe-exec';
 const lbe = createLocalExecutor({ rootDir: process.cwd() });
 
-// File operations
 await lbe.writeFile('output/report.md', content);
 await lbe.readFile('src/config.json');
 await lbe.patchFile('src/index.js', patch);
 await lbe.deleteFile('tmp/scratch.txt');
-
-// Shell (only explicitly allowlisted commands run)
 await lbe.runShell('node', ['scripts/build.js']);
 \`\`\`
 
 ## What you must never do
 
-- Call file system APIs directly (fs.writeFile, fs.readFile, etc.)
-- Call child_process or exec directly
-- Modify \`lbe.policy.json\` directly \u2014 propose a rule via \`lbe.policy.proposeRule()\`
-- Attempt to bypass, patch, or disable the executor
-
-## Proposing a new policy rule
+- Call fs.* or child_process.* directly
+- Modify \`.lbe/policy.json\` directly \u2014 propose a rule via \`lbe.policy.proposeRule()\`
+- Attempt to bypass or disable the executor
 
-If you believe a rule should be added or removed, propose it and let the
-controller decide:
+## Proposing a policy rule
 
 \`\`\`js
 const proposal = lbe.policy.proposeRule({
-  effect: 'deny',
-  type: 'path',
-  pattern: 'secrets/**',
+  effect: 'deny', type: 'path', pattern: 'secrets/**',
   from: 'agent: these files should never be modified'
 });
-// Return proposal to the user. Never call lbe.policy.addRule() yourself.
+// Return proposal to the user \u2014 never call lbe.policy.addRule() yourself.
 \`\`\`
 
 ## Result shape
 
-Every method returns:
-\`\`\`
-{ ok: boolean, decision: 'allow' | 'deny' | 'observe', executed: boolean }
-\`\`\`
-
-If \`ok\` is false, the action was blocked. Check \`result.error.message\` for reason.
-
-## Current policy
-
-See \`lbe.policy.json\` in the project root.
-See \`.lbe/audit.jsonl\` for the execution audit trail.
-
-## CLI
-
-\`\`\`bash
-npx lbe-exec status    # mode, rule count, audit entry count
-npx lbe-exec policy    # list active rules
-npx lbe-exec observe   # switch to observer mode
-npx lbe-exec enforce   # switch to enforcement mode
-\`\`\`
-`;
-}
-function claudeMdSection() {
-  return `<!-- lbe-governance -->
-## LBE Execution Governance
-
-This project has LetterBlack LBE active. All file and shell operations must
-route through the LBE executor \u2014 do not use file system tools directly.
-
-### Use these methods
-
-\`\`\`js
-import { createLocalExecutor } from '@letterblack/lbe-exec';
-const lbe = createLocalExecutor({ rootDir: process.cwd() });
-
-await lbe.writeFile('path/to/file', content);
-await lbe.readFile('path/to/file');
-await lbe.patchFile('path/to/file', patch);
-await lbe.deleteFile('path/to/file');
-await lbe.runShell('node', ['script.js']);
-\`\`\`
-
-### Rules
-
-- Never call \`fs.*\` or \`child_process.*\` directly
-- Never write to \`lbe.policy.json\` directly \u2014 use \`lbe.policy.proposeRule()\`
-- Every blocked action has a reason in \`result.error.message\`
-- Audit trail is in \`.lbe/audit.jsonl\`
+\`{ ok: boolean, decision: 'allow' | 'deny' | 'observe', executed: boolean }\`
 
-See \`.lbe/AGENT_CONTRACT.md\` for the full agent contract.
-<!-- /lbe-governance -->`;
-}
-function copilotInstructionsContent() {
-  return `# LBE Governance \u2014 Copilot Instructions
-
-This project has LetterBlack LBE active. All file and shell operations must
-route through the LBE executor.
-
-## Required
-
-Use \`@letterblack/lbe-exec\` for all file and shell actions:
-
-\`\`\`js
-const lbe = createLocalExecutor({ rootDir: process.cwd() });
-await lbe.writeFile(path, content);
-await lbe.readFile(path);
-await lbe.runShell(cmd, args);
-\`\`\`
-
-## Forbidden
+## Files
 
