[Bug] Marketplace installation fails in devcontainer with "working tree already exists" error

Bug Description
Unable to install a plugin marketplace inside a devcontainer \
\
Add Marketplace │
│ │
│ Enter marketplace source: │
│ Examples: │
│ • owner/repo (GitHub) │
│ • git@github.com:owner/repo.git (SSH) │
│ • https://example.com/marketplace.json │
│ • ./path/to/marketplace │
│ │
│ anthropics/claude-code │
│ │
│ Failed to clone marketplace repository: fatal: working tree '/workspace' already exists.

Environment Info

• Platform: linux
• Terminal: vscode
• Version: 2.0.46
• Feedback ID: b693e320-08a8-456b-8016-071c3083aafe

Errors

[{"error":"AbortError: The operation was aborted\n    at abortChildProcess (node:child_process:725:27)\n    at EventTarget.onAbortListener (node:child_process:795:7)\n    at [nodejs.internal.kHybridDispatch] (node:internal/event_target:831:20)\n    at EventTarget.dispatchEvent (node:internal/event_target:766:26)\n    at abortSignal (node:internal/abort_controller:370:10)\n    at AbortController.abort (node:internal/

Note: Error logs were truncated.