diff --git a/.github/workflows/test.yml b/.github/workflows/test.yml
index 9b53edcb..253be187 100644
--- a/.github/workflows/test.yml
+++ b/.github/workflows/test.yml
@@ -37,7 +37,18 @@ jobs:
         run: |
           pip install uv
 
-      - uses: extractions/setup-just@v3
+      - name: Install just (Linux)
+        if: runner.os != 'Windows'
+        run: |
+          sudo apt-get update
+          sudo apt-get install -y just
+
+      - name: Install just (Windows)
+        if: runner.os == 'Windows'
+        run: |
+          # Install just using Chocolatey (pre-installed on GitHub Actions Windows runners)
+          choco install just --yes
+        shell: pwsh
 
       - name: Create virtual env
         run: |
@@ -85,7 +96,10 @@ jobs:
         run: |
           pip install uv
 
-      - uses: extractions/setup-just@v3
+      - name: Install just
+        run: |
+          sudo apt-get update
+          sudo apt-get install -y just
 
       - name: Create virtual env
         run: |
@@ -119,7 +133,10 @@ jobs:
         run: |
           pip install uv
 
-      - uses: extractions/setup-just@v3
+      - name: Install just
+        run: |
+          sudo apt-get update
+          sudo apt-get install -y just
 
       - name: Create virtual env
         run: |
diff --git a/src/basic_memory/cli/commands/import_chatgpt.py b/src/basic_memory/cli/commands/import_chatgpt.py
index c9d7a859..d695490b 100644
--- a/src/basic_memory/cli/commands/import_chatgpt.py
+++ b/src/basic_memory/cli/commands/import_chatgpt.py
@@ -60,9 +60,7 @@ def import_chatgpt(
         console.print(f"\nImporting chats from {conversations_json}...writing to {base_path}")
 
         # Create importer and run import
-        importer = ChatGPTImporter(
-            config.home, markdown_processor, file_service, project_name=config.name
-        )
+        importer = ChatGPTImporter(config.home, markdown_processor, file_service)
         with conversations_json.open("r", encoding="utf-8") as file:
             json_data = json.load(file)
             result = run_with_cleanup(importer.import_data(json_data, folder))
diff --git a/src/basic_memory/cli/commands/import_claude_conversations.py b/src/basic_memory/cli/commands/import_claude_conversations.py
index 4dee5e0e..8ddfb858 100644
--- a/src/basic_memory/cli/commands/import_claude_conversations.py
+++ b/src/basic_memory/cli/commands/import_claude_conversations.py
@@ -57,9 +57,7 @@ def import_claude(
         markdown_processor, file_service = run_with_cleanup(get_importer_dependencies())
 
         # Create the importer
-        importer = ClaudeConversationsImporter(
-            config.home, markdown_processor, file_service, project_name=config.name
-        )
+        importer = ClaudeConversationsImporter(config.home, markdown_processor, file_service)
 
         # Process the file
         base_path = config.home / folder
diff --git a/src/basic_memory/cli/commands/import_claude_projects.py b/src/basic_memory/cli/commands/import_claude_projects.py
index 94a8665b..d13ee94e 100644
--- a/src/basic_memory/cli/commands/import_claude_projects.py
+++ b/src/basic_memory/cli/commands/import_claude_projects.py
@@ -56,9 +56,7 @@ def import_projects(
         markdown_processor, file_service = run_with_cleanup(get_importer_dependencies())
 
         # Create the importer
-        importer = ClaudeProjectsImporter(
-            config.home, markdown_processor, file_service, project_name=config.name
-        )
+        importer = ClaudeProjectsImporter(config.home, markdown_processor, file_service)
 
         # Process the file
         base_path = config.home / base_folder if base_folder else config.home
diff --git a/src/basic_memory/cli/commands/import_memory_json.py b/src/basic_memory/cli/commands/import_memory_json.py
index ddb72262..72c51d80 100644
--- a/src/basic_memory/cli/commands/import_memory_json.py
+++ b/src/basic_memory/cli/commands/import_memory_json.py
@@ -55,9 +55,7 @@ def memory_json(
         markdown_processor, file_service = run_with_cleanup(get_importer_dependencies())
 
         # Create the importer
-        importer = MemoryJsonImporter(
-            config.home, markdown_processor, file_service, project_name=config.name
-        )
+        importer = MemoryJsonImporter(config.home, markdown_processor, file_service)
 
         # Process the file
         base_path = config.home if not destination_folder else config.home / destination_folder
diff --git a/src/basic_memory/config.py b/src/basic_memory/config.py
index 6f4ad30e..43f4227a 100644
--- a/src/basic_memory/config.py
+++ b/src/basic_memory/config.py
@@ -196,11 +196,6 @@ class BasicMemoryConfig(BaseSettings):
         description="Disable automatic permalink generation in frontmatter. When enabled, new notes won't have permalinks added and sync won't update permalinks. Existing permalinks will still work for reading.",
     )
 
-    permalinks_include_project: bool = Field(
-        default=True,
-        description="When True, generated permalinks are prefixed with the project slug (e.g., 'specs/search'). Existing permalinks remain unchanged unless explicitly updated.",
-    )
-
     skip_initialization_sync: bool = Field(
         default=False,
         description="Skip expensive initialization synchronization. Useful for cloud/stateless deployments where project reconciliation is not needed.",
diff --git a/src/basic_memory/deps/importers.py b/src/basic_memory/deps/importers.py
index bddeff78..2209192c 100644
--- a/src/basic_memory/deps/importers.py
+++ b/src/basic_memory/deps/importers.py
@@ -41,12 +41,7 @@ async def get_chatgpt_importer(
     file_service: FileServiceDep,
 ) -> ChatGPTImporter:
     """Create ChatGPTImporter with dependencies."""
-    return ChatGPTImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ChatGPTImporter(project_config.home, markdown_processor, file_service)
 
 
 ChatGPTImporterDep = Annotated[ChatGPTImporter, Depends(get_chatgpt_importer)]
@@ -58,12 +53,7 @@ async def get_chatgpt_importer_v2(  # pragma: no cover
     file_service: FileServiceV2Dep,
 ) -> ChatGPTImporter:
     """Create ChatGPTImporter with v2 dependencies."""
-    return ChatGPTImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ChatGPTImporter(project_config.home, markdown_processor, file_service)
 
 
 ChatGPTImporterV2Dep = Annotated[ChatGPTImporter, Depends(get_chatgpt_importer_v2)]
@@ -75,12 +65,7 @@ async def get_chatgpt_importer_v2_external(
     file_service: FileServiceV2ExternalDep,
 ) -> ChatGPTImporter:
     """Create ChatGPTImporter with v2 external_id dependencies."""
-    return ChatGPTImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ChatGPTImporter(project_config.home, markdown_processor, file_service)
 
 
 ChatGPTImporterV2ExternalDep = Annotated[ChatGPTImporter, Depends(get_chatgpt_importer_v2_external)]
@@ -95,12 +80,7 @@ async def get_claude_conversations_importer(
     file_service: FileServiceDep,
 ) -> ClaudeConversationsImporter:
     """Create ClaudeConversationsImporter with dependencies."""
-    return ClaudeConversationsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeConversationsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeConversationsImporterDep = Annotated[
@@ -114,12 +94,7 @@ async def get_claude_conversations_importer_v2(  # pragma: no cover
     file_service: FileServiceV2Dep,
 ) -> ClaudeConversationsImporter:
     """Create ClaudeConversationsImporter with v2 dependencies."""
-    return ClaudeConversationsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeConversationsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeConversationsImporterV2Dep = Annotated[
@@ -133,12 +108,7 @@ async def get_claude_conversations_importer_v2_external(
     file_service: FileServiceV2ExternalDep,
 ) -> ClaudeConversationsImporter:
     """Create ClaudeConversationsImporter with v2 external_id dependencies."""
-    return ClaudeConversationsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeConversationsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeConversationsImporterV2ExternalDep = Annotated[
@@ -155,12 +125,7 @@ async def get_claude_projects_importer(
     file_service: FileServiceDep,
 ) -> ClaudeProjectsImporter:
     """Create ClaudeProjectsImporter with dependencies."""
-    return ClaudeProjectsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeProjectsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeProjectsImporterDep = Annotated[ClaudeProjectsImporter, Depends(get_claude_projects_importer)]
@@ -172,12 +137,7 @@ async def get_claude_projects_importer_v2(  # pragma: no cover
     file_service: FileServiceV2Dep,
 ) -> ClaudeProjectsImporter:
     """Create ClaudeProjectsImporter with v2 dependencies."""
-    return ClaudeProjectsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeProjectsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeProjectsImporterV2Dep = Annotated[
@@ -191,12 +151,7 @@ async def get_claude_projects_importer_v2_external(
     file_service: FileServiceV2ExternalDep,
 ) -> ClaudeProjectsImporter:
     """Create ClaudeProjectsImporter with v2 external_id dependencies."""
-    return ClaudeProjectsImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return ClaudeProjectsImporter(project_config.home, markdown_processor, file_service)
 
 
 ClaudeProjectsImporterV2ExternalDep = Annotated[
@@ -213,12 +168,7 @@ async def get_memory_json_importer(
     file_service: FileServiceDep,
 ) -> MemoryJsonImporter:
     """Create MemoryJsonImporter with dependencies."""
-    return MemoryJsonImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return MemoryJsonImporter(project_config.home, markdown_processor, file_service)
 
 
 MemoryJsonImporterDep = Annotated[MemoryJsonImporter, Depends(get_memory_json_importer)]
@@ -230,12 +180,7 @@ async def get_memory_json_importer_v2(  # pragma: no cover
     file_service: FileServiceV2Dep,
 ) -> MemoryJsonImporter:
     """Create MemoryJsonImporter with v2 dependencies."""
-    return MemoryJsonImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return MemoryJsonImporter(project_config.home, markdown_processor, file_service)
 
 
 MemoryJsonImporterV2Dep = Annotated[MemoryJsonImporter, Depends(get_memory_json_importer_v2)]
@@ -247,12 +192,7 @@ async def get_memory_json_importer_v2_external(
     file_service: FileServiceV2ExternalDep,
 ) -> MemoryJsonImporter:
     """Create MemoryJsonImporter with v2 external_id dependencies."""
-    return MemoryJsonImporter(
-        project_config.home,
-        markdown_processor,
-        file_service,
-        project_name=project_config.name,
-    )
+    return MemoryJsonImporter(project_config.home, markdown_processor, file_service)
 
 
 MemoryJsonImporterV2ExternalDep = Annotated[
diff --git a/src/basic_memory/importers/base.py b/src/basic_memory/importers/base.py
index d3ba81d2..72ddfac9 100644
--- a/src/basic_memory/importers/base.py
+++ b/src/basic_memory/importers/base.py
@@ -8,7 +8,6 @@ from typing import TYPE_CHECKING, Any, Optional, TypeVar
 from basic_memory.markdown.markdown_processor import MarkdownProcessor
 from basic_memory.markdown.schemas import EntityMarkdown
 from basic_memory.schemas.importer import ImportResult
-from basic_memory.utils import build_canonical_permalink, generate_permalink
 
 if TYPE_CHECKING:  # pragma: no cover
     from basic_memory.services.file_service import FileService
@@ -30,7 +29,6 @@ class Importer[T: ImportResult]:
         base_path: Path,
         markdown_processor: MarkdownProcessor,
         file_service: "FileService",
-        project_name: Optional[str] = None,
     ):
         """Initialize the import service.
 
@@ -42,8 +40,6 @@ class Importer[T: ImportResult]:
         self.base_path = base_path.resolve()  # Get absolute path
         self.markdown_processor = markdown_processor
         self.file_service = file_service
-        self.project_name = project_name
-        self.project_permalink = generate_permalink(project_name) if project_name else None
 
     @abstractmethod
     async def import_data(self, source_data, destination_folder: str, **kwargs: Any) -> T:
@@ -77,26 +73,6 @@ class Importer[T: ImportResult]:
         # FileService.write_file handles directory creation and returns checksum
         return await self.file_service.write_file(file_path, content)
 
-    def canonical_permalink(self, path: str) -> str:
-        """Build a canonical permalink for imported content."""
-        include_project = True
-        # Trigger: importer has app config with permalink prefixing flag
-        # Why: imported notes should align with canonical permalink format
-        # Outcome: include project prefix when enabled
-        if self.file_service.app_config is not None:
-            include_project = self.file_service.app_config.permalinks_include_project
-
-        return build_canonical_permalink(
-            self.project_permalink,
-            path,
-            include_project=include_project,
-        )
-
-    def build_import_paths(self, path: str) -> tuple[str, str]:
-        """Return (permalink, file_path) for an imported entity."""
-        permalink = self.canonical_permalink(path)
-        return permalink, f"{path}.md"
-
     async def ensure_folder_exists(self, folder: str) -> None:
         """Ensure folder exists using FileService.
 
diff --git a/src/basic_memory/importers/chatgpt_importer.py b/src/basic_memory/importers/chatgpt_importer.py
index 97111bfd..1184c1a3 100644
--- a/src/basic_memory/importers/chatgpt_importer.py
+++ b/src/basic_memory/importers/chatgpt_importer.py
@@ -51,20 +51,11 @@ class ChatGPTImporter(Importer[ChatImportResult]):
             chats_imported = 0
 
             for chat in conversations:
-                created_at = chat["create_time"]
-                date_prefix = datetime.fromtimestamp(created_at).astimezone().strftime("%Y%m%d")
-                clean_title = clean_filename(chat["title"])
-                relative_path = (
-                    f"{destination_folder}/{date_prefix}-{clean_title}"
-                    if destination_folder
-                    else f"{date_prefix}-{clean_title}"
-                )
-                permalink, file_path = self.build_import_paths(relative_path)
-
                 # Convert to entity
-                entity = self._format_chat_content(chat, permalink)
+                entity = self._format_chat_content(destination_folder, chat)
 
                 # Write file using relative path - FileService handles base_path
+                file_path = f"{entity.frontmatter.metadata['permalink']}.md"
                 await self.write_entity(entity, file_path)
 
                 # Count messages
@@ -92,7 +83,7 @@ class ChatGPTImporter(Importer[ChatImportResult]):
             return self.handle_error("Failed to import ChatGPT conversations", e)
 
     def _format_chat_content(
-        self, conversation: Dict[str, Any], permalink: str
+        self, folder: str, conversation: Dict[str, Any]
     ) -> EntityMarkdown:  # pragma: no cover
         """Convert chat conversation to Basic Memory entity.
 