-- Direct \`fs.*\` calls
-- Direct \`child_process.*\` or \`exec\` calls
-- Writing to \`lbe.policy.json\` directly
-
-See \`.lbe/AGENT_CONTRACT.md\` for the full contract.
+- Policy: \`.lbe/policy.json\`
+- Audit:  \`.lbe/audit.jsonl\`
+- Status: \`npx lbe-exec status\`
 `;
 }
-function writeAgentGovernanceFiles(cwd) {
+function writeAgentContract(cwd) {
   const lbeDir = path4.join(cwd, ".lbe");
   fs4.mkdirSync(lbeDir, { recursive: true });
   fs4.writeFileSync(path4.join(lbeDir, "AGENT_CONTRACT.md"), agentContractContent());
-  const claudePath = path4.join(cwd, "CLAUDE.md");
-  const section = claudeMdSection();
-  if (fs4.existsSync(claudePath)) {
-    const existing = fs4.readFileSync(claudePath, "utf8");
-    if (!existing.includes("<!-- lbe-governance -->")) {
-      fs4.appendFileSync(claudePath, "\n\n" + section + "\n");
+}
+function migrateLegacyRootFiles(cwd) {
+  const lbeDir = path4.join(cwd, ".lbe");
+  fs4.mkdirSync(lbeDir, { recursive: true });
+  const migrations = [
+    ["lbe.policy.json", ".lbe/policy.json"],
+    ["lbe.workspace.json", ".lbe/workspace.json"]
+  ];
+  const removed = [];
+  for (const [src, dest] of migrations) {
+    const srcPath = path4.join(cwd, src);
+    const destPath = path4.join(cwd, dest);
+    if (fs4.existsSync(srcPath) && !fs4.existsSync(destPath)) {
+      fs4.renameSync(srcPath, destPath);
+      removed.push(src + " \u2192 " + dest);
+    } else if (fs4.existsSync(srcPath)) {
+      fs4.unlinkSync(srcPath);
+      removed.push(src + " (removed \u2014 .lbe/ version exists)");
+    }
+  }
+  const toDelete = ["CLAUDE.md", path4.join(".github", "copilot-instructions.md")];
+  for (const rel of toDelete) {
+    const p = path4.join(cwd, rel);
+    if (fs4.existsSync(p)) {
+      const content = fs4.readFileSync(p, "utf8");
+      if (content.includes("lbe-governance") || content.includes("LetterBlack LBE")) {
+        fs4.unlinkSync(p);
+        removed.push(rel + " (removed \u2014 LBE-generated file)");
+      }
     }
-  } else {
-    fs4.writeFileSync(claudePath, section + "\n");
-  }
-  const githubDir = path4.join(cwd, ".github");
-  fs4.mkdirSync(githubDir, { recursive: true });
-  const copilotPath = path4.join(githubDir, "copilot-instructions.md");
-  if (!fs4.existsSync(copilotPath)) {
-    fs4.writeFileSync(copilotPath, copilotInstructionsContent());
   }
+  return removed;
 }
 async function initCommand(opts2 = {}) {
   const cwd = process.cwd();
   const yes = opts2.yes || opts2.y || !process.stdin.isTTY;
-  const outPath = path4.join(cwd, "lbe.workspace.json");
+  const lbeDir = path4.join(cwd, ".lbe");
+  fs4.mkdirSync(lbeDir, { recursive: true });
+  const outPath = path4.join(lbeDir, "workspace.json");
   console.log("\nScanning workspace...\n");
   const { projectTypes, primaryType: primaryType2, semantics, enforcement } = scanWorkspace(cwd);
   console.log(formatSummary(projectTypes, semantics, enforcement));
@@ -2537,21 +2473,24 @@ async function initCommand(opts2 = {}) {
     enforcement: finalEnforcement
   };
   fs4.writeFileSync(outPath, JSON.stringify(contract, null, 2));
-  console.log("\u2713 Wrote lbe.workspace.json");
+  console.log("\u2713 Wrote .lbe/workspace.json");
   setupCrypto(cwd);
-  const localPolicyPath = path4.join(cwd, "lbe.policy.json");
+  const localPolicyPath = path4.join(lbeDir, "policy.json");
   if (!fs4.existsSync(localPolicyPath)) {
     fs4.writeFileSync(localPolicyPath, JSON.stringify({ version: 1, mode: "observe", workspace: cwd, rules: [] }, null, 2) + "\n");
   }
-  const localAuditPath = path4.join(cwd, ".lbe", "audit.jsonl");
+  const localAuditPath = path4.join(lbeDir, "audit.jsonl");
   if (!fs4.existsSync(localAuditPath)) fs4.writeFileSync(localAuditPath, "");
-  console.log("\u2713 Keys and policy ready");
-  writeAgentGovernanceFiles(cwd);
+  console.log("\u2713 Keys and policy ready  (.lbe/)");
+  writeAgentContract(cwd);
   console.log("\u2713 Agent contract written  \u2192  .lbe/AGENT_CONTRACT.md");
-  console.log("\u2713 CLAUDE.md updated with LBE governance section");
-  console.log("\u2713 .github/copilot-instructions.md ready\n");
-  console.log("Done. Any AI agent that reads project context will follow LBE governance automatically.");
-  console.log("Run  npx lbe status  to see mode, rules, and audit entry count.\n");
+  const migrated = migrateLegacyRootFiles(cwd);
+  if (migrated.length) {
+    console.log("\n\u2713 Migrated legacy files:");
+    for (const m of migrated) console.log("  " + m);
+  }
+  console.log("\nDone. All LBE state is in .lbe/");
+  console.log("Run  npx lbe-exec status  to verify.\n");
   return { success: true, contract };
 }
 
