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Fixed
A stopped owner session holds the loop instead of breaking it - When the owner stops the main session, the loop no longer counts each refused agent start as a failure that uses up attempts and trips the breaker. It holds agent starts and wakes, shows held: session stopped since HH:MM in the title and in /factory status, and resumes on the next message. (#1349)
A failed update restart ends the update and tells the owner - When the restart for /factory update fails, the update is no longer left due forever. The loop clears it, records the failure and keeps an owner notice with the error until the owner fixes it and runs /factory update again, or clears it with update off. (#1352)
Splitting an issue works in repos without an in development label - The loop no longer tries to remove that retired label when it releases a split issue's parent, a step that failed every time and tripped the breaker. Issues already stalled on it need a /factory retry after upgrading. (#1354)
Upgrade
Plugin: run npx callum-dev update, commit the .claude/settings.json it produces, then restart the container or run dev-init --plugins. A loop workspace on the orchestrator-loop template picks up the plugin only after that template is pushed at this release (coder/push.sh orchestrator-loop).