[BUG] repo-bound grouping

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

Sidebar: bring back repo-bound grouping

The new sections sidebar removed the one thing that made the Code tab usable for me: sessions grouped automatically by repo.

What changed:

• Sessions used to be grouped by repo automatically. Pressing New in a repo put the session under that repo with no extra steps.
• Sections are now free-form buckets that can hold sessions from any repo, and nothing is filed automatically.
• "Group by project" in the new layout groups by environment instead of folder. With all-local sessions, that's one flat list.
• My existing manual groups were deleted in the migration.

Impact: I work across about 20 repos and have 275 active sessions. They are now one unorganized list, and the only way to organize them is to file every session by hand, forever.

What Should Happen?

What I want:

• Sidebar folders bound to repos, created and filled automatically from each session's folder.
• At minimum, a setting to restore the old group-by-repo layout.

Error Messages/Logs

Steps to Reproduce

1. Open the Claude desktop app, Code tab (new sections sidebar).
2. Have sessions in several repos, with a section for each repo in the sidebar.
3. Select a repo folder, for example ~/code/repo-a, which already has its own section.
4. Start a new session with the New button at the top of the sidebar, or with Cmd+N.
5. Look at where the new session lands in the sidebar.

Expected: The new session goes under repo-a's section automatically, like it did before the sidebar change.

Actual: The new session goes under an environment heading called "My Computer", mixed in with sessions from every other repo. Even though repo-a is the selected folder, nothing files it there. I have to find repo-a's section among all the sections on the left and drag the session in by hand, for every new session.

Before this change, sessions were grouped by repo automatically. My existing manual groups were also deleted when the new sidebar shipped.

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.37337.1

Platform

Other

Operating System

macOS

Terminal/Shell

Other

Additional Information

_No response_