@@ -2571,14 +2510,10 @@ var opts = Object.fromEntries(
 var positional = rest.filter((v) => !v.startsWith("--") && rest[rest.indexOf(v) - 1]?.startsWith("--") === false);
 var __dir = path15.dirname(fileURLToPath2(import.meta.url));
 function loadPolicy() {
-  const p = path15.join(process.cwd(), "lbe.policy.json");
+  const cwd = process.cwd();
+  const p = fs14.existsSync(path15.join(cwd, ".lbe", "policy.json")) ? path15.join(cwd, ".lbe", "policy.json") : path15.join(cwd, "lbe.policy.json");
   return fs14.existsSync(p) ? JSON.parse(fs14.readFileSync(p, "utf8")) : null;
 }
-function countAudit() {
-  const p = path15.join(process.cwd(), ".lbe", "audit.jsonl");
-  if (!fs14.existsSync(p)) return 0;
-  return fs14.readFileSync(p, "utf8").split("\n").filter((l) => l.trim()).length;
-}
 function findHookPath() {
   const candidates = [
     path15.resolve(__dir, "../hooks/register.cjs"),
@@ -2684,8 +2619,9 @@ switch (cmd) {
       process.exit(1);
     }
     const existing = process.env.NODE_OPTIONS || "";
-    const hookFlag = "--require " + hookPath;
-    const nodeOptions = existing.includes(hookFlag) ? existing : (existing + " " + hookFlag).trim();
+    const hookPathFwd = hookPath.replace(/\\/g, "/");
+    const hookFlag = '--require "' + hookPathFwd + '"';
+    const nodeOptions = existing.includes(hookPathFwd) ? existing : (existing + " " + hookFlag).trim();
     const npmArgs = rest.filter((v) => !v.startsWith("--mode") && v !== opts.mode);
     const child = spawn("npm", npmArgs, {
       stdio: "inherit",
@@ -2696,59 +2632,63 @@ switch (cmd) {
     break;
   }
   case "status": {
-    const policy = loadPolicy();
+    const root = process.cwd();
     console.log("\u2500\u2500 LBE Status \u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500");
-    console.log("workspace:   " + process.cwd());
-    if (policy) {
-      console.log("mode:        " + policy.mode);
-      console.log("rules:       " + (policy.rules?.length ?? 0));
-      console.log("audit:       " + countAudit() + " entries  (.lbe/audit.jsonl)");
-    } else {
-      console.log("policy:      not found \u2014 run: npx lbe-exec init");
-    }
-    const statusFile = path15.join(process.cwd(), ".lbe", "runtime", "hook-status.json");
-    if (!fs14.existsSync(statusFile)) {
-      console.log("\nhook:        inactive \u2014 use: npx lbe-exec run-node ./agent.js");
-      break;
-    }
-    let hookStatus;
-    try {
-      hookStatus = JSON.parse(fs14.readFileSync(statusFile, "utf8"));
-    } catch (e) {
-      console.log("\nhook:        status file unreadable \u2014 " + e.message);
-      break;
-    }
-    let pidAlive = false;
-    try {
-      process.kill(hookStatus.pid, 0);
-      pidAlive = true;
-    } catch (_) {
-    }
-    console.log("\nhook:        " + (pidAlive ? "ACTIVE" : "stale (process exited)"));
-    console.log("hook pid:    " + hookStatus.pid + (pidAlive ? " (alive)" : " (gone)"));
-    console.log("hook mode:   " + hookStatus.mode);
-    console.log("hook root:   " + hookStatus.root);
-    console.log("hook start:  " + hookStatus.started_at);
-    if (hookStatus.patched) {
-      console.log("\nPatched functions:");
-      for (const [fn, active] of Object.entries(hookStatus.patched)) {
-        console.log("  " + (active ? "\u2713" : "\u2013") + " " + fn);
+    console.log("workspace:   " + root);
+    const hookPath = findHookPath();
+    console.log("hook file:   " + hookPath + (fs14.existsSync(hookPath) ? " (found)" : " (MISSING)"));
+    const lbeRoot = process.env.LBE_ROOT || "";
+    console.log("LBE_ROOT:    " + (lbeRoot || "(not set)"));
+    const nodeOpts = process.env.NODE_OPTIONS || "";
+    const hookInPath = nodeOpts.includes("register.cjs");
+    console.log("NODE_OPTIONS contains hook: " + (hookInPath ? "yes" : "no"));
+    const eventsFile = path15.join(root, ".lbe", "events.jsonl");
+    const auditExists = fs14.existsSync(eventsFile);
+    console.log("audit log:   " + (auditExists ? eventsFile : "(none yet)"));
+    if (auditExists) {
+      try {
+        const lines = fs14.readFileSync(eventsFile, "utf8").split("\n").filter((l) => l.trim());
+        if (lines.length) {
+          const last = JSON.parse(lines[lines.length - 1]);
+          const ts = new Date((last.ts || 0) * 1e3).toISOString().replace("T", " ").slice(0, 19);
