When managed (enterprise) settings fail an approval check, Claude Code now shows "Managed settings were not approved; exiting without applying them" and exits instead of applying them.
Managed settings rejection message
Managed settings that fail an approval check now cause Claude Code to exit rather than apply them.
You'll noticeTier: how much it should matter to you
3Useful: my rating, 1 to 5
3Signal: worth watching, 1 to 5
SettingsArea: what it touches
ImprovementsKind: in v2.1.257,
ImprovementsSection of the release