VS Code in WSL - v2.1.59 regression: clicking "+" closes existing Claude session instead of opening additional one

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?

Prior behavior: new session opens alongside existing ones. Current behavior: existing session is closed and replaced with blank session.
Claude says **/claude*/package.json" was not changed.

"You're on 2.1.59 and that's the only version. No newer patch available yet through VS Code's marketplace."

What Should Happen?

New session opens alongside existing ones. Old ones dont close.

Error Messages/Logs

No error logs

Steps to Reproduce

Click "+" to start new session. and have bad luck-

Claude Model

Sonnet (default)

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.1.59

Platform

Other

Operating System

Windows

Terminal/Shell

WSL (Windows Subsystem for Linux)

Additional Information

_No response_