@@ -114,6 +105,10 @@ class ChatGPTImporter(Importer[ChatImportResult]):
                 root_id = node_id
                 break
 
+        # Generate permalink
+        date_prefix = datetime.fromtimestamp(created_at).astimezone().strftime("%Y%m%d")
+        clean_title = clean_filename(conversation["title"])
+
         # Format content
         content = self._format_chat_markdown(
             title=conversation["title"],
@@ -131,7 +126,7 @@ class ChatGPTImporter(Importer[ChatImportResult]):
                     "title": conversation["title"],
                     "created": format_timestamp(created_at),
                     "modified": format_timestamp(modified_at),
-                    "permalink": permalink,
+                    "permalink": f"{folder}/{date_prefix}-{clean_title}",
                 }
             ),
             content=content,
diff --git a/src/basic_memory/importers/claude_conversations_importer.py b/src/basic_memory/importers/claude_conversations_importer.py
index ab6f88e2..5e89ad0e 100644
--- a/src/basic_memory/importers/claude_conversations_importer.py
+++ b/src/basic_memory/importers/claude_conversations_importer.py
@@ -54,27 +54,18 @@ class ClaudeConversationsImporter(Importer[ChatImportResult]):
             for chat in conversations:
                 # Get name, providing default for unnamed conversations
                 chat_name = chat.get("name") or f"Conversation {chat.get('uuid', 'untitled')}"
-                date_prefix = datetime.fromisoformat(chat["created_at"].replace("Z", "+00:00")).strftime(
-                    "%Y%m%d"
-                )
-                clean_title = clean_filename(chat_name)
-                relative_path = (
-                    f"{destination_folder}/{date_prefix}-{clean_title}"
-                    if destination_folder
-                    else f"{date_prefix}-{clean_title}"
-                )
-                permalink, file_path = self.build_import_paths(relative_path)
 
                 # Convert to entity
                 entity = self._format_chat_content(
+                    folder=destination_folder,
                     name=chat_name,
                     messages=chat["chat_messages"],
                     created_at=chat["created_at"],
                     modified_at=chat["updated_at"],
-                    permalink=permalink,
                 )
 
                 # Write file using relative path - FileService handles base_path
+                file_path = f"{entity.frontmatter.metadata['permalink']}.md"
                 await self.write_entity(entity, file_path)
 
                 chats_imported += 1
@@ -93,11 +84,11 @@ class ClaudeConversationsImporter(Importer[ChatImportResult]):
 
     def _format_chat_content(
         self,
+        folder: str,
         name: str,
         messages: List[Dict[str, Any]],
         created_at: str,
         modified_at: str,
-        permalink: str,
     ) -> EntityMarkdown:
         """Convert chat messages to Basic Memory entity format.
 
@@ -111,6 +102,11 @@ class ClaudeConversationsImporter(Importer[ChatImportResult]):
         Returns:
             EntityMarkdown instance representing the conversation.
         """
+        # Generate permalink using folder name (relative path)
+        date_prefix = datetime.fromisoformat(created_at.replace("Z", "+00:00")).strftime("%Y%m%d")
+        clean_title = clean_filename(name)
+        permalink = f"{folder}/{date_prefix}-{clean_title}"
+
         # Format content
         content = self._format_chat_markdown(
             name=name,
diff --git a/src/basic_memory/importers/claude_projects_importer.py b/src/basic_memory/importers/claude_projects_importer.py
index f3e50c35..3e914083 100644
--- a/src/basic_memory/importers/claude_projects_importer.py
+++ b/src/basic_memory/importers/claude_projects_importer.py
@@ -63,28 +63,17 @@ class ClaudeProjectsImporter(Importer[ProjectImportResult]):
                 await self.file_service.ensure_directory(docs_dir)
 
                 # Import prompt template if it exists
-                if project.get("prompt_template"):
-                    prompt_path = (
-                        f"{destination_folder}/{project_dir}/prompt-template"
-                        if destination_folder
-                        else f"{project_dir}/prompt-template"
-                    )
-                    permalink, file_path = self.build_import_paths(prompt_path)
-                    prompt_entity = self._format_prompt_markdown(project, permalink)
-                    if prompt_entity:
-                        await self.write_entity(prompt_entity, file_path)
+                if prompt_entity := self._format_prompt_markdown(project, destination_folder):
+                    # Write file using relative path - FileService handles base_path
+                    file_path = f"{prompt_entity.frontmatter.metadata['permalink']}.md"
+                    await self.write_entity(prompt_entity, file_path)
                     prompts_imported += 1
 
                 # Import project documents
                 for doc in project.get("docs", []):
-                    doc_file = clean_filename(doc["filename"])
-                    doc_path = (
-                        f"{destination_folder}/{project_dir}/docs/{doc_file}"
-                        if destination_folder
-                        else f"{project_dir}/docs/{doc_file}"
-                    )
-                    permalink, file_path = self.build_import_paths(doc_path)
-                    entity = self._format_project_markdown(project, doc, permalink)
+                    entity = self._format_project_markdown(project, doc, destination_folder)
+                    # Write file using relative path - FileService handles base_path
+                    file_path = f"{entity.frontmatter.metadata['permalink']}.md"
                     await self.write_entity(entity, file_path)
                     docs_imported += 1
 
@@ -100,7 +89,7 @@ class ClaudeProjectsImporter(Importer[ProjectImportResult]):
             return self.handle_error("Failed to import Claude projects", e)
 
     def _format_project_markdown(
-        self, project: Dict[str, Any], doc: Dict[str, Any], permalink: str
+        self, project: Dict[str, Any], doc: Dict[str, Any], destination_folder: str = ""
     ) -> EntityMarkdown:
         """Format a project document as a Basic Memory entity.
 
@@ -116,6 +105,17 @@ class ClaudeProjectsImporter(Importer[ProjectImportResult]):
         created_at = doc.get("created_at") or project["created_at"]
         modified_at = project["updated_at"]
 
+        # Generate clean names for organization
+        project_dir = clean_filename(project["name"])
+        doc_file = clean_filename(doc["filename"])
+
+        # Build permalink with optional destination folder prefix
+        permalink = (
+            f"{destination_folder}/{project_dir}/docs/{doc_file}"
+            if destination_folder
+            else f"{project_dir}/docs/{doc_file}"
+        )
+
         # Create entity
         entity = EntityMarkdown(
             frontmatter=EntityFrontmatter(
@@ -136,7 +136,7 @@ class ClaudeProjectsImporter(Importer[ProjectImportResult]):
         return entity
 
     def _format_prompt_markdown(
-        self, project: Dict[str, Any], permalink: str
+        self, project: Dict[str, Any], destination_folder: str = ""
     ) -> Optional[EntityMarkdown]:
         """Format project prompt template as a Basic Memory entity.
 
@@ -155,6 +155,16 @@ class ClaudeProjectsImporter(Importer[ProjectImportResult]):
         created_at = project["created_at"]
         modified_at = project["updated_at"]
 
+        # Generate clean project directory name
+        project_dir = clean_filename(project["name"])
+
+        # Build permalink with optional destination folder prefix
+        permalink = (
+            f"{destination_folder}/{project_dir}/prompt-template"
+            if destination_folder
+            else f"{project_dir}/prompt-template"
+        )
+
         # Create entity
         entity = EntityMarkdown(
             frontmatter=EntityFrontmatter(
diff --git a/src/basic_memory/importers/memory_json_importer.py b/src/basic_memory/importers/memory_json_importer.py
index 1dcba387..579a7db2 100644
--- a/src/basic_memory/importers/memory_json_importer.py
+++ b/src/basic_memory/importers/memory_json_importer.py
@@ -80,12 +80,11 @@ class MemoryJsonImporter(Importer[EntityImportResult]):
                 entity_type = entity_data.get("entityType") or entity_data.get("type") or "entity"
 
                 # Build permalink with optional destination folder prefix
-                relative_path = (
+                permalink = (
                     f"{destination_folder}/{entity_type}/{name}"
                     if destination_folder
                     else f"{entity_type}/{name}"
                 )
-                permalink, file_path = self.build_import_paths(relative_path)
 
                 # Ensure entity type directory exists using FileService with relative path
                 entity_type_dir = (
@@ -110,6 +109,7 @@ class MemoryJsonImporter(Importer[EntityImportResult]):
                 )
 
                 # Write file using relative path - FileService handles base_path
+                file_path = f"{entity.frontmatter.metadata['permalink']}.md"
                 await self.write_entity(entity, file_path)
                 entities_created += 1
 
diff --git a/src/basic_memory/markdown/plugins.py b/src/basic_memory/markdown/plugins.py
index a23bcebf..3bdc0682 100644
--- a/src/basic_memory/markdown/plugins.py
+++ b/src/basic_memory/markdown/plugins.py
@@ -1,8 +1,6 @@
 """Markdown-it plugins for Basic Memory markdown parsing."""
 
 from typing import List, Any, Dict
-
-from basic_memory.utils import normalize_project_reference
 from markdown_it import MarkdownIt
 from markdown_it.token import Token
 
@@ -116,7 +114,7 @@ def parse_relation(token: Token) -> Dict[str, Any] | None:
             rel_type = before
 
         # Get target
-        target = normalize_project_reference(content[start + 2 : end].strip())
+        target = content[start + 2 : end].strip()
 
         # Look for context after
         after = content[end + 2 :].strip()
@@ -162,7 +160,7 @@ def parse_inline_relations(content: str) -> List[Dict[str, Any]]:
             # No matching ]] found
             break
 
-        target = normalize_project_reference(content[start + 2 : end].strip())
+        target = content[start + 2 : end].strip()
         if target:
             relations.append({"type": "links_to", "target": target, "context": None})
 
diff --git a/src/basic_memory/mcp/project_context.py b/src/basic_memory/mcp/project_context.py
index 9e4b1447..18f6cff1 100644
--- a/src/basic_memory/mcp/project_context.py
+++ b/src/basic_memory/mcp/project_context.py
@@ -17,14 +17,11 @@ from httpx._types import (
 )
 from loguru import logger
 from fastmcp import Context
-from mcp.server.fastmcp.exceptions import ToolError
 
 from basic_memory.config import ConfigManager
 from basic_memory.project_resolver import ProjectResolver
 from basic_memory.schemas.project_info import ProjectItem, ProjectList
 from basic_memory.schemas.v2 import ProjectResolveResponse
-from basic_memory.schemas.memory import memory_url_path
-from basic_memory.utils import generate_permalink, normalize_project_reference
 
 
 async def resolve_project_parameter(
@@ -153,98 +150,6 @@ async def get_active_project(
     return active_project
 
 
-def _split_project_prefix(path: str) -> tuple[Optional[str], str]:
-    """Split a possible project prefix from a memory URL path."""
-    if "/" not in path:
-        return None, path
-
-    project_prefix, remainder = path.split("/", 1)
-    if not project_prefix or not remainder:
-        return None, path
-
-    if "*" in project_prefix:
-        return None, path
-
-    return project_prefix, remainder
-
-
-async def resolve_project_and_path(
-    client: AsyncClient,
-    identifier: str,
-    project: Optional[str] = None,
-    context: Optional[Context] = None,
-    headers: HeaderTypes | None = None,
-) -> tuple[ProjectItem, str, bool]:
-    """Resolve project and normalized path for memory:// identifiers.
-
-    Returns:
-        Tuple of (active_project, normalized_path, is_memory_url)
-    """
-    is_memory_url = identifier.strip().startswith("memory://")
-    if not is_memory_url:
-        active_project = await get_active_project(client, project, context, headers)
-        return active_project, identifier, False
-
-    normalized_path = normalize_project_reference(memory_url_path(identifier))
-    project_prefix, remainder = _split_project_prefix(normalized_path)
-    include_project = ConfigManager().config.permalinks_include_project
-
-    # Trigger: memory URL begins with a potential project segment
-    # Why: allow project-scoped memory URLs without requiring a separate project parameter
-    # Outcome: attempt to resolve the prefix as a project and route to it
-    if project_prefix:
-        try:
-            from basic_memory.mcp.tools.utils import call_post
-
-            response = await call_post(
-                client,
-                "/v2/projects/resolve",
-                json={"identifier": project_prefix},
-                headers=headers,
-            )
-            resolved = ProjectResolveResponse.model_validate(response.json())
-        except ToolError as exc:
-            if "project not found" not in str(exc).lower():
-                raise
-        else:
-            resolved_project = await resolve_project_parameter(project_prefix)
-            if resolved_project and generate_permalink(resolved_project) != generate_permalink(
-                project_prefix
-            ):
-                raise ValueError(
-                    f"Project is constrained to '{resolved_project}', cannot use '{project_prefix}'."
-                )
-
-            active_project = ProjectItem(
-                id=resolved.project_id,
-                external_id=resolved.external_id,
-                name=resolved.name,
-                path=resolved.path,
-                is_default=resolved.is_default,
-            )
-            if context:
-                context.set_state("active_project", active_project)
-
-            resolved_path = (
-                f"{resolved.permalink}/{remainder}" if include_project else remainder
-            )
-            return active_project, resolved_path, True
-
-    # Trigger: no resolvable project prefix in the memory URL
-    # Why: preserve existing memory URL behavior within the active project
-    # Outcome: use the active project and normalize the path for lookup
-    active_project = await get_active_project(client, project, context, headers)
-    resolved_path = normalized_path
-    if include_project:
-        # Trigger: project-prefixed permalinks are enabled and the path lacks a prefix
-        # Why: ensure memory URL lookups align with canonical permalinks
-        # Outcome: prefix the path with the active project's permalink
-        project_prefix = active_project.permalink
-        if resolved_path != project_prefix and not resolved_path.startswith(f"{project_prefix}/"):
-            resolved_path = f"{project_prefix}/{resolved_path}"
-    return active_project, resolved_path, True
-
-
 def add_project_metadata(result: str, project_name: str) -> str:
     """Add project context as metadata footer for assistant session tracking.
 