+          const target = last.path || last.cmd || "?";
+          console.log("last event:  " + ts + "  " + last.action + "  " + target + "  \u2192 " + (last.decision || "?"));
+        } else {
+          console.log("last event:  (none)");
+        }
+      } catch (_) {
+        console.log("last event:  (unreadable)");
       }
     }
-    const activationFile = path15.join(process.cwd(), ".lbe", "activation.json");
-    const sessionActive = (process.env.NODE_OPTIONS || "").includes("register.cjs");
-    if (fs14.existsSync(activationFile)) {
+    const statusFile = path15.join(root, ".lbe", "runtime", "hook-status.json");
+    if (fs14.existsSync(statusFile)) {
+      let h;
       try {
-        const act = JSON.parse(fs14.readFileSync(activationFile, "utf8"));
-        console.log("\nactivation:  " + (act.permanent ? "permanent" : "session") + " (" + act.mode + ")" + (sessionActive ? "  NODE_OPTIONS \u2713" : "  restart terminal to apply"));
+        h = JSON.parse(fs14.readFileSync(statusFile, "utf8"));
       } catch (_) {
       }
-    } else if (sessionActive) {
-      console.log("\nactivation:  session active  NODE_OPTIONS \u2713");
+      if (h) {
+        let pidAlive = false;
+        try {
+          process.kill(h.pid, 0);
+          pidAlive = true;
+        } catch (_) {
+        }
+        console.log("\nhook process: " + (pidAlive ? "ACTIVE" : "stale (process exited)"));
+        console.log("hook pid:     " + h.pid + (pidAlive ? " (alive)" : " (gone)"));
+        console.log("hook mode:    " + h.mode);
+        console.log("hook started: " + h.started_at);
+        if (h.patched) {
+          console.log("\nPatched functions:");
+          for (const [fn, active] of Object.entries(h.patched)) {
+            console.log("  " + (active ? "\u2713" : "\u2013") + " " + fn);
+          }
+        }
+      }
     } else {
-      console.log("\nactivation:  none \u2014 run: lbe-exec activate");
+      console.log("\nhook process: inactive \u2014 run: lbe-exec run-node ./agent.js");
+      console.log("              or: lbe-exec activate  then  lbe-exec shell");
     }
-    console.log("\nevents log:  .lbe/events.jsonl");
     break;
   }
   case "audit": {
@@ -2793,12 +2733,12 @@ switch (cmd) {
   case "activate": {
     const hookPath = findHookPath();
     if (!fs14.existsSync(hookPath)) {
-      console.error("Hook not found: " + hookPath + "\nRun: npm install @letterblack/lbe-exec");
+      console.error("Hook not found: " + hookPath);
+      console.error("Run: npm install @letterblack/lbe-exec");
       process.exit(1);
     }
     const mode = opts.mode || "observe";
     const root = process.cwd();
-    const reqFlag = '--require "' + hookPath + '"';
     const lbeDir = path15.join(root, ".lbe");
     fs14.mkdirSync(lbeDir, { recursive: true });
     fs14.writeFileSync(path15.join(lbeDir, "activation.json"), JSON.stringify({
@@ -2806,111 +2746,83 @@ switch (cmd) {
       activatedAt: (/* @__PURE__ */ new Date()).toISOString(),
       hookPath,
       mode,
-      root,
-      permanent: !!opts.permanent
+      root
     }, null, 2) + "\n");
-    if (opts.permanent) {
-      if (process.platform === "win32") {
-        const psRead = spawnSync2("powershell.exe", [
-          "-NoProfile",
-          "-NonInteractive",
-          "-Command",
-          '[System.Environment]::GetEnvironmentVariable("NODE_OPTIONS","User")'
-        ], { encoding: "utf8" });
-        const current = (psRead.stdout || "").trim();
-        const merged = current.includes(hookPath) ? current : (current + " " + reqFlag).trim();
-        spawnSync2("powershell.exe", [
-          "-NoProfile",
-          "-NonInteractive",
-          "-Command",
-          `[System.Environment]::SetEnvironmentVariable('NODE_OPTIONS','${merged}','User');[System.Environment]::SetEnvironmentVariable('LBE_ROOT','${root}','User');[System.Environment]::SetEnvironmentVariable('LBE_MODE','${mode}','User')`
-        ], { stdio: "inherit" });
-        console.log("\n\u2713 LBE permanently activated \u2014 Windows user environment updated.");
-        console.log("  Restart your terminal or IDE to apply.\n");
-        console.log("  Every node / npm / npx process will be governed automatically.");
-      } else {
