[BUG] 5-hour limit breaks Claude Code in many ways

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 the 5-hour limit occurs, basic and internal work that Claude Code should do is not happening. Example: When you close and continue a session normally, it picks up where it left and still knows the todo list. If the 5-hour limit happens and the user exits claude, the next startup with continue will leave the user with empty todo list and Claude Code forgot all the recent context. Even some slash commands do not work when the 5-hour limit happens. Also it may increase cost, because it will need more tokens for the new next session.

What Should Happen?

Always let the user and Claude Code properly finish a session. Let Claude Code finish basic internal operations and do not interrupt the complete compact operation.

Error Messages/Logs

Steps to Reproduce

When a 5-hour limit happens right after a auto-compact, exit Claude Code. Try to continue that session and check if todo list still is there or if it remembers what it was working on. It does not remember the todo and last steps. When you opened two sessions, two sessions have this problem at the same time.

When a 5-hour limit happens, try slash commands.

Claude Model

Not sure / Multiple models

Is this a regression?

I don't know

Last Working Version

_No response_

Claude Code Version

1.0.120 (Claude Code)

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

_No response_