diff --git a/src/basic_memory/mcp/tools/build_context.py b/src/basic_memory/mcp/tools/build_context.py
index 579553fc..a43c0974 100644
--- a/src/basic_memory/mcp/tools/build_context.py
+++ b/src/basic_memory/mcp/tools/build_context.py
@@ -5,10 +5,14 @@ from typing import Optional
 from loguru import logger
 from fastmcp import Context
 
-from basic_memory.mcp.project_context import get_project_client, resolve_project_and_path
+from basic_memory.mcp.project_context import get_project_client
 from basic_memory.mcp.server import mcp
 from basic_memory.schemas.base import TimeFrame
-from basic_memory.schemas.memory import GraphContext, MemoryUrl
+from basic_memory.schemas.memory import (
+    GraphContext,
+    MemoryUrl,
+    memory_url_path,
+)
 
 
 @mcp.tool(
@@ -96,18 +100,13 @@ async def build_context(
     # URL is already validated and normalized by MemoryUrl type annotation
 
     async with get_project_client(project, context) as (client, active_project):
-        # Resolve memory:// identifier with project-prefix awareness
-        _, resolved_path, _ = await resolve_project_and_path(
-            client, url, project, context
-        )
-
         # Import here to avoid circular import
         from basic_memory.mcp.clients import MemoryClient
 
         # Use typed MemoryClient for API calls
         memory_client = MemoryClient(client, active_project.external_id)
         return await memory_client.build_context(
-            resolved_path,
+            memory_url_path(url),
             depth=depth or 1,
             timeframe=timeframe,
             page=page,
diff --git a/src/basic_memory/mcp/tools/read_content.py b/src/basic_memory/mcp/tools/read_content.py
index 995d70ea..01b892eb 100644
--- a/src/basic_memory/mcp/tools/read_content.py
+++ b/src/basic_memory/mcp/tools/read_content.py
@@ -15,7 +15,7 @@ from PIL import Image as PILImage
 from fastmcp import Context
 from mcp.server.fastmcp.exceptions import ToolError
 
-from basic_memory.mcp.project_context import get_project_client, resolve_project_and_path
+from basic_memory.mcp.project_context import get_project_client
 from basic_memory.mcp.server import mcp
 from basic_memory.mcp.tools.utils import call_get, resolve_entity_id
 from basic_memory.schemas.memory import memory_url_path
@@ -202,17 +202,11 @@ async def read_content(
     logger.info("Reading file", path=path, project=project)
 
     async with get_project_client(project, context) as (client, active_project):
-        # Resolve path with project-prefix awareness for memory:// URLs
-        _, url, _ = await resolve_project_and_path(client, path, project, context)
+        url = memory_url_path(path)
 
         # Validate path to prevent path traversal attacks
-        # For memory:// URLs, validate the extracted path (not the raw URL which
-        # has a scheme prefix that confuses path validation)
-        raw_path = memory_url_path(path) if path.startswith("memory://") else path
         project_path = active_project.home
-        if not validate_project_path(raw_path, project_path) or not validate_project_path(
-            url, project_path
-        ):
+        if not validate_project_path(url, project_path):
             logger.warning(
                 "Attempted path traversal attack blocked",
                 path=path,
diff --git a/src/basic_memory/mcp/tools/read_note.py b/src/basic_memory/mcp/tools/read_note.py
index 0d476491..1dfec6d0 100644
--- a/src/basic_memory/mcp/tools/read_note.py
+++ b/src/basic_memory/mcp/tools/read_note.py
@@ -6,7 +6,7 @@ from typing import Optional, Literal
 from loguru import logger
 from fastmcp import Context
 
-from basic_memory.mcp.project_context import get_project_client, resolve_project_and_path
+from basic_memory.mcp.project_context import get_project_client
 from basic_memory.mcp.server import mcp
 from basic_memory.mcp.formatting import format_note_preview_ascii
 from basic_memory.mcp.tools.search import search_notes
@@ -82,19 +82,12 @@ async def read_note(
         including related notes, search commands, and note creation templates.
     """
     async with get_project_client(project, context) as (client, active_project):
-        # Resolve identifier with project-prefix awareness for memory:// URLs
-        _, entity_path, _ = await resolve_project_and_path(
-            client, identifier, project, context
-        )
-
         # Validate identifier to prevent path traversal attacks
-        # For memory:// URLs, validate the extracted path (not the raw URL which
-        # has a scheme prefix that confuses path validation)
-        raw_path = memory_url_path(identifier) if identifier.startswith("memory://") else identifier
-        processed_path = entity_path
+        # We need to check both the raw identifier and the processed path
+        processed_path = memory_url_path(identifier)
         project_path = active_project.home
 
-        if not validate_project_path(raw_path, project_path) or not validate_project_path(
+        if not validate_project_path(identifier, project_path) or not validate_project_path(
             processed_path, project_path
         ):
             logger.warning(
@@ -106,6 +99,7 @@ async def read_note(
             return f"# Error\n\nIdentifier '{identifier}' is not allowed - paths must stay within project boundaries"
 
         # Get the file via REST API - first try direct identifier resolution
+        entity_path = memory_url_path(identifier)
         logger.info(
             f"Attempting to read note from Project: {active_project.name} identifier: {entity_path}"
         )
@@ -141,10 +135,7 @@ async def read_note(
         # Fallback 1: Try title search via API
         logger.info(f"Search title for: {identifier}")
         title_results = await search_notes.fn(
-            query=identifier,
-            search_type="title",
-            project=active_project.name,
-            context=context,
+            query=identifier, search_type="title", project=project, context=context
         )
 
         # Handle both SearchResponse object and error strings
@@ -179,10 +170,7 @@ async def read_note(
         # Fallback 2: Text search as a last resort
         logger.info(f"Title search failed, trying text search for: {identifier}")
         text_results = await search_notes.fn(
-            query=identifier,
-            search_type="text",
-            project=active_project.name,
-            context=context,
+            query=identifier, search_type="text", project=project, context=context
         )
 
         # We didn't find a direct match, construct a helpful error message
diff --git a/src/basic_memory/mcp/tools/search.py b/src/basic_memory/mcp/tools/search.py
index d325d66a..f3abff7f 100644
--- a/src/basic_memory/mcp/tools/search.py
+++ b/src/basic_memory/mcp/tools/search.py
@@ -6,7 +6,7 @@ from typing import List, Optional, Dict, Any, Literal
 from loguru import logger
 from fastmcp import Context
 
-from basic_memory.mcp.project_context import get_project_client, resolve_project_and_path
+from basic_memory.mcp.project_context import get_project_client
 from basic_memory.mcp.formatting import format_search_results_ascii
 from basic_memory.mcp.server import mcp
 from basic_memory.schemas.search import (
@@ -399,50 +399,42 @@ async def search_notes(
     types = types or []
     entity_types = entity_types or []
 
+    # Create a SearchQuery object based on the parameters
+    search_query = SearchQuery()
+
+    # Set the appropriate search field based on search_type
+    if search_type == "text":
+        search_query.text = query
+    elif search_type == "vector":
+        search_query.text = query
+        search_query.retrieval_mode = SearchRetrievalMode.VECTOR
+    elif search_type == "hybrid":
+        search_query.text = query
+        search_query.retrieval_mode = SearchRetrievalMode.HYBRID
+    elif search_type == "title":
+        search_query.title = query
+    elif search_type == "permalink" and "*" in query:
+        search_query.permalink_match = query
+    elif search_type == "permalink":
+        search_query.permalink = query
+    else:  # pragma: no cover
+        search_query.text = query  # Default to text search
+
+    # Add optional filters if provided (empty lists are treated as no filter)
+    if entity_types:
+        search_query.entity_types = [SearchItemType(t) for t in entity_types]
+    if types:
+        search_query.types = types
+    if after_date:
+        search_query.after_date = after_date
+    if metadata_filters:
+        search_query.metadata_filters = metadata_filters
+    if tags:
+        search_query.tags = tags
+    if status:
+        search_query.status = status
+
     async with get_project_client(project, context) as (client, active_project):
-        # Handle memory:// URLs by resolving to permalink search
-        _, resolved_query, is_memory_url = await resolve_project_and_path(
-            client, query, project, context
-        )
-        if is_memory_url:
-            query = resolved_query
-            search_type = "permalink"
-
-        # Create a SearchQuery object based on the parameters
-        search_query = SearchQuery()
-
-        # Set the appropriate search field based on search_type
-        if search_type == "text":
-            search_query.text = query
-        elif search_type == "vector":
-            search_query.text = query
-            search_query.retrieval_mode = SearchRetrievalMode.VECTOR
-        elif search_type == "hybrid":
-            search_query.text = query
-            search_query.retrieval_mode = SearchRetrievalMode.HYBRID
-        elif search_type == "title":
-            search_query.title = query
-        elif search_type == "permalink" and "*" in query:
-            search_query.permalink_match = query
-        elif search_type == "permalink":
-            search_query.permalink = query
-        else:  # pragma: no cover
-            search_query.text = query  # Default to text search
-
-        # Add optional filters if provided (empty lists are treated as no filter)
-        if entity_types:
-            search_query.entity_types = [SearchItemType(t) for t in entity_types]
-        if types:
-            search_query.types = types
-        if after_date:
-            search_query.after_date = after_date
-        if metadata_filters:
-            search_query.metadata_filters = metadata_filters
-        if tags:
-            search_query.tags = tags
-        if status:
-            search_query.status = status
-
         logger.info(f"Searching for {search_query} in project {active_project.name}")
 
         try:
diff --git a/src/basic_memory/services/context_service.py b/src/basic_memory/services/context_service.py
index 51ebab65..33326ff9 100644
--- a/src/basic_memory/services/context_service.py
+++ b/src/basic_memory/services/context_service.py
@@ -539,7 +539,9 @@ class ContextService:
                 {relation_date_filter}
                 {relation_project_filter}
             )
+            LEFT JOIN entity e_to ON (r.to_id = e_to.id)
             WHERE eg.depth < :max_depth
+            AND (r.to_id IS NULL OR e_to.project_id = :project_id)
 
             UNION ALL
 
diff --git a/src/basic_memory/services/entity_service.py b/src/basic_memory/services/entity_service.py
index e7c4f4e0..3adfc027 100644
--- a/src/basic_memory/services/entity_service.py
+++ b/src/basic_memory/services/entity_service.py
@@ -24,7 +24,6 @@ from basic_memory.models import Entity as EntityModel
 from basic_memory.models import Observation, Relation
 from basic_memory.models.knowledge import Entity
 from basic_memory.repository import ObservationRepository, RelationRepository
-from basic_memory.repository.project_repository import ProjectRepository
 from basic_memory.repository.entity_repository import EntityRepository
 from basic_memory.schemas import Entity as EntitySchema
 from basic_memory.schemas.base import Permalink
@@ -42,7 +41,7 @@ from basic_memory.services.exceptions import (
 )
 from basic_memory.services.link_resolver import LinkResolver
 from basic_memory.services.search_service import SearchService
-from basic_memory.utils import build_canonical_permalink
+from basic_memory.utils import generate_permalink
 
 
 class EntityService(BaseService[EntityModel]):
@@ -67,7 +66,6 @@ class EntityService(BaseService[EntityModel]):
         self.link_resolver = link_resolver
         self.search_service = search_service
         self.app_config = app_config
-        self._project_permalink: Optional[str] = None
 
     async def detect_file_path_conflicts(
         self, file_path: str, skip_check: bool = False
@@ -161,23 +159,7 @@ class EntityService(BaseService[EntityModel]):
         if markdown and markdown.frontmatter.permalink:
             desired_permalink = markdown.frontmatter.permalink
         else:
-            # Trigger: generating a permalink for a new file
-            # Why: canonical permalinks may require project prefix for global addressing
-            # Outcome: include project slug when enabled in config
-            include_project = True
-            if self.app_config:
-                include_project = self.app_config.permalinks_include_project
-
-            project_permalink = None
-            # Trigger: project-prefixed permalinks are enabled
-            # Why: we need the project slug to build the canonical permalink
-            # Outcome: fetch and cache the project's permalink
-            if include_project:
-                project_permalink = await self._get_project_permalink()
-
-            desired_permalink = build_canonical_permalink(
-                project_permalink, file_path_str, include_project=include_project
-            )
+            desired_permalink = generate_permalink(file_path_str)
 
         # Make unique if needed - enhanced to handle character conflicts
         # Use lightweight existence check instead of loading full entity
@@ -190,21 +172,6 @@ class EntityService(BaseService[EntityModel]):
 
         return permalink
 
-    async def _get_project_permalink(self) -> Optional[str]:
-        """Get and cache the current project's permalink."""
-        if self._project_permalink is not None:
-            return self._project_permalink
-
-        project_id = self.repository.project_id
-        if project_id is None:  # pragma: no cover
-            return None  # pragma: no cover
-
-        project_repository = ProjectRepository(self.repository.session_maker)
-        project = await project_repository.get_by_id(project_id)
-        if project:
-            self._project_permalink = project.permalink
-        return self._project_permalink
-
     def _build_frontmatter_markdown(
         self, title: str, entity_type: str, permalink: str
     ) -> EntityMarkdown:
@@ -346,12 +313,9 @@ class EntityService(BaseService[EntityModel]):
         # Merge new metadata with existing metadata
         existing_markdown.frontmatter.metadata.update(post.metadata)
 
-        # Always ensure the permalink in the metadata is the canonical one from the database.
-        # The schema_to_markdown call above uses EntitySchema.permalink which computes a
-        # non-prefixed permalink (e.g., "test/note"). The metadata merge on the previous line
-        # would overwrite the project-prefixed permalink (e.g., "project/test/note") stored
-        # in the existing file. Setting it unconditionally preserves the correct value.
-        existing_markdown.frontmatter.metadata["permalink"] = new_permalink
+        # Ensure the permalink in the metadata is the resolved one
+        if new_permalink != entity.permalink:
+            existing_markdown.frontmatter.metadata["permalink"] = new_permalink
 
         # Create a new post with merged metadata
         merged_post = frontmatter.Post(post.content, **existing_markdown.frontmatter.metadata)
diff --git a/src/basic_memory/services/link_resolver.py b/src/basic_memory/services/link_resolver.py
index 80457a42..dec21a42 100644
--- a/src/basic_memory/services/link_resolver.py
+++ b/src/basic_memory/services/link_resolver.py
@@ -1,21 +1,14 @@
 """Service for resolving markdown links to permalinks."""
 
