[BUG] Max user, Claude unusable 3x issues - 1. 1M context error 2. repeated auto compaction after 1/2 messages 3. Single word prompt "too long"

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?

1. 1M context error

• The 1M-context error appearing on both Opus 4.7 and Sonnet. Not resolved by time. Usual context (5 hour, weekly unrelated to context error). "API Error: Extra usage is required for 1M context - enable usage at claude.ai... or use --model to switch to standard context"
• On Max, extra usage not enabled and I don't wish it to be. Understood 1M would be inclusive with Max.

1. Auto-compaction happening every 1-2 messages from the start onwards

• Using VS Code, MacOS Monterey.
• Issue started yesterday and has persisted.

What Should Happen?

These issues haven't been preventing workflow before now

Error Messages/Logs

1. "API Error: Extra usage is required for 1M context - enable usage at claude.ai... or use --model to switch to standard context"
2. Autocompacting

Steps to Reproduce

I have been attempting to run /garden. I type this in a fresh chat and will be met with the error message. If doing anything else (e.g., asking Claude about these errors), then it will auto compact after a 1 or 2 messages. Running these commands hasn't resulted in these issues before so unsure how they could be re-created without understanding and replicating the underlying faults.

Claude Model

Opus

Is this a regression?

Yes, this worked in a previous version

Last Working Version

N/A

Claude Code Version

2.1.142

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

VS Code integrated terminal

Additional Information

This is a screenshot of a fresh session:

<img width="1228" height="622" alt="Image" src="https://github.com/user-attachments/assets/cd6172c8-b22d-4823-a344-92aadc366455" />

I've uploaded via pdf too.

Error Screenshot.pdf