diff --git a/packages/server/src/server/checkout-diff-manager.test.ts b/packages/server/src/server/checkout-diff-manager.test.ts
index 1f5991741..22f0fda8c 100644
--- a/packages/server/src/server/checkout-diff-manager.test.ts
+++ b/packages/server/src/server/checkout-diff-manager.test.ts
@@ -1,153 +1,134 @@
-commit 07b077f1a28e7126f9d2b48be03bca8486173aac
-Author: Mohamed Boudra <boudra.moha@gmail.com>
-Date:   Wed Apr 1 04:38:45 2026 +0000
+import path from "node:path";
+import { afterEach, beforeEach, describe, expect, test, vi } from "vitest";
 
-    fix: Linux checkout diff watchers and rewind command ordering
-    
-    Use non-recursive directory watchers on Linux since recursive fs.watch
-    is not supported. Dynamically discover and watch subdirectories, refreshing
-    the watcher tree on changes. Also pin rewind command first in the slash
-    command list and remove stale .gitignore entry.
-    
-    Co-Authored-By: Claude Opus 4.6 <noreply@anthropic.com>
+const { execMock, getCheckoutDiffMock, resolveCheckoutGitDirMock, readdirMock, watchCalls } =
+  vi.hoisted(() => {
+    const hoistedWatchCalls: Array<{ path: string; close: ReturnType<typeof vi.fn> }> = [];
+    return {
+      execMock: vi.fn((_command: string, _options: unknown, callback: (error: null, result: { stdout: string; stderr: string }) => void) => {
+        callback(null, { stdout: "/tmp/repo\n", stderr: "" });
+      }),
+      getCheckoutDiffMock: vi.fn(async () => ({ diff: "", structured: [] })),
+      resolveCheckoutGitDirMock: vi.fn(async () => "/tmp/repo/.git"),
+      readdirMock: vi.fn(async (directory: string) => {
+        if (directory === "/tmp/repo") {
+          return [
+            { name: "packages", isDirectory: () => true },
+            { name: ".git", isDirectory: () => true },
+            { name: "README.md", isDirectory: () => false },
+          ];
+        }
+        if (directory === path.join("/tmp/repo", "packages")) {
+          return [
+            { name: "server", isDirectory: () => true },
+            { name: "app", isDirectory: () => true },
+          ];
+        }
+        if (directory === path.join("/tmp/repo", "packages", "server")) {
+          return [{ name: "src", isDirectory: () => true }];
+        }
+        if (directory === path.join("/tmp/repo", "packages", "server", "src")) {
+          return [{ name: "server", isDirectory: () => true }];
+        }
+        return [];
+      }),
+      watchCalls: hoistedWatchCalls,
+    };
+  });
 
-diff --git a/packages/server/src/server/checkout-diff-manager.test.ts b/packages/server/src/server/checkout-diff-manager.test.ts
-new file mode 100644
-index 00000000..22f0fda8
---- /dev/null
-+++ b/packages/server/src/server/checkout-diff-manager.test.ts
-@@ -0,0 +1,134 @@
-+import path from "node:path";
-+import { afterEach, beforeEach, describe, expect, test, vi } from "vitest";
-+
-+const { execMock, getCheckoutDiffMock, resolveCheckoutGitDirMock, readdirMock, watchCalls } =
-+  vi.hoisted(() => {
-+    const hoistedWatchCalls: Array<{ path: string; close: ReturnType<typeof vi.fn> }> = [];
-+    return {
-+      execMock: vi.fn((_command: string, _options: unknown, callback: (error: null, result: { stdout: string; stderr: string }) => void) => {
-+        callback(null, { stdout: "/tmp/repo\n", stderr: "" });
-+      }),
-+      getCheckoutDiffMock: vi.fn(async () => ({ diff: "", structured: [] })),
-+      resolveCheckoutGitDirMock: vi.fn(async () => "/tmp/repo/.git"),
-+      readdirMock: vi.fn(async (directory: string) => {
-+        if (directory === "/tmp/repo") {
-+          return [
-+            { name: "packages", isDirectory: () => true },
-+            { name: ".git", isDirectory: () => true },
-+            { name: "README.md", isDirectory: () => false },
-+          ];
-+        }
-+        if (directory === path.join("/tmp/repo", "packages")) {
-+          return [
-+            { name: "server", isDirectory: () => true },
-+            { name: "app", isDirectory: () => true },
-+          ];
-+        }
-+        if (directory === path.join("/tmp/repo", "packages", "server")) {
-+          return [{ name: "src", isDirectory: () => true }];
-+        }
-+        if (directory === path.join("/tmp/repo", "packages", "server", "src")) {
-+          return [{ name: "server", isDirectory: () => true }];
-+        }
-+        return [];
-+      }),
-+      watchCalls: hoistedWatchCalls,
-+    };
-+  });
-+
-+vi.mock("child_process", () => ({
-+  exec: execMock,
-+}));
-+
-+vi.mock("node:fs/promises", async () => {
-+  const actual = await vi.importActual<typeof import("node:fs/promises")>("node:fs/promises");
-+  return {
-+    ...actual,
-+    readdir: readdirMock,
-+  };
-+});
-+
-+vi.mock("node:fs", async () => {