-from typing import Optional, Tuple, Dict
+from typing import Optional, Tuple
+
 
 from loguru import logger
 
-from basic_memory.config import BasicMemoryConfig, ConfigManager
-from basic_memory.models import Entity, Project
+from basic_memory.models import Entity
 from basic_memory.repository.entity_repository import EntityRepository
-from basic_memory.repository.project_repository import ProjectRepository
-from basic_memory.repository.search_repository import create_search_repository
 from basic_memory.schemas.search import SearchQuery, SearchItemType
 from basic_memory.services.search_service import SearchService
-from basic_memory.utils import (
-    build_canonical_permalink,
-    generate_permalink,
-    normalize_project_reference,
-)
 
 
 class LinkResolver:
@@ -33,12 +26,6 @@ class LinkResolver:
         """Initialize with repositories."""
         self.entity_repository = entity_repository
         self.search_service = search_service
-        self._project_repository = ProjectRepository(entity_repository.session_maker)
-        self._app_config: BasicMemoryConfig = ConfigManager().config
-        self._project_permalink: Optional[str] = None
-        self._project_cache_by_identifier: Dict[str, Project] = {}
-        self._entity_repository_cache: Dict[int, EntityRepository] = {}
-        self._search_service_cache: Dict[int, SearchService] = {}
 
     async def resolve_link(
         self,
@@ -60,69 +47,111 @@ class LinkResolver:
 
         # Clean link text and extract any alias
         clean_text, alias = self._normalize_link_text(link_text)
-        explicit_project_reference = "::" in clean_text
-        clean_text = normalize_project_reference(clean_text)
 
-        # Trigger: link uses project namespace syntax (project::note)
-        # Why: treat it as an explicit cross-project reference
-        # Outcome: resolve only within the referenced project scope
-        if explicit_project_reference:
-            project_prefix, remainder = self._split_project_prefix(clean_text)
-            if not project_prefix:
-                return None
+        # --- Path Resolution ---
+        # Note: All paths in Basic Memory are stored as POSIX strings (forward slashes)
+        # for cross-platform compatibility. See entity_repository.py which normalizes
+        # paths using Path().as_posix(). This allows consistent path operations here.
 
-            project_resources = await self._get_project_resources(project_prefix)
-            if not project_resources:
-                return None
+        # --- Relative Path Resolution ---
+        # Trigger: source_path is provided AND link contains "/"
+        # Why: Resolve paths like [[nested/deep-note]] relative to source folder first
+        # Outcome: [[nested/deep-note]] from testing/link-test.md → testing/nested/deep-note.md
+        if source_path and "/" in clean_text:
+            source_folder = source_path.rsplit("/", 1)[0] if "/" in source_path else ""
+            if source_folder:
+                # Construct relative path from source folder
+                relative_path = f"{source_folder}/{clean_text}"
 
-            project, entity_repository, search_service = project_resources
-            return await self._resolve_in_project(
-                entity_repository=entity_repository,
-                search_service=search_service,
-                link_text=remainder,
-                use_search=use_search,
-                strict=strict,
-                source_path=None,
-                project_permalink=project.permalink,
+                # Try with .md extension
+                if not relative_path.endswith(".md"):
+                    relative_path_md = f"{relative_path}.md"
+                    entity = await self.entity_repository.get_by_file_path(relative_path_md)
+                    if entity:
+                        return entity
+
+                # Try as-is (already has extension or is a permalink)
+                entity = await self.entity_repository.get_by_file_path(relative_path)
+                if entity:
+                    return entity
+
+        # When source_path is provided, use context-aware resolution:
+        # Check both permalink and title matches, prefer closest to source.
+        # Example: [[testing]] from folder/note.md prefers folder/testing.md
+        # over a root testing.md with permalink "testing".
+        if source_path:
+            # Gather all potential matches
+            candidates: list[Entity] = []
+
+            # Check permalink match
+            permalink_entity = await self.entity_repository.get_by_permalink(clean_text)
+            if permalink_entity:
+                candidates.append(permalink_entity)
+
+            # Check title matches
+            title_entities = await self.entity_repository.get_by_title(clean_text)
+            for entity in title_entities:
+                # Avoid duplicates (permalink match might also be in title matches)
+                if entity.id not in [c.id for c in candidates]:
+                    candidates.append(entity)
+
+            if candidates:
+                if len(candidates) == 1:
+                    return candidates[0]
+                else:
+                    # Multiple candidates - pick closest to source
+                    return self._find_closest_entity(candidates, source_path)
+
+        # Standard resolution (no source context): permalink first, then title
+        # 1. Try exact permalink match first (most efficient)
+        entity = await self.entity_repository.get_by_permalink(clean_text)
+        if entity:
+            logger.debug(f"Found exact permalink match: {entity.permalink}")
+            return entity
+
+        # 2. Try exact title match
+        found = await self.entity_repository.get_by_title(clean_text)
+        if found:
+            # Return first match (shortest path) if no source context
+            entity = found[0]
+            logger.debug(f"Found title match: {entity.title}")
+            return entity
+
+        # 3. Try file path
+        found_path = await self.entity_repository.get_by_file_path(clean_text)
+        if found_path:
+            logger.debug(f"Found entity with path: {found_path.file_path}")
+            return found_path
+
+        # 4. Try file path with .md extension if not already present
+        if not clean_text.endswith(".md") and "/" in clean_text:
+            file_path_with_md = f"{clean_text}.md"
+            found_path_md = await self.entity_repository.get_by_file_path(file_path_with_md)
+            if found_path_md:
+                logger.debug(f"Found entity with path (with .md): {found_path_md.file_path}")
+                return found_path_md
+
+        # In strict mode, don't try fuzzy search - return None if no exact match found
+        if strict:
+            return None
+
+        # 5. Fall back to search for fuzzy matching (only if not in strict mode)
+        if use_search and "*" not in clean_text:
+            results = await self.search_service.search(
+                query=SearchQuery(text=clean_text, entity_types=[SearchItemType.ENTITY]),
             )
 
-        current_project_permalink = await self._get_current_project_permalink()
-        resolved = await self._resolve_in_project(
-            entity_repository=self.entity_repository,
-            search_service=self.search_service,
-            link_text=clean_text,
-            use_search=use_search,
-            strict=strict,
-            source_path=source_path,
-            project_permalink=current_project_permalink,
-        )
-        if resolved:
-            return resolved
+            if results:
+                # Look for best match
+                best_match = min(results, key=lambda x: x.score)  # pyright: ignore
+                logger.trace(
+                    f"Selected best match from {len(results)} results: {best_match.permalink}"
+                )
+                if best_match.permalink:
+                    return await self.entity_repository.get_by_permalink(best_match.permalink)
 
-        # Trigger: local resolution failed and identifier looks like project/path
-        # Why: allow explicit project path references without namespace syntax
-        # Outcome: attempt resolution in the referenced project if it exists
-        project_prefix, remainder = self._split_project_prefix(clean_text)
-        if not project_prefix:
-            return None
-
-        project_resources = await self._get_project_resources(project_prefix)
-        if not project_resources:
-            return None
-
-        project, entity_repository, search_service = project_resources
-        if project.id == self.entity_repository.project_id:
-            return None
-
-        return await self._resolve_in_project(
-            entity_repository=entity_repository,
-            search_service=search_service,
-            link_text=remainder,
-            use_search=use_search,
-            strict=strict,
-            source_path=None,
-            project_permalink=project.permalink,
-        )
+        # if we couldn't find anything then return None
+        return None
 
     def _normalize_link_text(self, link_text: str) -> Tuple[str, Optional[str]]:
         """Normalize link text and extract alias if present.
@@ -152,228 +181,6 @@ class LinkResolver:
 
         return text, alias
 
-    async def _resolve_in_project(
-        self,
-        *,
-        entity_repository: EntityRepository,
-        search_service: SearchService,
-        link_text: str,
-        use_search: bool,
-        strict: bool,
-        source_path: Optional[str],
-        project_permalink: Optional[str],
-    ) -> Optional[Entity]:
-        """Resolve a link within a specific project scope."""
-        clean_text = link_text
-        include_project = self._include_project_permalinks()
-
-        canonical_permalink: Optional[str] = None
-        legacy_permalink: Optional[str] = None
-        # Trigger: permalinks include project slug and project permalink is known
-        # Why: support globally addressable permalinks while keeping legacy links resolvable
-        # Outcome: include canonical and legacy candidates for resolution
-        if include_project and project_permalink:
-            canonical_permalink = build_canonical_permalink(
-                project_permalink, clean_text, include_project=True
-            )
-            if clean_text.startswith(f"{project_permalink}/"):
-                legacy_candidate = clean_text.removeprefix(f"{project_permalink}/")
-                if legacy_candidate:
-                    legacy_permalink = legacy_candidate
-
-        permalink_candidates = []
-        for candidate in (clean_text, canonical_permalink, legacy_permalink):
-            if candidate and candidate not in permalink_candidates:
-                permalink_candidates.append(candidate)
-
-        # --- Path Resolution ---
-        # Note: All paths in Basic Memory are stored as POSIX strings (forward slashes)
-        # for cross-platform compatibility. See entity_repository.py which normalizes
-        # paths using Path().as_posix(). This allows consistent path operations here.
-
-        # --- Relative Path Resolution ---
-        # Trigger: source_path is provided AND link contains "/"
-        # Why: Resolve paths like [[nested/deep-note]] relative to source folder first
-        # Outcome: [[nested/deep-note]] from testing/link-test.md → testing/nested/deep-note.md
-        if source_path and "/" in clean_text:
-            if not (
-                include_project
-                and project_permalink
-                and clean_text.startswith(f"{project_permalink}/")
-            ):
-                source_folder = source_path.rsplit("/", 1)[0] if "/" in source_path else ""
-                if source_folder:
-                    # Construct relative path from source folder
-                    relative_path = f"{source_folder}/{clean_text}"
-
-                    # Try with .md extension
-                    if not relative_path.endswith(".md"):
-                        relative_path_md = f"{relative_path}.md"
-                        entity = await entity_repository.get_by_file_path(relative_path_md)
-                        if entity:
-                            return entity
-
-                    # Try as-is (already has extension or is a permalink)
-                    entity = await entity_repository.get_by_file_path(relative_path)
-                    if entity:
-                        return entity
-
-        # When source_path is provided, use context-aware resolution:
-        # Check both permalink and title matches, prefer closest to source.
-        # Example: [[testing]] from folder/note.md prefers folder/testing.md
-        # over a root testing.md with permalink "testing".
-        if source_path:
-            # Gather all potential matches
-            candidates: list[Entity] = []
-
-            # Check permalink match
-            for candidate_permalink in permalink_candidates:
-                permalink_entity = await entity_repository.get_by_permalink(candidate_permalink)
-                if permalink_entity and permalink_entity.id not in [c.id for c in candidates]:
-                    candidates.append(permalink_entity)
-
-            # Check title matches
-            title_entities = await entity_repository.get_by_title(clean_text)
-            for entity in title_entities:
-                # Avoid duplicates (permalink match might also be in title matches)
-                if entity.id not in [c.id for c in candidates]:
-                    candidates.append(entity)
-
-            if candidates:
-                if len(candidates) == 1:
-                    return candidates[0]
-                else:
-                    # Multiple candidates - pick closest to source
-                    return self._find_closest_entity(candidates, source_path)
-
-        # Standard resolution (no source context): permalink first, then title
-        # 1. Try exact permalink match first (most efficient)
-        for candidate_permalink in permalink_candidates:
-            entity = await entity_repository.get_by_permalink(candidate_permalink)
-            if entity:
-                logger.debug(f"Found exact permalink match: {entity.permalink}")
-                return entity
-
-        # 2. Try exact title match
-        found = await entity_repository.get_by_title(clean_text)
-        if found:
-            # Return first match (shortest path) if no source context
-            entity = found[0]
-            logger.debug(f"Found title match: {entity.title}")
-            return entity
-
-        # 3. Try file path
-        found_path = await entity_repository.get_by_file_path(clean_text)
-        if found_path:
-            logger.debug(f"Found entity with path: {found_path.file_path}")
-            return found_path
-
-        # 4. Try file path with .md extension if not already present
-        if not clean_text.endswith(".md") and "/" in clean_text:
-            file_path_with_md = f"{clean_text}.md"
-            found_path_md = await entity_repository.get_by_file_path(file_path_with_md)
-            if found_path_md:
-                logger.debug(f"Found entity with path (with .md): {found_path_md.file_path}")
-                return found_path_md
-
-        # In strict mode, don't try fuzzy search - return None if no exact match found
-        if strict:
-            return None
-
-        # 5. Fall back to search for fuzzy matching (only if not in strict mode)
-        if use_search and "*" not in clean_text:
-            results = await search_service.search(
-                query=SearchQuery(text=clean_text, entity_types=[SearchItemType.ENTITY]),
-            )
-
-            if results:
-                # Look for best match
-                best_match = min(results, key=lambda x: x.score)  # pyright: ignore
-                logger.trace(
-                    f"Selected best match from {len(results)} results: {best_match.permalink}"
-                )
-                if best_match.permalink:
-                    return await entity_repository.get_by_permalink(best_match.permalink)
-
-        # if we couldn't find anything then return None
-        return None
-
-    def _include_project_permalinks(self) -> bool:
-        """Return True when permalinks should include the project slug."""
-        return self._app_config.permalinks_include_project
-
-    async def _get_current_project_permalink(self) -> Optional[str]:
-        """Get and cache the current project's permalink."""
-        if self._project_permalink is not None:
-            return self._project_permalink
-
-        project_id = self.entity_repository.project_id
-        if project_id is None:  # pragma: no cover
-            return None  # pragma: no cover
-
-        project = await self._project_repository.get_by_id(project_id)
-        if project:
-            self._project_permalink = project.permalink
-        return self._project_permalink
-
-    async def _get_project_by_identifier(self, identifier: str) -> Optional[Project]:
-        """Resolve project by name or permalink."""
-        cache_key = identifier.strip().lower()
-        if cache_key in self._project_cache_by_identifier:
-            return self._project_cache_by_identifier[cache_key]
-
-        project = await self._project_repository.get_by_name(identifier)
-        if not project:
-            project = await self._project_repository.get_by_name_case_insensitive(identifier)
-        if not project:
-            project = await self._project_repository.get_by_permalink(generate_permalink(identifier))
-
-        if project:
-            self._project_cache_by_identifier[cache_key] = project
-        return project
-
-    async def _get_project_resources(
-        self, project_identifier: str
-    ) -> Optional[Tuple[Project, EntityRepository, SearchService]]:
-        """Fetch repositories and services scoped to a project."""
-        project = await self._get_project_by_identifier(project_identifier)
-        if not project:
-            return None
-
-        entity_repository = self._entity_repository_cache.get(project.id)
-        if not entity_repository:
-            entity_repository = EntityRepository(
-                self.entity_repository.session_maker, project_id=project.id
-            )
-            self._entity_repository_cache[project.id] = entity_repository
-
-        search_service = self._search_service_cache.get(project.id)
-        if not search_service:
-            search_repository = create_search_repository(
-                self.entity_repository.session_maker,
-                project_id=project.id,
-                database_backend=self._app_config.database_backend,
-            )
-            search_service = SearchService(
-                search_repository,
-                entity_repository,
-                self.search_service.file_service,
-            )
-            self._search_service_cache[project.id] = search_service
-
-        return project, entity_repository, search_service
-
-    def _split_project_prefix(self, identifier: str) -> Tuple[Optional[str], str]:
-        """Split project prefix from a path-like identifier."""
-        if "/" not in identifier:
-            return None, identifier
-
-        project_prefix, remainder = identifier.split("/", 1)
-        if not project_prefix or not remainder:
-            return None, identifier
-
-        return project_prefix, remainder
-
     def _find_closest_entity(self, entities: list[Entity], source_path: str) -> Entity:
         """Find the entity closest to the source file path.
 
