Cloud agent environment setup is failing with 400 error

Where does the bug appear (feature/product)?

Background Agent (GitHub, Slack, Web, Linear)

Describe the Bug

Whe I try to setup my Cursor agent environment in web, I get error 400 error

Steps to Reproduce

start a new agent chat
prompts you to setup environment
At save environment step, I click “Save to team” and I get “Failed to save: 400” error

Screenshots / Screen Recordings

Operating System

MacOS

Version Information

Claude web agents

Does this stop you from using Cursor

Yes - Cursor is unusable

Hi @Muhammed_Altinci I’m sorry for the inconvenience here. This is a known class of bug and we have linked your report to it.

This may be happening because your repo has a .cursor/environment.json file that points Cloud Agents to an old or expired environment snapshot. That file takes priority over the team environment saved in setup, so saving a fresh team environment may keep failing until the file is removed or updated.

Please try this workaround:

  1. Open your repository locally.

  2. Check whether .cursor/environment.json exists.

  3. If your team is not intentionally using this file for a custom Cloud Agent setup, delete it.

  4. If your team does need this file, edit it and remove the stale snapshot reference instead.

  5. Push that change to the branch Cloud Agents is using.

  6. Go back to Cloud Agent setup and run setup again.

  7. Once setup completes, click Save to team again.

After the stale .cursor/environment.json reference is removed, Cloud Agents should use the newly saved team environment instead of the expired snapshot.