From 5c8ac975e753edec98db8c0809ad37366714f62c Mon Sep 17 00:00:00 2001
From: Ho Lim <subhoya@gmail.com>
Date: Fri, 10 Jul 2026 08:47:08 -0700
Subject: [PATCH] fix(desktop): invalidate terminal overlay position on layout
 mutations

Signed-off-by: Ho Lim <subhoya@gmail.com>
---
 .../terminal/persistent.test.tsx              | 51 +++++++++++++++++++
 .../app/right-sidebar/terminal/persistent.tsx | 14 +++++
 2 files changed, 65 insertions(+)

diff --git a/apps/desktop/src/app/right-sidebar/terminal/persistent.test.tsx b/apps/desktop/src/app/right-sidebar/terminal/persistent.test.tsx
index 04fb3b9cfa79..97b672752668 100644
--- a/apps/desktop/src/app/right-sidebar/terminal/persistent.test.tsx
+++ b/apps/desktop/src/app/right-sidebar/terminal/persistent.test.tsx
@@ -13,6 +13,7 @@ vi.mock('./workspace', () => ({
 }))
 
 let resizeObserverCallback: ResizeObserverCallback | null = null
+let mutationObserverCallback: MutationCallback | null = null
 let root: Root | null = null
 let container: HTMLDivElement | null = null
 let windowStateCallback: ((payload: { isMinimized?: boolean; isVisible?: boolean }) => void) | null = null
@@ -125,6 +126,7 @@ describe('PersistentTerminal rect tracking', () => {
     setVisibility(false)
     installWindowStateBridge()
     resizeObserverCallback = null
+    mutationObserverCallback = null
     vi.stubGlobal(
       'ResizeObserver',
       class {
@@ -137,6 +139,18 @@ describe('PersistentTerminal rect tracking', () => {
         unobserve = vi.fn()
       } as unknown as typeof ResizeObserver
     )
+    vi.stubGlobal(
+      'MutationObserver',
+      class {
+        constructor(callback: MutationCallback) {
+          mutationObserverCallback = callback
+        }
+
+        disconnect = vi.fn()
+        observe = vi.fn()
+        takeRecords = vi.fn(() => [])
+      } as unknown as typeof MutationObserver
+    )
   })
 
   afterEach(() => {
@@ -184,6 +198,43 @@ describe('PersistentTerminal rect tracking', () => {
     expect(raf.pending()).toBe(0)
   })
 
+  it('remeasures when layout moves the slot without resizing it', () => {
+    const raf = installRaf()
+    let currentRect = rect(10, 20, 200, 100)
+    vi.spyOn(HTMLElement.prototype, 'getBoundingClientRect').mockImplementation(() => currentRect)
+
+    render(<Harness />)
+
+    act(() => {
+      raf.runNext()
+    })
+
+    const overlay = container!.lastElementChild as HTMLElement
+    expect(overlay.style.top).toBe('10px')
+    expect(overlay.style.left).toBe('20px')
+    expect(raf.pending()).toBe(0)
+
+    currentRect = rect(32, 48, 200, 100)
+    act(() => {
+      mutationObserverCallback?.([], {} as MutationObserver)
+    })
+
+    expect(raf.request).toHaveBeenCalledTimes(2)
+
+    act(() => {
+      raf.runNext()
+    })
+
+    expect(overlay.style.top).toBe('32px')
+    expect(overlay.style.left).toBe('48px')
+
+    act(() => {
+      raf.runNext()
+    })
+
+    expect(raf.pending()).toBe(0)
+  })
+
   it('does not schedule rect RAFs while the Electron window is paused, then resumes when visible', () => {
     const raf = installRaf()
     vi.spyOn(HTMLElement.prototype, 'getBoundingClientRect').mockReturnValue(rect(10, 20, 200, 100))
diff --git a/apps/desktop/src/app/right-sidebar/terminal/persistent.tsx b/apps/desktop/src/app/right-sidebar/terminal/persistent.tsx
index 4d1421f0be28..4165449e959f 100644
--- a/apps/desktop/src/app/right-sidebar/terminal/persistent.tsx
+++ b/apps/desktop/src/app/right-sidebar/terminal/persistent.tsx
@@ -153,11 +153,24 @@ export function PersistentTerminal({ onAddSelectionToChat }: PersistentTerminalP
         : new ResizeObserver(() => {
             scheduleMeasure()
           })
+    const positionObserver =
+      typeof MutationObserver === 'undefined'
+        ? null
+        : new MutationObserver(() => {
+            scheduleMeasure()
+          })
 
     if (measure()) {
       scheduleMeasure()
     }
     observer?.observe(slot)
+    for (let node: HTMLElement | null = slot; node; node = node.parentElement) {
+      positionObserver?.observe(node, {
+        attributeFilter: ['class', 'style', 'hidden', 'aria-hidden', 'data-state'],
+        attributes: true,
+        childList: true
+      })
+    }
     window.addEventListener('resize', scheduleMeasure)
     window.addEventListener('scroll', scheduleMeasure, true)
     pauseController = createRendererLoopPauseController(handleVisibilityChange)
@@ -166,6 +179,7 @@ export function PersistentTerminal({ onAddSelectionToChat }: PersistentTerminalP
       stopped = true
       cancelFrame()
       observer?.disconnect()
+      positionObserver?.disconnect()
       window.removeEventListener('resize', scheduleMeasure)
       window.removeEventListener('scroll', scheduleMeasure, true)
       pauseController?.dispose()