diff --git a/src/basic_memory/utils.py b/src/basic_memory/utils.py
index c6260017..bea1af9d 100644
--- a/src/basic_memory/utils.py
+++ b/src/basic_memory/utils.py
@@ -7,7 +7,7 @@ import re
 import sys
 from datetime import datetime, timezone
 from pathlib import Path
-from typing import Protocol, Union, runtime_checkable, List, Optional
+from typing import Protocol, Union, runtime_checkable, List
 
 from loguru import logger
 from unidecode import unidecode
@@ -202,49 +202,6 @@ def generate_permalink(file_path: Union[Path, str, PathLike], split_extension: b
     return return_val
 
 
-def normalize_project_reference(identifier: str) -> str:
-    """Normalize project-prefixed references.
-
-    Converts project namespace syntax ("project::note") to path syntax ("project/note").
-    Leaves non-namespaced identifiers unchanged.
-    """
-    if "::" not in identifier:
-        return identifier
-
-    project, remainder = identifier.split("::", 1)
-    remainder = remainder.lstrip("/")
-    return f"{project}/{remainder}"
-
-
-def build_canonical_permalink(
-    project_permalink: Optional[str],
-    file_path: Union[Path, str, PathLike],
-    include_project: bool = True,
-) -> str:
-    """Build a canonical permalink, optionally prefixed with project slug.
-
-    Args:
-        project_permalink: URL-friendly project identifier (slug). If None, no prefix is added.
-        file_path: Original file path or permalink-like string.
-        include_project: When True, prefix with project slug.
-
-    Returns:
-        Canonical permalink string.
-    """
-    normalized_path = generate_permalink(file_path)
-
-    if not include_project or not project_permalink:
-        return normalized_path
-
-    normalized_project = generate_permalink(project_permalink)
-    if normalized_path == normalized_project or normalized_path.startswith(
-        f"{normalized_project}/"
-    ):
-        return normalized_path
-
-    return f"{normalized_project}/{normalized_path}"
-
-
 def setup_logging(
     log_level: str = "INFO",
     log_to_file: bool = False,
diff --git a/test-int/mcp/test_read_content_integration.py b/test-int/mcp/test_read_content_integration.py
index 24f35963..8191c02e 100644
--- a/test-int/mcp/test_read_content_integration.py
+++ b/test-int/mcp/test_read_content_integration.py
@@ -283,7 +283,7 @@ async def test_read_content_empty_file(mcp_server, app, test_project):
 
         # Should still have frontmatter even with empty content
         assert "title: Empty Test" in content
-        assert f"permalink: {test_project.name}/test/empty-test" in content
+        assert "permalink: test/empty-test" in content
 
 
 @pytest.mark.asyncio
diff --git a/test-int/mcp/test_read_note_integration.py b/test-int/mcp/test_read_note_integration.py
index bb4b4f8c..ff992836 100644
--- a/test-int/mcp/test_read_note_integration.py
+++ b/test-int/mcp/test_read_note_integration.py
@@ -45,7 +45,7 @@ async def test_read_note_after_write(mcp_server, app, test_project):
         # Should contain the note content and metadata
         assert "# Test Note" in result_text
         assert "This is test content." in result_text
-        assert f"{test_project.name}/test/test-note" in result_text  # permalink
+        assert "test/test-note" in result_text  # permalink
 
 
 @pytest.mark.asyncio
@@ -78,7 +78,7 @@ async def test_read_note_underscored_folder_by_permalink(mcp_server, app, test_p
         assert "_archive/articles/Example Note.md" in write_text
 
         # Verify the permalink has underscores stripped (this is the expected behavior)
-        assert f"{test_project.name}/archive/articles/example-note" in write_text
+        assert "archive/articles/example-note" in write_text
 
         # Now try to read the note using the permalink (without underscores)
         # This is the exact scenario from the bug report - using the permalink
@@ -99,4 +99,4 @@ async def test_read_note_underscored_folder_by_permalink(mcp_server, app, test_p
         # Should contain the note content
         assert "# Example Note" in result_text
         assert "This is a test note in an underscored folder." in result_text
-        assert f"{test_project.name}/archive/articles/example-note" in result_text  # permalink
+        assert "archive/articles/example-note" in result_text  # permalink
diff --git a/test-int/mcp/test_search_integration.py b/test-int/mcp/test_search_integration.py
index bd8c32ef..7729420c 100644
--- a/test-int/mcp/test_search_integration.py
+++ b/test-int/mcp/test_search_integration.py
@@ -224,7 +224,7 @@ async def test_search_permalink_exact(mcp_server, app, test_project):
             "search_notes",
             {
                 "project": test_project.name,
-                "query": f"{test_project.name}/api/api-documentation",
+                "query": "api/api-documentation",
                 "search_type": "permalink",
             },
         )
@@ -278,7 +278,7 @@ async def test_search_permalink_pattern(mcp_server, app, test_project):
             "search_notes",
             {
                 "project": test_project.name,
-                "query": f"{test_project.name}/meetings/*",
+                "query": "meetings/*",
                 "search_type": "permalink",
             },
         )
diff --git a/test-int/mcp/test_write_note_integration.py b/test-int/mcp/test_write_note_integration.py
index 88684c56..cd14b8fe 100644
--- a/test-int/mcp/test_write_note_integration.py
+++ b/test-int/mcp/test_write_note_integration.py
@@ -38,7 +38,7 @@ async def test_write_note_basic_creation(mcp_server, app, test_project):
         assert "# Created note" in response_text
         assert f"project: {test_project.name}" in response_text
         assert "file_path: basic/Simple Note.md" in response_text
-        assert f"permalink: {test_project.name}/basic/simple-note" in response_text
+        assert "permalink: basic/simple-note" in response_text
         assert "## Tags" in response_text
         assert "- simple, test" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
@@ -65,7 +65,7 @@ async def test_write_note_no_tags(mcp_server, app, test_project):
 
         assert "# Created note" in response_text
         assert "file_path: test/No Tags Note.md" in response_text
-        assert f"permalink: {test_project.name}/test/no-tags-note" in response_text
+        assert "permalink: test/no-tags-note" in response_text
         # Should not have tags section when no tags provided
 
 
@@ -107,7 +107,7 @@ async def test_write_note_update_existing(mcp_server, app, test_project):
         assert "# Updated note" in response_text
         assert f"project: {test_project.name}" in response_text
         assert "file_path: test/Update Test.md" in response_text
-        assert f"permalink: {test_project.name}/test/update-test" in response_text
+        assert "permalink: test/update-test" in response_text
         assert "- updated, modified" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
 
@@ -136,7 +136,7 @@ async def test_write_note_tag_array(mcp_server, app, test_project):
         assert "# Created note" in response_text
         assert f"project: {test_project.name}" in response_text
         assert "file_path: test/Array Tags Test.md" in response_text
-        assert f"permalink: {test_project.name}/test/array-tags-test" in response_text
+        assert "permalink: test/array-tags-test" in response_text
         assert "## Tags" in response_text
         assert "python" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
@@ -206,7 +206,7 @@ async def test_write_note_unicode_content(mcp_server, app, test_project):
         assert f"project: {test_project.name}" in response_text
         assert "file_path: test/Unicode Test 🌟.md" in response_text
         # Permalink should be sanitized
-        assert f"permalink: {test_project.name}/test/unicode-test" in response_text
+        assert "permalink: test/unicode-test" in response_text
         assert "## Tags" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
 
@@ -256,7 +256,7 @@ async def test_write_note_complex_content_with_observations_relations(
         assert "# Created note" in response_text
         assert f"project: {test_project.name}" in response_text
         assert "file_path: knowledge/Complex Knowledge Note.md" in response_text
-        assert f"permalink: {test_project.name}/knowledge/complex-knowledge-note" in response_text
+        assert "permalink: knowledge/complex-knowledge-note" in response_text
 
         # Should show observation and relation counts
         assert "## Observations" in response_text
@@ -309,7 +309,7 @@ async def test_write_note_preserve_frontmatter(mcp_server, app, test_project):
         assert "# Created note" in response_text
         assert f"project: {test_project.name}" in response_text
         assert "file_path: test/Frontmatter Note.md" in response_text
-        assert f"permalink: {test_project.name}/test/frontmatter-note" in response_text
+        assert "permalink: test/frontmatter-note" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
 
 
@@ -338,7 +338,7 @@ async def test_write_note_kebab_filenames_basic(mcp_server, app, test_project, a
         # File path and permalink should be kebab-case and sanitized
         assert f"project: {test_project.name}" in response_text
         assert "file_path: my-folder/my-note-with-invalid-chars.md" in response_text
-        assert f"permalink: {test_project.name}/my-folder/my-note-with-invalid-chars" in response_text
+        assert "permalink: my-folder/my-note-with-invalid-chars" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
 
 
@@ -366,7 +366,7 @@ async def test_write_note_kebab_filenames_repeat_invalid(mcp_server, app, test_p
 
         assert f"project: {test_project.name}" in response_text
         assert "file_path: my-folder/crazy-note-name.md" in response_text
-        assert f"permalink: {test_project.name}/my-folder/crazy-note-name" in response_text
+        assert "permalink: my-folder/crazy-note-name" in response_text
         assert f"[Session: Using project '{test_project.name}']" in response_text
 
 
@@ -416,7 +416,7 @@ async def test_write_note_file_path_os_path_join(mcp_server, app, test_project,
 
             assert f"project: {test_project.name}" in response_text
             assert f"file_path: {expected_path}" in response_text
-            assert f"permalink: {test_project.name}/{expected_permalink}" in response_text
+            assert f"permalink: {expected_permalink}" in response_text
             assert f"[Session: Using project '{test_project.name}']" in response_text
 
 
diff --git a/tests/api/v2/test_knowledge_router.py b/tests/api/v2/test_knowledge_router.py
index 4bf37b5a..5d8d6c10 100644
--- a/tests/api/v2/test_knowledge_router.py
+++ b/tests/api/v2/test_knowledge_router.py
@@ -171,7 +171,7 @@ async def test_create_entity(client: AsyncClient, file_service, v2_project_url):
     assert isinstance(entity.id, int)
     assert entity.api_version == "v2"
 
-    assert entity.permalink == "test-project/test/test-v2-entity"
+    assert entity.permalink == "test/test-v2-entity"
     assert entity.file_path == "test/TestV2Entity.md"
     assert entity.entity_type == data["entity_type"]
 
diff --git a/tests/importers/test_conversation_indexing.py b/tests/importers/test_conversation_indexing.py
index 7823133d..5e659d7c 100644
--- a/tests/importers/test_conversation_indexing.py
+++ b/tests/importers/test_conversation_indexing.py
@@ -38,9 +38,7 @@ async def test_imported_conversations_have_correct_permalink_and_title(
     file_service = FileService(base_path, processor)
 