-        const home = process.env.HOME || "";
-        const rcFiles = [".bashrc", ".zshrc"].map((f) => path15.join(home, f)).filter((f) => fs14.existsSync(f));
-        const block = `
-# LBE Agent Governance
-export NODE_OPTIONS='${reqFlag}'
-export LBE_ROOT="${root}"
-export LBE_MODE="${mode}"
-`;
-        for (const rc of rcFiles) {
-          fs14.appendFileSync(rc, block);
-          console.log("\u2713 Appended to " + rc);
-        }
-        if (!rcFiles.length) console.log("No .bashrc/.zshrc found \u2014 add these manually:\n" + block);
-        console.log("  Run: source ~/.bashrc  (or restart terminal)");
+    console.log("\u2500\u2500 LBE workspace activated \u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500");
+    console.log("workspace: " + root);
+    console.log("hook:      " + hookPath);
+    console.log("mode:      " + mode);
+    console.log("\nNext: open a governed shell session:");
+    console.log("  lbe-exec shell");
+    console.log("\nAny Node.js agent run inside that shell is intercepted.");
+    console.log("Python, Go, native binaries, and PowerShell are NOT governed.");
+    break;
+  }
+  case "shell": {
+    const activationFile = path15.join(process.cwd(), ".lbe", "activation.json");
+    let activation = null;
+    if (fs14.existsSync(activationFile)) {
+      try {
+        activation = JSON.parse(fs14.readFileSync(activationFile, "utf8"));
+      } catch (_) {
       }
+    }
+    const hookPath = activation && activation.hookPath || findHookPath();
+    if (!fs14.existsSync(hookPath)) {
+      console.error("Hook not found. Run: lbe-exec activate");
+      process.exit(1);
+    }
+    const mode = opts.mode || activation && activation.mode || "observe";
+    const root = activation && activation.root || process.cwd();
+    const hookPathFwd = hookPath.replace(/\\/g, "/");
+    const nodeOpts = '--require "' + hookPathFwd + '"';
+    const shellEnv = { ...process.env, NODE_OPTIONS: nodeOpts, LBE_ROOT: root, LBE_MODE: mode };
+    console.log("[lbe] Opening governed shell \u2014 mode: " + mode);
+    console.log("[lbe] NODE_OPTIONS set. Node.js agents are intercepted.");
+    console.log("[lbe] Python / Go / native binaries are NOT governed.");
+    console.log('[lbe] Type "exit" to close.\n');
+    let shellProc;
+    if (process.platform === "win32") {
+      const banner = [
+        `$env:NODE_OPTIONS='--require "${hookPathFwd}"'`,
+        `$env:LBE_ROOT='${root}'`,
+        `$env:LBE_MODE='${mode}'`,
+        `Write-Host '[lbe] Shell armed \u2014 mode: ${mode}' -ForegroundColor Green`
+      ].join("; ");
+      shellProc = spawn(
+        "powershell.exe",
+        ["-NoExit", "-Command", banner],
+        { stdio: "inherit", env: shellEnv }
+      );
     } else {
-      console.log("\u2500\u2500 LBE Workspace Activation \u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500\u2500");
-      console.log("workspace: " + root);
-      console.log("hook:      " + hookPath);
-      console.log("mode:      " + mode);
-      console.log("\nCopy and run in your terminal to arm this session:\n");
-      if (process.platform === "win32") {
-        console.log("# PowerShell:");
-        console.log(`$env:NODE_OPTIONS='--require "` + hookPath + `"'`);
-        console.log('$env:LBE_ROOT="' + root + '"');
-        console.log('$env:LBE_MODE="' + mode + '"');
-        console.log("\n# cmd.exe:");
-        console.log('set NODE_OPTIONS=--require "' + hookPath + '"');
-        console.log("set LBE_ROOT=" + root);
-        console.log("set LBE_MODE=" + mode);
-      } else {
-        console.log(`export NODE_OPTIONS='--require "` + hookPath + `"'`);
-        console.log('export LBE_ROOT="' + root + '"');
-        console.log('export LBE_MODE="' + mode + '"');
-      }
-      console.log("\nAfter running: every node / npm / npx command in this session is governed.");
-      console.log("To persist across all terminals:  lbe-exec activate --permanent");
+      const sh = process.env.SHELL || "/bin/bash";
+      shellProc = spawn(sh, [], { stdio: "inherit", env: shellEnv });
     }
+    shellProc.on("close", (code) => {
+      console.log("\n[lbe] Governed shell closed.");
+      process.exit(code ?? 0);
+    });
     break;
   }
   case "deactivate": {
-    const activationFile = path15.join(process.cwd(), ".lbe", "activation.json");
