diff --git a/gateway/run.py b/gateway/run.py
index 219b564eb8..31fbd0a40a 100644
--- a/gateway/run.py
+++ b/gateway/run.py
@@ -3645,6 +3645,24 @@ class GatewayRunner:
         if max_spawn is not None:
             logger.info(f"kanban dispatcher: max_spawn={max_spawn}")
 
+        raw_failure_limit = kanban_cfg.get("failure_limit", _kb.DEFAULT_FAILURE_LIMIT)
+        try:
+            failure_limit = int(raw_failure_limit)
+        except (TypeError, ValueError):
+            logger.warning(
+                "kanban dispatcher: invalid kanban.failure_limit=%r; using default %d",
+                raw_failure_limit,
+                _kb.DEFAULT_FAILURE_LIMIT,
+            )
+            failure_limit = _kb.DEFAULT_FAILURE_LIMIT
+        if failure_limit < 1:
+            logger.warning(
+                "kanban dispatcher: kanban.failure_limit=%r is below 1; using default %d",
+                raw_failure_limit,
+                _kb.DEFAULT_FAILURE_LIMIT,
+            )
+            failure_limit = _kb.DEFAULT_FAILURE_LIMIT
+
         # Initial delay so the gateway finishes wiring adapters before the
         # dispatcher spawns workers (those workers may hit gateway notify
         # subscriptions etc.). Matches the notifier watcher's delay.
@@ -3673,7 +3691,12 @@ class GatewayRunner:
                     _kb.init_db(board=slug)  # idempotent, handles first-run
                 except Exception:
                     pass
-                return _kb.dispatch_once(conn, board=slug, max_spawn=max_spawn)
+                return _kb.dispatch_once(
+                    conn,
+                    board=slug,
+                    max_spawn=max_spawn,
+                    failure_limit=failure_limit,
+                )
             except Exception:
                 logger.exception("kanban dispatcher: tick failed on board %s", slug)
                 return None
diff --git a/hermes_cli/config.py b/hermes_cli/config.py
index cf2b0b528a..baf73c2ea5 100644
--- a/hermes_cli/config.py
+++ b/hermes_cli/config.py
@@ -1230,6 +1230,10 @@ DEFAULT_CONFIG = {
         # Seconds between dispatcher ticks (idle or not). Lower = snappier
         # pickup of newly-ready tasks; higher = less SQL pressure.
         "dispatch_interval_seconds": 60,
+        # Auto-block after this many consecutive non-success attempts for the
+        # same task/profile (spawn_failed, timed_out, or crashed). Reassignment
+        # resets the streak for the new profile.
+        "failure_limit": 2,
     },
 
     # execute_code settings — controls the tool used for programmatic tool calls.
diff --git a/hermes_cli/kanban.py b/hermes_cli/kanban.py
index d8bc47a7d7..7301e58b66 100644
--- a/hermes_cli/kanban.py
+++ b/hermes_cli/kanban.py
@@ -443,8 +443,8 @@ def build_parser(parent_subparsers: argparse._SubParsersAction) -> argparse.Argu
                         help="Cap number of spawns this pass")
     p_disp.add_argument("--failure-limit", type=int,
                         default=kb.DEFAULT_SPAWN_FAILURE_LIMIT,
-                        help=f"Auto-block a task after this many consecutive spawn failures "
-                             f"(default: {kb.DEFAULT_SPAWN_FAILURE_LIMIT})")
+                        help=f"Auto-block a task after this many consecutive non-success attempts "
+                             f"(spawn_failed, timed_out, or crashed; default: {kb.DEFAULT_SPAWN_FAILURE_LIMIT})")
     p_disp.add_argument("--json", action="store_true")
 