     # Create importer
-    importer = ClaudeConversationsImporter(
-        base_path, processor, file_service, project_name=project_config.name
-    )
+    importer = ClaudeConversationsImporter(base_path, processor, file_service)
 
     # Sample conversation data
     conversations = [
@@ -82,10 +80,7 @@ async def test_imported_conversations_have_correct_permalink_and_title(
     content = conv_path.read_text()
     assert "---" in content, "File should have frontmatter markers"
     assert "title: My Test Conversation Title" in content, "File should have title in frontmatter"
-    assert (
-        f"permalink: {project_config.name}/conversations/20250115-my-test-conversation-title"
-        in content
-    ), (
+    assert "permalink: conversations/20250115-My_Test_Conversation_Title" in content, (
         "File should have permalink in frontmatter"
     )
 
@@ -102,10 +97,7 @@ async def test_imported_conversations_have_correct_permalink_and_title(
     assert entity.title == "My Test Conversation Title", (
         f"Title should be from frontmatter, got: {entity.title}"
     )
-    assert (
-        entity.permalink
-        == f"{project_config.name}/conversations/20250115-my-test-conversation-title"
-    ), (
+    assert entity.permalink == "conversations/20250115-My_Test_Conversation_Title", (
         f"Permalink should be from frontmatter, got: {entity.permalink}"
     )
 
@@ -119,9 +111,6 @@ async def test_imported_conversations_have_correct_permalink_and_title(
     assert search_result.title == "My Test Conversation Title", (
         f"Search title should be from frontmatter, got: {search_result.title}"
     )
-    assert (
-        search_result.permalink
-        == f"{project_config.name}/conversations/20250115-my-test-conversation-title"
-    ), (
+    assert search_result.permalink == "conversations/20250115-My_Test_Conversation_Title", (
         f"Search permalink should not be null, got: {search_result.permalink}"
     )
diff --git a/tests/markdown/test_markdown_plugins.py b/tests/markdown/test_markdown_plugins.py
index bd4440c6..e68376f3 100644
--- a/tests/markdown/test_markdown_plugins.py
+++ b/tests/markdown/test_markdown_plugins.py
@@ -176,14 +176,6 @@ def test_relation_plugin():
     assert rel["target"] == "Component"
     assert rel["context"] == "with context"
 
-    # Test project namespace normalization
-    content = dedent("""
-        - relates_to [[other-project::Component]]
-        """)
-    token = [t for t in md.parse(content) if t.type == "inline"][0]
-    rel = token.meta["relations"][0]
-    assert rel["target"] == "other-project/Component"
-
     # Test implicit relations in text
     content = "Some text with a [[Link]] and [[Another Link]]"
     token = [t for t in md.parse(content) if t.type == "inline"][0]
diff --git a/tests/mcp/test_permalink_collision_file_overwrite.py b/tests/mcp/test_permalink_collision_file_overwrite.py
index ffe26e42..79f8ce7c 100644
--- a/tests/mcp/test_permalink_collision_file_overwrite.py
+++ b/tests/mcp/test_permalink_collision_file_overwrite.py
@@ -22,7 +22,6 @@ from basic_memory.mcp.tools import write_note, read_note
 from basic_memory.sync.sync_service import SyncService
 from basic_memory.config import ProjectConfig
 from basic_memory.services import EntityService
-from basic_memory.utils import generate_permalink
 
 
 async def force_full_scan(sync_service: SyncService) -> None:
@@ -71,7 +70,7 @@ async def test_permalink_collision_should_not_overwrite_different_file(app, test
 
     assert "# Created note" in result_a
     assert "file_path: edge-cases/Node A.md" in result_a
-    assert f"permalink: {test_project.name}/edge-cases/node-a" in result_a
+    assert "permalink: edge-cases/node-a" in result_a
 
     # Verify Node A content via read
     content_a = await read_note.fn("edge-cases/node-a", project=test_project.name)
@@ -88,7 +87,7 @@ async def test_permalink_collision_should_not_overwrite_different_file(app, test
 
     assert "# Created note" in result_b
     assert "file_path: edge-cases/Node B.md" in result_b
-    assert f"permalink: {test_project.name}/edge-cases/node-b" in result_b
+    assert "permalink: edge-cases/node-b" in result_b
 
     # Step 3: Create third note "Node C" (this is where the bug occurs)
     result_c = await write_note.fn(
@@ -100,7 +99,7 @@ async def test_permalink_collision_should_not_overwrite_different_file(app, test
 
     assert "# Created note" in result_c
     assert "file_path: edge-cases/Node C.md" in result_c
-    assert f"permalink: {test_project.name}/edge-cases/node-c" in result_c
+    assert "permalink: edge-cases/node-c" in result_c
 
     # CRITICAL CHECK: Verify Node A still has its original content
     # This is where the bug manifests - Node A.md gets overwritten with Node C content
@@ -259,7 +258,6 @@ async def test_sync_permalink_collision_file_overwrite_bug(
     project_dir = project_config.home
     edge_cases_dir = project_dir / "edge-cases"
     edge_cases_dir.mkdir(parents=True, exist_ok=True)
-    project_prefix = generate_permalink(project_config.name)
 
     # Step 1: Create Node A file
     node_a_content = dedent("""
@@ -286,7 +284,7 @@ async def test_sync_permalink_collision_file_overwrite_bug(
     await sync_service.sync(project_dir)
 
     # Verify Node A is in database
-    node_a = await entity_service.get_by_permalink(f"{project_prefix}/edge-cases/node-a")
+    node_a = await entity_service.get_by_permalink("edge-cases/node-a")
     assert node_a is not None
     assert node_a.title == "Node A"
 
@@ -377,8 +375,8 @@ async def test_sync_permalink_collision_file_overwrite_bug(
     assert "Content for Node C" in node_c_after_sync
 
     # Verify database has both entities correctly
-    node_a_db = await entity_service.get_by_permalink(f"{project_prefix}/edge-cases/node-a")
-    node_c_db = await entity_service.get_by_permalink(f"{project_prefix}/edge-cases/node-c")
+    node_a_db = await entity_service.get_by_permalink("edge-cases/node-a")
+    node_c_db = await entity_service.get_by_permalink("edge-cases/node-c")
 
     assert node_a_db is not None, "Node A should exist in database"
     assert node_a_db.title == "Node A", "Node A database entry should have correct title"
diff --git a/tests/mcp/test_tool_build_context.py b/tests/mcp/test_tool_build_context.py
index e395ec0f..0cce7271 100644
--- a/tests/mcp/test_tool_build_context.py
+++ b/tests/mcp/test_tool_build_context.py
@@ -18,11 +18,11 @@ async def test_get_basic_discussion_context(client, test_graph, test_project):
 
     assert isinstance(context, GraphContext)
     assert len(context.results) == 1
-    assert context.results[0].primary_result.permalink == f"{test_project.name}/test/root"
+    assert context.results[0].primary_result.permalink == "test/root"
     assert len(context.results[0].related_results) > 0
 
     # Verify metadata
-    assert context.metadata.uri == f"{test_project.name}/test/root"
+    assert context.metadata.uri == "test/root"
     assert context.metadata.depth == 1  # default depth
     assert context.metadata.timeframe is not None
     assert isinstance(context.metadata.generated_at, datetime)
@@ -38,10 +38,7 @@ async def test_get_discussion_context_pattern(client, test_graph, test_project):
 
     assert isinstance(context, GraphContext)
     assert len(context.results) > 1  # Should match multiple test/* paths
-    assert all(
-        f"{test_project.name}/test/" in item.primary_result.permalink
-        for item in context.results
-    )  # pyright: ignore [reportOperatorIssue]
+    assert all("test/" in item.primary_result.permalink for item in context.results)  # pyright: ignore [reportOperatorIssue]
     assert context.metadata.depth == 1
 
 
diff --git a/tests/mcp/test_tool_edit_note.py b/tests/mcp/test_tool_edit_note.py
index 11c08bf9..ca8a3f1c 100644
--- a/tests/mcp/test_tool_edit_note.py
+++ b/tests/mcp/test_tool_edit_note.py
@@ -29,7 +29,7 @@ async def test_edit_note_append_operation(client, test_project):
     assert "Edited note (append)" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Test Note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
     assert "Added 3 lines to end of note" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
@@ -57,7 +57,7 @@ async def test_edit_note_prepend_operation(client, test_project):
     assert "Edited note (prepend)" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: meetings/Meeting Notes.md" in result
-    assert f"permalink: {test_project.name}/meetings/meeting-notes" in result
+    assert "permalink: meetings/meeting-notes" in result
     assert "Added 3 lines to beginning of note" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
@@ -439,7 +439,7 @@ async def test_edit_note_preserves_permalink_when_frontmatter_missing(client, te
     )
 
     assert isinstance(first_result, str)
-    assert f"permalink: {test_project.name}/test/test-note" in first_result
+    assert "permalink: test/test-note" in first_result
 
     # Perform another edit - this should preserve the permalink even if the
     # file doesn't have a permalink in its frontmatter
@@ -453,6 +453,6 @@ async def test_edit_note_preserves_permalink_when_frontmatter_missing(client, te
     assert isinstance(second_result, str)
     assert "Edited note (append)" in second_result
     assert f"project: {test_project.name}" in second_result
-    assert f"permalink: {test_project.name}/test/test-note" in second_result
+    assert "permalink: test/test-note" in second_result
     assert f"[Session: Using project '{test_project.name}']" in second_result
     # The edit should succeed without validation errors
diff --git a/tests/mcp/test_tool_move_note.py b/tests/mcp/test_tool_move_note.py
index 78d86544..acb977be 100644
--- a/tests/mcp/test_tool_move_note.py
+++ b/tests/mcp/test_tool_move_note.py
@@ -67,7 +67,7 @@ async def test_move_note_success(app, client, test_project):
     content = await read_note.fn("target/moved-note", project=test_project.name)
     assert "# Test Note" in content
     assert "Original content here" in content
-    assert f"permalink: {test_project.name}/target/moved-note" in content
+    assert "permalink: target/moved-note" in content
 
 
 @pytest.mark.asyncio
@@ -426,7 +426,7 @@ async def test_move_note_rename_only(client, test_project):
     content = await read_note.fn("test/new-name", project=test_project.name)
     assert "# OriginalName" in content  # Title in content remains same
     assert "Content to rename" in content
-    assert f"permalink: {test_project.name}/test/new-name" in content
+    assert "permalink: test/new-name" in content
 
 
 @pytest.mark.asyncio
@@ -587,7 +587,7 @@ async def test_move_note_preserves_frontmatter(app, client, test_project):
     content = await read_note.fn("target/moved-custom-note", project=test_project.name)
     assert "title: Custom Frontmatter Note" in content
     assert "type: note" in content
-    assert f"permalink: {test_project.name}/target/moved-custom-note" in content
+    assert "permalink: target/moved-custom-note" in content
     assert "# Custom Frontmatter Note" in content
     assert "Content with custom metadata" in content
 
diff --git a/tests/mcp/test_tool_read_note.py b/tests/mcp/test_tool_read_note.py
index 8f27b971..14e901de 100644
--- a/tests/mcp/test_tool_read_note.py
+++ b/tests/mcp/test_tool_read_note.py
@@ -119,7 +119,7 @@ async def test_note_unicode_content(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Unicode Test.md" in result
-    assert f"permalink: {test_project.name}/test/unicode-test" in result
+    assert "permalink: test/unicode-test" in result
     assert "checksum:" in result  # Checksum exists but may be "unknown"
 
     # Read back should preserve unicode
@@ -201,21 +201,6 @@ async def test_read_note_memory_url(app, test_project):
     assert "Testing memory:// URL handling" in content
 
 
-@pytest.mark.asyncio
-async def test_read_note_memory_url_with_project_prefix(app, test_project):
-    """Test reading a note using a memory:// URL with explicit project prefix."""
-    await write_note.fn(
-        project=test_project.name,
-        title="Project Prefixed Memory URL Test",
-        directory="test",
-        content="Testing memory:// URL handling with project prefix",
-    )
-
-    memory_url = f"memory://{test_project.name}/test/project-prefixed-memory-url-test"
-    content = await read_note.fn(memory_url)
-    assert "Testing memory:// URL handling with project prefix" in content
-
-
 class TestReadNoteSecurityValidation:
     """Test read_note security validation features."""
 
diff --git a/tests/mcp/test_tool_resource.py b/tests/mcp/test_tool_resource.py
index 54f4b5e4..3fa0dcfb 100644
--- a/tests/mcp/test_tool_resource.py
+++ b/tests/mcp/test_tool_resource.py
@@ -150,23 +150,6 @@ async def test_read_file_memory_url(app, synced_files, test_project):
     assert "Testing memory:// URL handling for resources" in response["text"]
 
 
-@pytest.mark.asyncio
-async def test_read_file_memory_url_with_project_prefix(app, synced_files, test_project):
-    """Test reading a resource using a memory:// URL with explicit project prefix."""
-    await write_note.fn(
-        project=test_project.name,
-        title="Project Prefixed Resource URL Test",
-        directory="test",
-        content="Testing memory:// URL handling for resources with project prefix",
-    )
-
-    memory_url = f"memory://{test_project.name}/test/project-prefixed-resource-url-test"
-    response = await read_content.fn(memory_url)
-
-    assert response["type"] == "text"
-    assert "Testing memory:// URL handling for resources with project prefix" in response["text"]
-
-
 @pytest.mark.asyncio
 async def test_image_optimization_functions(app):
     """Test the image optimization helper functions."""
diff --git a/tests/mcp/test_tool_search.py b/tests/mcp/test_tool_search.py
index b20ef757..d9cb9c04 100644
--- a/tests/mcp/test_tool_search.py
+++ b/tests/mcp/test_tool_search.py
@@ -1,7 +1,6 @@
 """Tests for search MCP tools."""
 
