Cannot run docker commands with memory limits in cursor web agent environment

Where does the bug appear (feature/product)?

Background Agent (GitHub, Slack, Web, Linear)

Describe the Bug

Running docker-compose up results in this error:

Error response from daemon: failed to create task for container: failed to create shim task:
OCI runtime create failed: runc create failed: unable to start container process:
unable to apply cgroup configuration: cannot enter cgroupv2 "/sys/fs/cgroup/docker"
with domain controllers -- it is in an invalid state

I’ve gotten an agent to write more detalis here: docker-compose-repro/README.md at main · james-rms/docker-compose-repro · GitHub

This used to work, though I can’t track down exactly when this regressed.

Steps to Reproduce

Clone GitHub - james-rms/docker-compose-repro · GitHub and get a Cursor Cloud Agent to run docker compose up .

Operating System

MacOS

Version Information

N/A: issue is with cursor web agent environment.

For AI issues: which model did you use?

Opus 4.7 High

For AI issues: add Request ID with privacy disabled

bc-82a8c1ec-d503-459c-a353-ce2d67f65ce1

Does this stop you from using Cursor

No - Cursor works, but with this issue

Thanks for the report and repro details, James. We’ve identified this as related to an existing issue with Docker daemon behavior in the Cloud Agent VM environment. Our infrastructure team is actively working on a fix.

A couple of quick questions to help us narrow things down:

  1. Roughly when did this last work for you?

  2. Does Docker work if you remove resource constraints (mem_limit, cpu limits) from the compose file?

I’m sure this worked for me more than a month ago, but I can’t narrow it down more than that, sorry.

Docker does work if I remove the resource constraint specifications - removing mem_limit from docker-compose allows the containers to boot successfully.