Claude Code accessing files outside workspace directory (triggering Dropbox downloads)

<img width="784" height="997" alt="Image" src="https://github.com/user-attachments/assets/ece9d306-c2bd-43fd-a931-9eae754af31c" />

Description

Claude Code is attempting to access files outside the workspace directory, triggering unwanted Dropbox downloads for online-only files.

Evidence

User received Dropbox sync dialogs showing Claude Code downloading george.wav (a podcast audio file) that:

1. Is NOT in the workspace directory
2. Is NOT referenced anywhere in the codebase (verified via grep)
3. Has no relation to the project (E2E testing for a web app)

[Screenshot provided by user showing Dropbox downloading 3 files including george.wav]

Investigation Results

• Workspace:
• Searched entire workspace: Zero .wav files found
• Grepped for george.wav: No matches
• File appears to be from user's podcast directory elsewhere in Dropbox

Impact

1. Privacy: Claude Code is scanning personal files outside workspace
2. Performance: Triggers unnecessary Dropbox downloads for large media files
3. User Experience: Confusing dialogs about unrelated files

Expected Behavior

Claude Code should only index/access files within the explicitly defined workspace directory.

Environment

• Platform: Windows (win32)
• Workspace:(Next.js/TypeScript project)
• Dropbox Smart Sync enabled
• File in question: Audio file in separate podcast directory

Reproduction

1. Have a workspace in a Dropbox-synced folder
2. Have other Dropbox files set to "online-only" outside the workspace
3. Open workspace in Claude Code
4. Claude Code attempts to access files outside workspace, triggering Dropbox downloads