[BUG] Claude Code claiming all integrated terminal instances

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?

<img width="825" height="323" alt="Image" src="https://github.com/user-attachments/assets/2476cbec-b46c-4146-a34d-ed130ea5a086" />

Requesting help with this bug

What Should Happen?

It should not try to do this and cause these error message

Error Messages/Logs

Steps to Reproduce

1. Open an integrated terminal
2. Run Claude Code VS Code Extension

Claude Model

None

Is this a regression?

I don't know

Last Working Version

_No response_

Claude Code Version

2.1.6

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

VS Code integrated terminal

Additional Information

_No response_