 import pytest
-from contextlib import asynccontextmanager
 from datetime import datetime, timedelta
 
 from basic_memory.mcp.tools import write_note
@@ -29,10 +28,7 @@ async def test_search_text(client, test_project):
     if isinstance(response, SearchResponse):
         # Success case - verify SearchResponse
         assert len(response.results) > 0
-        assert any(
-            r.permalink == f"{test_project.name}/test/test-search-note"
-            for r in response.results
-        )
+        assert any(r.permalink == "test/test-search-note" for r in response.results)
     else:
         # If search failed and returned error message, test should fail with informative message
         pytest.fail(f"Search failed with error: {response}")
@@ -63,10 +59,7 @@ async def test_search_title(client, test_project):
     else:
         # Success case - verify SearchResponse
         assert len(response.results) > 0
-        assert any(
-            r.permalink == f"{test_project.name}/test/test-search-note"
-            for r in response.results
-        )
+        assert any(r.permalink == "test/test-search-note" for r in response.results)
 
 
 @pytest.mark.asyncio
@@ -84,19 +77,14 @@ async def test_search_permalink(client, test_project):
 
     # Search for it
     response = await search_notes.fn(
-        project=test_project.name,
-        query=f"{test_project.name}/test/test-search-note",
-        search_type="permalink",
+        project=test_project.name, query="test/test-search-note", search_type="permalink"
     )
 
     # Verify results - handle both success and error cases
     if isinstance(response, SearchResponse):
         # Success case - verify SearchResponse
         assert len(response.results) > 0
-        assert any(
-            r.permalink == f"{test_project.name}/test/test-search-note"
-            for r in response.results
-        )
+        assert any(r.permalink == "test/test-search-note" for r in response.results)
     else:
         # If search failed and returned error message, test should fail with informative message
         pytest.fail(f"Search failed with error: {response}")
@@ -117,49 +105,19 @@ async def test_search_permalink_match(client, test_project):
 
     # Search for it
     response = await search_notes.fn(
-        project=test_project.name,
-        query=f"{test_project.name}/test/test-search-*",
-        search_type="permalink",
+        project=test_project.name, query="test/test-search-*", search_type="permalink"
     )
 
     # Verify results - handle both success and error cases
     if isinstance(response, SearchResponse):
         # Success case - verify SearchResponse
         assert len(response.results) > 0
-        assert any(
-            r.permalink == f"{test_project.name}/test/test-search-note"
-            for r in response.results
-        )
+        assert any(r.permalink == "test/test-search-note" for r in response.results)
     else:
         # If search failed and returned error message, test should fail with informative message
         pytest.fail(f"Search failed with error: {response}")
 
 
-@pytest.mark.asyncio
-async def test_search_memory_url_with_project_prefix(client, test_project):
-    """Test searching with a memory:// URL that includes the project prefix."""
-    result = await write_note.fn(
-        project=test_project.name,
-        title="Memory URL Search Note",
-        directory="test",
-        content="# Memory URL Search\nThis note should be found via memory URL search",
-    )
-    assert result
-
-    response = await search_notes.fn(
-        query=f"memory://{test_project.name}/test/memory-url-search-note"
-    )
-
-    if isinstance(response, SearchResponse):
-        assert len(response.results) > 0
-        assert any(
-            r.permalink == f"{test_project.name}/test/memory-url-search-note"
-            for r in response.results
-        )
-    else:
-        pytest.fail(f"Search failed with error: {response}")
-
-
 @pytest.mark.asyncio
 async def test_search_pagination(client, test_project):
     """Test basic search functionality."""
@@ -182,10 +140,7 @@ async def test_search_pagination(client, test_project):
     if isinstance(response, SearchResponse):
         # Success case - verify SearchResponse
         assert len(response.results) == 1
-        assert any(
-            r.permalink == f"{test_project.name}/test/test-search-note"
-            for r in response.results
-        )
+        assert any(r.permalink == "test/test-search-note" for r in response.results)
     else:
         # If search failed and returned error message, test should fail with informative message
         pytest.fail(f"Search failed with error: {response}")
@@ -360,23 +315,21 @@ class TestSearchToolErrorHandling:
     async def test_search_notes_exception_handling(self, monkeypatch):
         """Test exception handling in search_notes."""
         import importlib
+        from contextlib import asynccontextmanager
 
         search_mod = importlib.import_module("basic_memory.mcp.tools.search")
         clients_mod = importlib.import_module("basic_memory.mcp.clients")
 
         class StubProject:
+            project_url = "http://test"
             name = "test-project"
+            id = 1
             external_id = "test-external-id"
 
         @asynccontextmanager
         async def fake_get_project_client(*args, **kwargs):
             yield (object(), StubProject())
 
-        async def fake_resolve_project_and_path(
-            client, identifier, project=None, context=None, headers=None
-        ):
-            return StubProject(), identifier, False
-
         # Mock SearchClient to raise an exception
         class MockSearchClient:
             def __init__(self, *args, **kwargs):
@@ -386,7 +339,6 @@ class TestSearchToolErrorHandling:
                 raise Exception("syntax error")
 
         monkeypatch.setattr(search_mod, "get_project_client", fake_get_project_client)
-        monkeypatch.setattr(search_mod, "resolve_project_and_path", fake_resolve_project_and_path)
         # Patch at the clients module level where the import happens
         monkeypatch.setattr(clients_mod, "SearchClient", MockSearchClient)
 
@@ -398,23 +350,21 @@ class TestSearchToolErrorHandling:
     async def test_search_notes_permission_error(self, monkeypatch):
         """Test search_notes with permission error."""
         import importlib
+        from contextlib import asynccontextmanager
 
         search_mod = importlib.import_module("basic_memory.mcp.tools.search")
         clients_mod = importlib.import_module("basic_memory.mcp.clients")
 
         class StubProject:
+            project_url = "http://test"
             name = "test-project"
+            id = 1
             external_id = "test-external-id"
 
         @asynccontextmanager
         async def fake_get_project_client(*args, **kwargs):
             yield (object(), StubProject())
 
-        async def fake_resolve_project_and_path(
-            client, identifier, project=None, context=None, headers=None
-        ):
-            return StubProject(), identifier, False
-
         # Mock SearchClient to raise a permission error
         class MockSearchClient:
             def __init__(self, *args, **kwargs):
@@ -424,7 +374,6 @@ class TestSearchToolErrorHandling:
                 raise Exception("permission denied")
 
         monkeypatch.setattr(search_mod, "get_project_client", fake_get_project_client)
-        monkeypatch.setattr(search_mod, "resolve_project_and_path", fake_resolve_project_and_path)
         # Patch at the clients module level where the import happens
         monkeypatch.setattr(clients_mod, "SearchClient", MockSearchClient)
 
@@ -438,6 +387,7 @@ class TestSearchToolErrorHandling:
 async def test_search_notes_sets_retrieval_mode_for_semantic_types(monkeypatch, search_type):
     """Vector/hybrid search types should populate retrieval_mode in API payload."""
     import importlib
+    from contextlib import asynccontextmanager
 
     search_mod = importlib.import_module("basic_memory.mcp.tools.search")
     clients_mod = importlib.import_module("basic_memory.mcp.clients")
@@ -452,11 +402,6 @@ async def test_search_notes_sets_retrieval_mode_for_semantic_types(monkeypatch,
     async def fake_get_project_client(*args, **kwargs):
         yield (object(), StubProject())
 
-    async def fake_resolve_project_and_path(
-        client, identifier, project=None, context=None, headers=None
-    ):
-        return StubProject(), identifier, False
-
     captured_payload: dict = {}
 
     class MockSearchClient:
@@ -468,7 +413,6 @@ async def test_search_notes_sets_retrieval_mode_for_semantic_types(monkeypatch,
             return SearchResponse(results=[], current_page=page, page_size=page_size)
 
     monkeypatch.setattr(search_mod, "get_project_client", fake_get_project_client)
-    monkeypatch.setattr(search_mod, "resolve_project_and_path", fake_resolve_project_and_path)
     monkeypatch.setattr(clients_mod, "SearchClient", MockSearchClient)
 
     result = await search_mod.search_notes.fn(
diff --git a/tests/mcp/test_tool_write_note.py b/tests/mcp/test_tool_write_note.py
index e74316d9..4e3cfd9f 100644
--- a/tests/mcp/test_tool_write_note.py
+++ b/tests/mcp/test_tool_write_note.py
@@ -29,29 +29,31 @@ async def test_write_note(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Test Note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
     assert "## Tags" in result
     assert "- test, documentation" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
     # Try reading it back via permalink
     content = await read_note.fn("test/test-note", project=test_project.name)
-    expected = normalize_newlines(
-        dedent("""
+    assert (
+        normalize_newlines(
+            dedent("""
         ---
         title: Test Note
         type: note
-        permalink: {permalink}
+        permalink: test/test-note
         tags:
         - test
         - documentation
         ---
-
+        
         # Test
         This is a test note
-        """).format(permalink=f"{test_project.name}/test/test-note").strip()
+        """).strip()
+        )
+        in content
     )
-    assert expected in content
 
 
 @pytest.mark.asyncio
@@ -65,22 +67,24 @@ async def test_write_note_no_tags(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Simple Note.md" in result
-    assert f"permalink: {test_project.name}/test/simple-note" in result
+    assert "permalink: test/simple-note" in result
     assert f"[Session: Using project '{test_project.name}']" in result
     # Should be able to read it back
     content = await read_note.fn("test/simple-note", project=test_project.name)
-    expected = normalize_newlines(
-        dedent("""
+    assert (
+        normalize_newlines(
+            dedent("""
         ---
         title: Simple Note
         type: note
-        permalink: {permalink}
+        permalink: test/simple-note
         ---
-
+        
         Just some text
-        """).format(permalink=f"{test_project.name}/test/simple-note").strip()
+        """).strip()
+        )
+        in content
     )
-    assert expected in content
 
 
 @pytest.mark.asyncio
@@ -105,7 +109,7 @@ async def test_write_note_update_existing(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Test Note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
     assert "## Tags" in result
     assert "- test, documentation" in result
     assert f"[Session: Using project '{test_project.name}']" in result
@@ -120,7 +124,7 @@ async def test_write_note_update_existing(app, test_project):
     assert "# Updated note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Test Note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
     assert "## Tags" in result
     assert "- test, documentation" in result
     assert f"[Session: Using project '{test_project.name}']" in result
@@ -134,16 +138,16 @@ async def test_write_note_update_existing(app, test_project):
         ---
         title: Test Note
         type: note
-        permalink: {permalink}
+        permalink: test/test-note
         tags:
         - test
         - documentation
         ---
-
+        
         # Test
         This is an updated note
         """
-            ).format(permalink=f"{test_project.name}/test/test-note").strip()
+            ).strip()
         )
         == content
     )
@@ -290,7 +294,7 @@ async def test_write_note_with_tag_array_from_bug_report(app, test_project):
 
     assert result
     assert f"project: {test_project.name}" in result
-    assert f"permalink: {test_project.name}/folder/title" in result
+    assert "permalink: folder/title" in result
     assert "Tags" in result
     assert "hipporag" in result
     assert f"[Session: Using project '{test_project.name}']" in result
@@ -323,7 +327,7 @@ async def test_write_note_verbose(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Test Note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
     assert "## Observations" in result
     assert "- note: 1" in result
     assert "## Relations" in result
@@ -437,7 +441,7 @@ async def test_write_note_preserves_content_frontmatter(app, test_project):
             ---
             title: Test Note
             type: note
-            permalink: {permalink}
+            permalink: test/test-note
             version: 1.0
             author: name
             tags:
@@ -449,7 +453,7 @@ async def test_write_note_preserves_content_frontmatter(app, test_project):
 
             This is a test note
             """
-            ).format(permalink=f"{test_project.name}/test/test-note").strip()
+            ).strip()
         )
         in content
     )
@@ -476,7 +480,7 @@ async def test_write_note_permalink_collision_fix_issue_139(app, test_project):
     )
     assert "# Created note" in result1
     assert f"project: {test_project.name}" in result1
-    assert f"permalink: {test_project.name}/test/note-1" in result1
+    assert "permalink: test/note-1" in result1
 
     # Step 2: Create second note with different title
     result2 = await write_note.fn(
@@ -484,7 +488,7 @@ async def test_write_note_permalink_collision_fix_issue_139(app, test_project):
     )
     assert "# Created note" in result2
     assert f"project: {test_project.name}" in result2
-    assert f"permalink: {test_project.name}/test/note-2" in result2
+    assert "permalink: test/note-2" in result2
 
     # Step 3: Try to create/replace first note again
     # This scenario would trigger the UNIQUE constraint failure before the fix
@@ -505,13 +509,10 @@ async def test_write_note_permalink_collision_fix_issue_139(app, test_project):
     assert "Updated note" in result3 or "Created note" in result3
 
     # The result should contain either the original permalink or a unique one
-    assert (
-        f"permalink: {test_project.name}/test/note-1" in result3
-        or f"permalink: {test_project.name}/test/note-1-1" in result3
-    )
+    assert "permalink: test/note-1" in result3 or "permalink: test/note-1-1" in result3
 
     # Verify we can read back the content
-    if f"permalink: {test_project.name}/test/note-1" in result3:
+    if "permalink: test/note-1" in result3:
         # Updated existing note case
         content = await read_note.fn("test/note-1", project=test_project.name)
         assert "Replacement content for note 1" in content
@@ -544,19 +545,20 @@ async def test_write_note_with_custom_entity_type(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: guides/Test Guide.md" in result
-    assert f"permalink: {test_project.name}/guides/test-guide" in result
+    assert "permalink: guides/test-guide" in result
     assert "## Tags" in result
     assert "- guide, documentation" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
     # Verify the entity type is correctly set in the frontmatter
     content = await read_note.fn("guides/test-guide", project=test_project.name)
-    expected = normalize_newlines(
-        dedent("""
+    assert (
+        normalize_newlines(
+            dedent("""
         ---
         title: Test Guide
         type: guide
-        permalink: {permalink}
+        permalink: guides/test-guide
         tags:
         - guide
         - documentation
@@ -564,9 +566,10 @@ async def test_write_note_with_custom_entity_type(app, test_project):
 