-+  const actual = await vi.importActual<typeof import("node:fs")>("node:fs");
-+  return {
-+    ...actual,
-+    watch: vi.fn((watchPath: string) => {
-+      const close = vi.fn();
-+      watchCalls.push({ path: watchPath, close });
-+      return {
-+        close,
-+        on: vi.fn().mockReturnThis(),
-+      } as any;
-+    }),
-+  };
-+});
-+
-+vi.mock("../utils/checkout-git.js", () => ({
-+  getCheckoutDiff: getCheckoutDiffMock,
-+}));
-+
-+vi.mock("./checkout-git-utils.js", () => ({
-+  READ_ONLY_GIT_ENV: {},
-+  resolveCheckoutGitDir: resolveCheckoutGitDirMock,
-+  toCheckoutError: vi.fn((error: unknown) => ({
-+    message: error instanceof Error ? error.message : String(error),
-+  })),
-+}));
-+
-+import { CheckoutDiffManager } from "./checkout-diff-manager.js";
-+
-+describe("CheckoutDiffManager Linux watchers", () => {
-+  const originalPlatform = process.platform;
-+
-+  beforeEach(() => {
-+    watchCalls.length = 0;
-+    execMock.mockClear();
-+    getCheckoutDiffMock.mockClear();
-+    resolveCheckoutGitDirMock.mockClear();
-+    readdirMock.mockClear();
-+    Object.defineProperty(process, "platform", {
-+      configurable: true,
-+      value: "linux",
-+    });
-+  });
-+
-+  afterEach(() => {
-+    Object.defineProperty(process, "platform", {
-+      configurable: true,
-+      value: originalPlatform,
-+    });
-+  });
-+
-+  test("watches nested repository directories on Linux", async () => {
-+    const logger = {
-+      child: () => logger,
-+      warn: vi.fn(),
-+    };
-+    const manager = new CheckoutDiffManager({
-+      logger: logger as any,
-+      paseoHome: "/tmp/paseo-test",
-+    });
-+
-+    const subscription = await manager.subscribe(
-+      {
-+        cwd: path.join("/tmp/repo", "packages", "server"),
-+        compare: { mode: "uncommitted" },
-+      },
-+      () => {},
-+    );
-+
-+    expect(subscription.initial.error).toBeNull();
-+    expect(watchCalls.map((entry) => entry.path).sort()).toEqual([
-+      "/tmp/repo",
-+      "/tmp/repo/.git",
-+      "/tmp/repo/packages",
-+      "/tmp/repo/packages/app",
-+      "/tmp/repo/packages/server",
-+      "/tmp/repo/packages/server/src",
-+      "/tmp/repo/packages/server/src/server",
-+    ]);
-+
-+    subscription.unsubscribe();
-+    manager.dispose();
-+  });
-+});
+vi.mock("child_process", () => ({
+  exec: execMock,
+}));
+
+vi.mock("node:fs/promises", async () => {
+  const actual = await vi.importActual<typeof import("node:fs/promises")>("node:fs/promises");
+  return {
+    ...actual,
+    readdir: readdirMock,
+  };
+});
+
+vi.mock("node:fs", async () => {
+  const actual = await vi.importActual<typeof import("node:fs")>("node:fs");
+  return {
+    ...actual,
+    watch: vi.fn((watchPath: string) => {
+      const close = vi.fn();
+      watchCalls.push({ path: watchPath, close });
+      return {
+        close,
+        on: vi.fn().mockReturnThis(),
+      } as any;
+    }),
+  };
+});
+
+vi.mock("../utils/checkout-git.js", () => ({
+  getCheckoutDiff: getCheckoutDiffMock,
+}));
+
+vi.mock("./checkout-git-utils.js", () => ({
+  READ_ONLY_GIT_ENV: {},
+  resolveCheckoutGitDir: resolveCheckoutGitDirMock,
+  toCheckoutError: vi.fn((error: unknown) => ({
+    message: error instanceof Error ? error.message : String(error),
+  })),
+}));
+
+import { CheckoutDiffManager } from "./checkout-diff-manager.js";
+
+describe("CheckoutDiffManager Linux watchers", () => {
+  const originalPlatform = process.platform;
+
+  beforeEach(() => {
+    watchCalls.length = 0;
+    execMock.mockClear();
+    getCheckoutDiffMock.mockClear();
+    resolveCheckoutGitDirMock.mockClear();
+    readdirMock.mockClear();
+    Object.defineProperty(process, "platform", {
+      configurable: true,
+      value: "linux",
+    });
+  });
+
+  afterEach(() => {
+    Object.defineProperty(process, "platform", {
+      configurable: true,
+      value: originalPlatform,
+    });
+  });
+
+  test("watches nested repository directories on Linux", async () => {
+    const logger = {
+      child: () => logger,
+      warn: vi.fn(),
+    };
+    const manager = new CheckoutDiffManager({
+      logger: logger as any,
+      paseoHome: "/tmp/paseo-test",
+    });
+
+    const subscription = await manager.subscribe(
+      {
+        cwd: path.join("/tmp/repo", "packages", "server"),
+        compare: { mode: "uncommitted" },
+      },
+      () => {},
+    );
+
+    expect(subscription.initial.error).toBeNull();
+    expect(watchCalls.map((entry) => entry.path).sort()).toEqual([
+      "/tmp/repo",
+      "/tmp/repo/.git",
+      "/tmp/repo/packages",
+      "/tmp/repo/packages/app",
+      "/tmp/repo/packages/server",
+      "/tmp/repo/packages/server/src",
+      "/tmp/repo/packages/server/src/server",
+    ]);
+
+    subscription.unsubscribe();
+    manager.dispose();
+  });
+});