Computers serving a cloud session no longer apply the folder's own settings and hooks

What

A computer can serve a cloud session, meaning the session runs its work on that machine while nobody is at the terminal there. In that case Claude Code no longer trusts configuration that the session itself could have written:

• Hooks (commands Claude Code runs automatically at set moments) of type command, http, mcp_tool and script are not run when they come from the launch folder's settings, or from plugin or skill folders outside the writable areas. Only trusted sources count.
• The folder's local settings are skipped with a new reason, served_folder: "the cloud session this computer serves can write that file, and nobody is at a terminal here to vouch for it". Before, local settings were skipped only for untrusted and repo_provenance.
• You are told that the folder's configuration was not used (served_settings.folder_config_not_used, served-folder-config-not-used).
• A second new reason, lookup_failed, reads "this computer could not check its records of this session".
• Settings location labels now say "this folder's" instead of "this checkout's".

Why

A cloud session can write files in the folder it works in. Without this change, it could place hooks or settings there that the serving computer would then run with no person present to approve them.