     # --- daemon (deprecated) ---
@@ -1657,6 +1657,7 @@ def _cmd_daemon(args: argparse.Namespace) -> int:
             "    kanban:\n"
             "      dispatch_in_gateway: true      # default\n"
             "      dispatch_interval_seconds: 60\n"
+            "      failure_limit: 2              # consecutive non-success attempts before auto-block\n"
             "\n"
             "Running both the gateway AND this standalone daemon will\n"
             "race for claims. If you truly need the old standalone\n"
diff --git a/hermes_cli/kanban_db.py b/hermes_cli/kanban_db.py
index d61eba1916..94968dd87c 100644
--- a/hermes_cli/kanban_db.py
+++ b/hermes_cli/kanban_db.py
@@ -1380,7 +1380,7 @@ def assign_task(conn: sqlite3.Connection, task_id: str, profile: Optional[str])
     profile = _canonical_assignee(profile)
     with write_txn(conn):
         row = conn.execute(
-            "SELECT status, claim_lock FROM tasks WHERE id = ?", (task_id,)
+            "SELECT status, claim_lock, assignee FROM tasks WHERE id = ?", (task_id,)
         ).fetchone()
         if not row:
             return False
@@ -1389,7 +1389,17 @@ def assign_task(conn: sqlite3.Connection, task_id: str, profile: Optional[str])
                 f"cannot reassign {task_id}: currently running (claimed). "
                 "Wait for completion or reclaim the stale lock first."
             )
-        conn.execute("UPDATE tasks SET assignee = ? WHERE id = ?", (profile, task_id))
+        if row["assignee"] != profile:
+            # The retry guard is scoped to the task/profile combination. A
+            # human reassigning the task is an explicit recovery action, so the
+            # new profile should not inherit the previous profile's streak.
+            conn.execute(
+                "UPDATE tasks SET assignee = ?, consecutive_failures = 0, "
+                "last_failure_error = NULL WHERE id = ?",
+                (profile, task_id),
+            )
+        else:
+            conn.execute("UPDATE tasks SET assignee = ? WHERE id = ?", (profile, task_id))
         _append_event(conn, task_id, "assigned", {"assignee": profile})
         return True
 
@@ -2569,11 +2579,11 @@ def set_workspace_path(
 # Dispatcher (one-shot pass)
 # ---------------------------------------------------------------------------
 
-# After this many consecutive `spawn_failed` events on a task, the dispatcher
-# stops retrying and parks the task in ``blocked`` with a reason so a human
-# can investigate. Prevents the dispatcher from thrashing forever on a task
-# whose profile doesn't exist, whose workspace is unmountable, etc.
-DEFAULT_FAILURE_LIMIT = 5
+# After this many consecutive non-success attempts on a task/profile, the
+# dispatcher stops retrying and parks the task in ``blocked`` with a reason so
+# a human can investigate. Prevents retry storms when a worker repeatedly times
+# out, crashes, or cannot spawn.
+DEFAULT_FAILURE_LIMIT = 2
 # Legacy alias — callers / tests still reference the old name.
 DEFAULT_SPAWN_FAILURE_LIMIT = DEFAULT_FAILURE_LIMIT
 
diff --git a/tests/hermes_cli/test_kanban_core_functionality.py b/tests/hermes_cli/test_kanban_core_functionality.py
index 613c230847..a6d65f6072 100644
--- a/tests/hermes_cli/test_kanban_core_functionality.py
+++ b/tests/hermes_cli/test_kanban_core_functionality.py
@@ -90,22 +90,20 @@ def test_spawn_failure_auto_blocks_after_limit(kanban_home, all_assignees_spawna
     conn = kb.connect()
     try:
         tid = kb.create_task(conn, title="x", assignee="worker")
-        # Three ticks below the default limit (5) → still ready, counter grows.
-        for i in range(3):
-            res = kb.dispatch_once(conn, spawn_fn=_bad_spawn, failure_limit=5)
-            assert tid not in res.auto_blocked
+        assert kb.DEFAULT_FAILURE_LIMIT == 2
+        # One default-limit failure → still ready, counter grows.
+        res1 = kb.dispatch_once(conn, spawn_fn=_bad_spawn)
+        assert tid not in res1.auto_blocked
         task = kb.get_task(conn, tid)
         assert task.status == "ready"
-        assert task.consecutive_failures == 3
+        assert task.consecutive_failures == 1
 