-    if (fs14.existsSync(activationFile)) fs14.unlinkSync(activationFile);
-    if (opts.permanent) {
-      if (process.platform === "win32") {
-        const hookPath = findHookPath();
-        const psRead = spawnSync2("powershell.exe", [
-          "-NoProfile",
-          "-NonInteractive",
-          "-Command",
-          '[System.Environment]::GetEnvironmentVariable("NODE_OPTIONS","User")'
-        ], { encoding: "utf8" });
-        const current = (psRead.stdout || "").trim();
-        const cleaned = current.replace('--require "' + hookPath + '"', "").replace("--require " + hookPath, "").trim();
-        spawnSync2("powershell.exe", [
-          "-NoProfile",
-          "-NonInteractive",
-          "-Command",
-          (cleaned ? `[System.Environment]::SetEnvironmentVariable('NODE_OPTIONS','${cleaned}','User');` : `[System.Environment]::SetEnvironmentVariable('NODE_OPTIONS',$null,'User');`) + `[System.Environment]::SetEnvironmentVariable('LBE_ROOT',$null,'User');[System.Environment]::SetEnvironmentVariable('LBE_MODE',$null,'User')`
-        ], { stdio: "inherit" });
-        console.log("\u2713 LBE deactivated \u2014 user environment cleared. Restart terminal to apply.");
-      } else {
-        console.log("Remove these lines from your shell RC file (.bashrc / .zshrc):");
-        console.log("  export NODE_OPTIONS=... (the --require lbe line)");
-        console.log("  export LBE_ROOT=...");
-        console.log("  export LBE_MODE=...");
+    const root = process.cwd();
+    const files = [
+      path15.join(root, ".lbe", "activation.json"),
+      path15.join(root, ".lbe", "runtime", "hook-status.json")
+    ];
+    let removed = 0;
+    for (const f of files) {
+      if (fs14.existsSync(f)) {
+        fs14.unlinkSync(f);
+        removed++;
       }
+    }
+    if (removed) {
+      console.log("\u2713 LBE deactivated \u2014 workspace activation files removed.");
     } else {
-      console.log("Run these commands to disarm this session:\n");
-      if (process.platform === "win32") {
-        console.log("# PowerShell:");
-        console.log("Remove-Item Env:NODE_OPTIONS -ErrorAction SilentlyContinue");
-        console.log("Remove-Item Env:LBE_ROOT    -ErrorAction SilentlyContinue");
-        console.log("Remove-Item Env:LBE_MODE    -ErrorAction SilentlyContinue");
-        console.log("\n# cmd.exe:");
-        console.log("set NODE_OPTIONS=");
-        console.log("set LBE_ROOT=");
-        console.log("set LBE_MODE=");
-      } else {
-        console.log("unset NODE_OPTIONS LBE_ROOT LBE_MODE");
-      }
+      console.log("Nothing to deactivate (workspace was not activated).");
     }
+    console.log('Close any open "lbe-exec shell" sessions to fully disarm.');
     break;
   }
   case "observe":
@@ -2923,7 +2835,7 @@ export LBE_MODE="${mode}"
   case "policy": {
     const policy = loadPolicy();
     if (!policy) {
-      console.log("No lbe.policy.json found. Run: npx lbe-exec init");
+      console.log("No policy found. Run: npx lbe-exec init");
       break;
     }
     if (!policy.rules?.length) {
@@ -2964,10 +2876,11 @@ export LBE_MODE="${mode}"
     console.log("  status              Show workspace, mode, hook state, patched functions");
     console.log("  audit               Show unified event log (.lbe/events.jsonl)");
     console.log("  policy              List active policy rules");
-    console.log("  activate            Arm workspace \u2014 every node/npm/npx is governed");
-    console.log("    [--mode observe|enforce] [--permanent]");
-    console.log("  deactivate          Disarm workspace");
-    console.log("    [--permanent]");
+    console.log("  activate            Write workspace activation record (Node.js only)");
+    console.log("    [--mode observe|enforce]");
+    console.log("  shell               Open a governed terminal (NODE_OPTIONS pre-set)");
+    console.log("    [--mode observe|enforce]");
+    console.log("  deactivate          Remove workspace activation files");
     console.log("  observe             Switch to observer mode (log only, nothing blocked)");
     console.log("  enforce             Switch to enforcement mode (violations blocked)");
     console.log("  execute             Send a JSON request from stdin or --input file");

