/Generate Cursor Rules created a deprecated .cursorrules file?

Describe the Bug

Had a specific insight regarding a layout problem solved with a specific framework and invoked /Generate Cursor Rules slash command on it. Cursor proceeded to create a .cursorrules file instead of an .mdc file in .cursor/rules as it normally does. Is this expected behavior?

Steps to Reproduce

Ask Claude-4-sonnet MAX to /Generate Cursor Rules on something specific

Expected Behavior

Expected generation of rules to be an .mdc file in .cursor/rules.

Screenshots / Screen Recordings

Operating System

MacOS

Current Cursor Version (Menu → About Cursor → Copy)

Version: 1.2.1
VSCode Version: 1.99.3
Commit: 031e7e0ff1e2eda9c1a0f5df67d44053b059c5d0
Date: 2025-07-03T06:06:37.704Z
Electron: 34.5.1
Chromium: 132.0.6834.210
Node.js: 20.19.0
V8: 13.2.152.41-electron.0
OS: Darwin arm64 24.5.0

Does this stop you from using Cursor

No - Cursor works, but with this issue