-        # Two more ticks → fifth failure exceeds the limit.
-        res1 = kb.dispatch_once(conn, spawn_fn=_bad_spawn, failure_limit=5)
-        assert tid not in res1.auto_blocked
-        res2 = kb.dispatch_once(conn, spawn_fn=_bad_spawn, failure_limit=5)
+        # Second default-limit failure trips the guard.
+        res2 = kb.dispatch_once(conn, spawn_fn=_bad_spawn)
         assert tid in res2.auto_blocked
         task = kb.get_task(conn, tid)
         assert task.status == "blocked"
-        assert task.consecutive_failures >= 5
+        assert task.consecutive_failures >= 2
         assert task.last_failure_error and "no PATH" in task.last_failure_error
     finally:
         conn.close()
@@ -170,6 +168,27 @@ def test_successful_completion_resets_failure_counter(kanban_home, all_assignees
         conn.close()
 
 
+def test_reassign_resets_failure_counter_for_new_profile(kanban_home, all_assignees_spawnable):
+    """Retry streaks are scoped to a task/profile pair; reassigning is a
+    human recovery action and gives the new profile a fresh budget."""
+    conn = kb.connect()
+    try:
+        tid = kb.create_task(conn, title="x", assignee="worker")
+        with kb.write_txn(conn):
+            conn.execute(
+                "UPDATE tasks SET consecutive_failures = 1, "
+                "last_failure_error = 'timed out' WHERE id = ?",
+                (tid,),
+            )
+        assert kb.assign_task(conn, tid, "reviewer") is True
+        task = kb.get_task(conn, tid)
+        assert task.assignee == "reviewer"
+        assert task.consecutive_failures == 0
+        assert task.last_failure_error is None
+    finally:
+        conn.close()
+
+
 def test_workspace_resolution_failure_also_counts(kanban_home, all_assignees_spawnable):
     """`dir:` workspace with no path should fail workspace resolution AND
     count against the failure budget — not just crash the tick."""
@@ -719,6 +738,48 @@ def test_max_runtime_terminates_overrun_worker(kanban_home):
         _kb._pid_alive = original_alive
 
 
+def test_repeated_timeouts_auto_block_at_default_limit(kanban_home):
+    """Two timed_out outcomes on the same task/profile trip the retry guard."""
+    import hermes_cli.kanban_db as _kb
+    original_alive = _kb._pid_alive
+    _kb._pid_alive = lambda pid: False
+
+    def _age_active_run(conn, tid):
+        old_started = int(time.time()) - 30
+        with kb.write_txn(conn):
+            conn.execute(
+                "UPDATE task_runs SET started_at = ? "
+                "WHERE id = (SELECT current_run_id FROM tasks WHERE id = ?)",
+                (old_started, tid),
+            )
+
+    try:
+        conn = kb.connect()
+        try:
+            tid = kb.create_task(
+                conn, title="long job", assignee="worker",
+                max_runtime_seconds=1,
+            )
+            for expected_failures in (1, 2):
+                kb.claim_task(conn, tid)
+                kb._set_worker_pid(conn, tid, os.getpid())
+                _age_active_run(conn, tid)
+                timed_out = kb.enforce_max_runtime(conn, signal_fn=lambda pid, sig: None)
+                assert tid in timed_out
+                task = kb.get_task(conn, tid)
+                assert task.consecutive_failures == expected_failures
+            task = kb.get_task(conn, tid)
+            assert task.status == "blocked"
+            events = kb.list_events(conn, tid)
+            assert [e.kind for e in events].count("timed_out") == 2
+            gave_up = [e for e in events if e.kind == "gave_up"]
+            assert gave_up and gave_up[-1].payload["trigger_outcome"] == "timed_out"
+        finally:
+            conn.close()
+    finally:
+        _kb._pid_alive = original_alive
+
+
 def test_max_runtime_none_means_no_cap(kanban_home):
     """A task with max_runtime_seconds=None is never timed out regardless
     of how long it runs."""