'/init' prompt shown even when .claude/CLAUDE.md exists

Description

When starting a new session in a repo that has a .claude/CLAUDE.md file (but no root-level CLAUDE.md), Claude Code displays:

Run /init to create a CLAUDE.md file with instructions for Claude

This is misleading because .claude/CLAUDE.md is a supported and documented location — and it loads correctly. The startup check only looks for a root-level CLAUDE.md.

Expected behavior

The /init prompt should not appear if .claude/CLAUDE.md exists, since that's a valid (and arguably preferred) location for project instructions.

Steps to reproduce

1. Create a repo with instructions at .claude/CLAUDE.md (no root-level CLAUDE.md)
2. Start a new Claude Code session in that repo
3. Observe the /init prompt despite instructions loading correctly

Environment

• Claude Code CLI
• Linux (also likely reproducible on macOS)