Terminal freezes when pasting >1KB text while Claude Code is running (PTY layer issue)

Hey, thanks for the report. This is a known issue with the new Terminal tool. There’s a delay between when the command finishes and when the agent notices.

As a workaround, try enabling the Legacy Terminal Tool:

  • Cursor Settings (not VS Code settings) > Agents > Terminal > Legacy Terminal Tool, turn it on
  • Restart Cursor
  • Check if the delay is gone

Other users reported this reduces the extra delay from 10 to 27 seconds down to under one second. Here are similar threads for context:

The team is aware of this issue. If the workaround helps, let me know. If it doesn’t, please share the Request ID from the affected session (chat menu in the top right, then Copy Request ID).