[BUG] Claude Code not starting with corrupted path

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?

When trying to access claude code in powershell (or cmd) it gives below error message:

Error message: Claude Code could not start: EUNKNOWN: unknown error, stat '\\c\Users\Admin\jnkresearch.com\JNK - IR Folder - Documents'

Claude Code version: 2.1.168
Microsoft Windows NT 10.0.26200.0
Powershell version
Major Minor Build Revision
----- ----- ----- --------
5 1 26100 8521

What Should Happen?

Claude code should be accessible in desktop app and execute my routines and react to prompts.

Error Messages/Logs

Steps to Reproduce

error in cmd or ps returns
PS C:\Users\Admin> claude
Claude Code could not start: EUNKNOWN: unknown error, stat '\\c\Users\Admin\OneDrive - jnkresearch.com\SharedData'

followed all steps in online help and referred me to here. i am not a programmer/coder. pls keep it simple for me. THX!

Claude Model

Opus

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.1.168

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

below is the settings.json

settings.json