package/dist/index.js

@@ -1490,7 +1490,7 @@ function verifyAuditLogIntegrity(logPath, options = {}) {
 import fs8 from "fs";
 import path9 from "path";
 import crypto4 from "crypto";
-var POLICY_FILE = "lbe.policy.json";
+var POLICY_FILE = ".lbe/policy.json";
 var AUDIT_FILE = ".lbe/audit.jsonl";
 function glob(pattern) {
   const escaped = pattern.replace(/[.+^${}()|[\]\\]/g, "\\$&");

package/hooks/register.cjs

@@ -14,7 +14,10 @@ const MODE = process.env.LBE_MODE || 'observe';
 // ── Policy loader (inline CJS — ESM cannot be require()'d synchronously) ────
 
 function loadPolicy() {
-    const policyPath = path.join(ROOT_DIR, 'lbe.policy.json');
+    // .lbe/policy.json is canonical. Fall back to legacy lbe.policy.json in root.
+    const policyPath = fs.existsSync(path.join(ROOT_DIR, '.lbe', 'policy.json'))
+        ? path.join(ROOT_DIR, '.lbe', 'policy.json')
+        : path.join(ROOT_DIR, 'lbe.policy.json');
     try {
         if (fs.existsSync(policyPath)) {
             return JSON.parse(fs.readFileSync(policyPath, 'utf8'));

package/package.json

@@ -1,6 +1,6 @@
 {
   "name": "@letterblack/lbe-exec",
-  "version": "1.2.15",
+  "version": "1.2.17",
   "description": "Local host-signed execution layer for LetterBlack LBE.",
   "type": "module",
   "main": "dist/index.js",