Where does the bug appear (feature/product)?
Cursor IDE
Describe the Bug
When I add a second folder to my workspace (outside of my main working directory), the agents attempt to resolve paths as if the added folder were inside the base working folder.
This used to work correctly, but now the behavior has changed.
I often work on a module for a framework.
My typical setup:
Main working folder → my module
Additional workspace folder → the framework source code
When I need to reference the framework, I add it as an additional folder in the workspace.
Agents try to access the additional folder as if it were located inside the main working directory.
This results in incorrect path resolution and file access failures.
Steps to Reproduce
Open a workspace with Folder A (module)
Add Folder B (framework) as an additional workspace folder
Ask the agent to access files from Folder B
Observe that it resolves paths relative to Folder A instead of Folder B
Expected Behavior
Agents should treat each workspace folder independently and resolve paths relative to their actual filesystem location
Operating System
Windows 10/11
Version Information
Version: 2.4.31 (system setup)
VSCode Version: 1.105.1
Commit: 3578107fdf149b00059ddad37048220e41681000
Date: 2026-02-08T07:42:24.999Z
Build Type: Stable
Release Track: Default
Electron: 39.2.7
Chromium: 142.0.7444.235
Node.js: 22.21.1
V8: 14.2.231.21-electron.0
OS: Windows_NT x64 10.0.26200
For AI issues: which model did you use?
gpt codex 5.3, gpt 5.2, sonnet 4.5
Does this stop you from using Cursor
No - Cursor works, but with this issue