[BUG] Claude Code hangs on any prompt when opened in specific subdirectory (Windows)

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?

Version: 2.1.96
OS: Windows 11
Project path: subdirectory of a larger project

Bug:
Claude Code hangs indefinitely on any prompt (even "Hello") when opened
in a specific subdirectory. No output, no error. Works fine from parent directory.

What I tried:

• Created .claudeignore (excluding build/, app/build/, node_modules/, etc.)
• Renamed CLAUDE.md to rule it out → still hangs
• No java/gradle/adb processes running
• claude --verbose produces no output
• claude "Hello" from parent directory works fine

Directory stats:

• Total files: 18,462
• app/build/: 9,642 files (largest offender)
• .claudeignore present and configured

Expected: Claude responds normally
Actual: Infinite hang, no output, no error message

Related: #31239 (different scope — that bug affects all directories,
this one is specific to a single subdirectory)

What Should Happen?

Claude Code should respond normally to any prompt, including "Hello",
when opened in any subdirectory of a project. It works fine from the
parent directory (eCoachingCC) but hangs indefinitely in the
android-project subdirectory.

Error Messages/Logs

Steps to Reproduce

1. Open Windows Terminal
2. cd "C:\Users\<username>\Documents\00_IA\eCoachingCC\android-project"
3. Type: claude "Hello"
4. Claude hangs indefinitely — no output, no error

Note: Running the same command from the parent directory
C:\Users\User\Documents\00_IA\eCoachingCC works fine.

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.1.96

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

_No response_