         # Guide Content
         This is a guide
-        """).format(permalink=f"{test_project.name}/guides/test-guide").strip()
+        """).strip()
+        )
+        in content
     )
-    assert expected in content
 
 
 @pytest.mark.asyncio
@@ -585,7 +588,7 @@ async def test_write_note_with_report_entity_type(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: reports/Monthly Report.md" in result
-    assert f"permalink: {test_project.name}/reports/monthly-report" in result
+    assert "permalink: reports/monthly-report" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
     # Verify the entity type is correctly set in the frontmatter
@@ -609,7 +612,7 @@ async def test_write_note_with_config_entity_type(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: config/System Config.md" in result
-    assert f"permalink: {test_project.name}/config/system-config" in result
+    assert "permalink: config/system-config" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
     # Verify the entity type is correctly set in the frontmatter
@@ -637,7 +640,7 @@ async def test_write_note_entity_type_default_behavior(app, test_project):
     assert "# Created note" in result
     assert f"project: {test_project.name}" in result
     assert "file_path: test/Default Type Test.md" in result
-    assert f"permalink: {test_project.name}/test/default-type-test" in result
+    assert "permalink: test/default-type-test" in result
     assert f"[Session: Using project '{test_project.name}']" in result
 
     # Verify the entity type defaults to "note"
@@ -1032,9 +1035,7 @@ class TestWriteNoteSecurityValidation:
         assert "paths must stay within project boundaries" not in result
         assert "# Created note" in result
         assert "file_path: security-tests/Full Feature Security Test.md" in result
-        assert (
-            f"permalink: {test_project.name}/security-tests/full-feature-security-test" in result
-        )
+        assert "permalink: security-tests/full-feature-security-test" in result
 
         # Should process observations and relations
         assert "## Observations" in result
diff --git a/tests/mcp/test_tool_write_note_kebab_filenames.py b/tests/mcp/test_tool_write_note_kebab_filenames.py
index 87db56cb..88ec8afb 100644
--- a/tests/mcp/test_tool_write_note_kebab_filenames.py
+++ b/tests/mcp/test_tool_write_note_kebab_filenames.py
@@ -37,7 +37,7 @@ async def test_write_note_spaces_to_hyphens(app, test_project, app_config):
     )
 
     assert "file_path: test/my-awesome-note.md" in result
-    assert f"permalink: {test_project.name}/test/my-awesome-note" in result
+    assert "permalink: test/my-awesome-note" in result
 
 
 @pytest.mark.asyncio
@@ -53,7 +53,7 @@ async def test_write_note_underscores_to_hyphens(app, test_project, app_config):
     )
 
     assert "file_path: test/my-note-with-underscores.md" in result
-    assert f"permalink: {test_project.name}/test/my-note-with-underscores" in result
+    assert "permalink: test/my-note-with-underscores" in result
 
 
 @pytest.mark.asyncio
@@ -69,7 +69,7 @@ async def test_write_note_camelcase_to_kebab(app, test_project, app_config):
     )
 
     assert "file_path: test/my-awesome-feature.md" in result
-    assert f"permalink: {test_project.name}/test/my-awesome-feature" in result
+    assert "permalink: test/my-awesome-feature" in result
 
 
 @pytest.mark.asyncio
@@ -85,7 +85,7 @@ async def test_write_note_mixed_case_to_lowercase(app, test_project, app_config)
     )
 
     assert "file_path: test/mixed-case-example.md" in result
-    assert f"permalink: {test_project.name}/test/mixed-case-example" in result
+    assert "permalink: test/mixed-case-example" in result
 
 
 # =============================================================================
@@ -110,7 +110,7 @@ async def test_write_note_single_period_preserved(app, test_project, app_config)
     )
 
     assert "file_path: test/test-3.0-version.md" in result
-    assert f"permalink: {test_project.name}/test/test-3.0-version" in result
+    assert "permalink: test/test-3.0-version" in result
 
 
 @pytest.mark.asyncio
@@ -126,7 +126,7 @@ async def test_write_note_multiple_periods_preserved(app, test_project, app_conf
     )
 
     assert "file_path: test/version-1.2.3-release.md" in result
-    assert f"permalink: {test_project.name}/test/version-1.2.3-release" in result
+    assert "permalink: test/version-1.2.3-release" in result
 
 
 # =============================================================================
@@ -147,7 +147,7 @@ async def test_write_note_special_chars_to_hyphens(app, test_project, app_config
     )
 
     assert "file_path: test/test-2.0-new-feature.md" in result
-    assert f"permalink: {test_project.name}/test/test-2.0-new-feature" in result
+    assert "permalink: test/test-2.0-new-feature" in result
 
 
 @pytest.mark.asyncio
@@ -163,7 +163,7 @@ async def test_write_note_parentheses_removed(app, test_project, app_config):
     )
 
     assert "file_path: test/feature-v2.0-update.md" in result
-    assert f"permalink: {test_project.name}/test/feature-v2.0-update" in result
+    assert "permalink: test/feature-v2.0-update" in result
 
 
 @pytest.mark.asyncio
@@ -179,7 +179,7 @@ async def test_write_note_apostrophes_removed(app, test_project, app_config):
     )
 
     assert "file_path: test/users-guide.md" in result
-    assert f"permalink: {test_project.name}/test/users-guide" in result
+    assert "permalink: test/users-guide" in result
 
 
 # =============================================================================
@@ -200,10 +200,7 @@ async def test_write_note_all_transformations_combined(app, test_project, app_co
     )
 
     assert "file_path: test/my-project-v3.0-feature-update-draft.md" in result
-    assert (
-        f"permalink: {test_project.name}/test/my-project-v3.0-feature-update-draft"
-        in result
-    )
+    assert "permalink: test/my-project-v3.0-feature-update-draft" in result
 
 
 @pytest.mark.asyncio
@@ -220,7 +217,7 @@ async def test_write_note_consecutive_special_chars_collapsed(app, test_project,
 
     # Multiple underscores/hyphens should collapse to single hyphen
     assert "file_path: test/test-multiple-separators.md" in result
-    assert f"permalink: {test_project.name}/test/test-multiple-separators" in result
+    assert "permalink: test/test-multiple-separators" in result
 
 
 # =============================================================================
@@ -241,7 +238,7 @@ async def test_write_note_leading_trailing_hyphens_trimmed(app, test_project, ap
     )
 
     assert "file_path: test/test-note.md" in result
-    assert f"permalink: {test_project.name}/test/test-note" in result
+    assert "permalink: test/test-note" in result
 
 
 @pytest.mark.asyncio
@@ -257,7 +254,7 @@ async def test_write_note_all_special_chars_becomes_valid_filename(app, test_pro
     )
 
     assert "file_path: test/test.md" in result
-    assert f"permalink: {test_project.name}/test/test" in result
+    assert "permalink: test/test" in result
 
 
 # =============================================================================
@@ -279,7 +276,7 @@ async def test_write_note_folder_path_unaffected(app, test_project, app_config):
 
     # Folder paths should be preserved (sanitized but not kebab-cased)
     assert "file_path: My_Folder/Sub Folder/test-note.md" in result
-    assert f"permalink: {test_project.name}/my-folder/sub-folder/test-note" in result
+    assert "permalink: my-folder/sub-folder/test-note" in result
 
 
 @pytest.mark.asyncio
@@ -295,7 +292,7 @@ async def test_write_note_root_folder_with_kebab(app, test_project, app_config):
     )
 
     assert "file_path: test-3.0-note.md" in result
-    assert f"permalink: {test_project.name}/test-3.0-note" in result
+    assert "permalink: test-3.0-note" in result
 
 
 # =============================================================================
@@ -318,7 +315,7 @@ async def test_write_note_kebab_disabled_preserves_original(app, test_project, a
     # Periods and spaces should be preserved
     assert "file_path: test/Test 3.0 Version.md" in result
     # Permalinks are ALWAYS kebab-case regardless of setting, and preserve periods
-    assert f"permalink: {test_project.name}/test/test-3.0-version" in result
+    assert "permalink: test/test-3.0-version" in result
 
 
 @pytest.mark.asyncio
@@ -334,7 +331,7 @@ async def test_write_note_kebab_disabled_preserves_underscores(app, test_project
     )
 
     assert "file_path: test/my_note_example.md" in result
-    assert f"permalink: {test_project.name}/test/my-note-example" in result
+    assert "permalink: test/my-note-example" in result
 
 
 @pytest.mark.asyncio
@@ -350,7 +347,7 @@ async def test_write_note_kebab_disabled_preserves_case(app, test_project, app_c
     )
 
     assert "file_path: test/MyAwesomeNote.md" in result
-    assert f"permalink: {test_project.name}/test/my-awesome-note" in result
+    assert "permalink: test/my-awesome-note" in result
 
 
 # =============================================================================
@@ -378,7 +375,7 @@ async def test_permalinks_always_kebab_case(app, test_project, app_config):
 
     # Filename preserves original, permalink is kebab-case
     assert "file_path: test/Test Note 1.md" in result1
-    assert f"permalink: {test_project.name}/test/test-note-1" in result1
+    assert "permalink: test/test-note-1" in result1
 
     # Test with kebab enabled
     ConfigManager().config.kebab_filenames = True
@@ -392,4 +389,4 @@ async def test_permalinks_always_kebab_case(app, test_project, app_config):
 
     # Both filename and permalink are kebab-case
     assert "file_path: test/test-note-2.md" in result2
-    assert f"permalink: {test_project.name}/test/test-note-2" in result2
+    assert "permalink: test/test-note-2" in result2
diff --git a/tests/mcp/tools/test_chatgpt_tools.py b/tests/mcp/tools/test_chatgpt_tools.py
index d3f95269..0b28ac30 100644
--- a/tests/mcp/tools/test_chatgpt_tools.py
+++ b/tests/mcp/tools/test_chatgpt_tools.py
@@ -38,8 +38,8 @@ async def test_search_successful_results(client, test_project):
     assert content["query"] == "test content"
 
     # Verify individual result format
-    assert any(r["id"] == f"{test_project.name}/docs/test-document-1" for r in content["results"])
-    assert any(r["id"] == f"{test_project.name}/docs/test-document-2" for r in content["results"])
+    assert any(r["id"] == "docs/test-document-1" for r in content["results"])
+    assert any(r["id"] == "docs/test-document-2" for r in content["results"])
 
 
 @pytest.mark.asyncio
diff --git a/tests/services/test_context_service.py b/tests/services/test_context_service.py
index 72e61889..2fda3404 100644
--- a/tests/services/test_context_service.py
+++ b/tests/services/test_context_service.py
@@ -137,7 +137,7 @@ async def test_find_connected_timeframe(
 @pytest.mark.asyncio
 async def test_build_context(context_service, test_graph):
     """Test exact permalink lookup."""
-    url = memory_url.validate_strings("memory://test-project/test/root")
+    url = memory_url.validate_strings("memory://test/root")
     context_result = await context_service.build_context(url)
 
     # Check metadata
@@ -156,7 +156,7 @@ async def test_build_context(context_service, test_graph):
     assert primary_result.id == test_graph["root"].id
     assert primary_result.type == "entity"
     assert primary_result.title == "Root"
-    assert primary_result.permalink == "test-project/test/root"
+    assert primary_result.permalink == "test/root"
     assert primary_result.file_path == "test/Root.md"
     assert primary_result.created_at is not None
 
@@ -185,7 +185,7 @@ async def test_build_context_with_observations(context_service, test_graph):
     # Let's use those existing observations
 
     # Build context
-    url = memory_url.validate_strings("memory://test-project/test/root")
+    url = memory_url.validate_strings("memory://test/root")
     context_result = await context_service.build_context(url, include_observations=True)
 
     # Check the metadata
@@ -220,9 +220,9 @@ async def test_build_context_not_found(context_service):
 @pytest.mark.asyncio
 async def test_context_metadata(context_service, test_graph):
     """Test metadata is correctly populated."""
-    context = await context_service.build_context("memory://test-project/test/root", depth=2)
+    context = await context_service.build_context("memory://test/root", depth=2)
     metadata = context.metadata
-    assert metadata.uri == "test-project/test/root"
+    assert metadata.uri == "test/root"
     assert metadata.depth == 2
     assert metadata.generated_at is not None
     assert metadata.primary_count > 0
diff --git a/tests/services/test_directory_service.py b/tests/services/test_directory_service.py
index 4610f0fe..565a559d 100644
--- a/tests/services/test_directory_service.py
+++ b/tests/services/test_directory_service.py
@@ -53,7 +53,7 @@ async def test_directory_tree(directory_service: DirectoryService, test_graph):
     assert node_file.entity_id == 1
     assert node_file.entity_type == "deeper"
     assert node_file.title == "Deeper Entity"
-    assert node_file.permalink == "test-project/test/deeper-entity"
+    assert node_file.permalink == "test/deeper-entity"
     assert node_file.directory_path == "/test/Deeper Entity.md"
     assert node_file.file_path == "test/Deeper Entity.md"
     assert node_file.has_children is False
diff --git a/tests/services/test_entity_service.py b/tests/services/test_entity_service.py
index e0812613..dc477b90 100644
--- a/tests/services/test_entity_service.py
+++ b/tests/services/test_entity_service.py
@@ -20,31 +20,27 @@ from basic_memory.utils import generate_permalink
 
 
 @pytest.mark.asyncio
-async def test_create_entity(
-    entity_service: EntityService, file_service: FileService, project_config: ProjectConfig
-):
+async def test_create_entity(entity_service: EntityService, file_service: FileService):
     """Test successful entity creation."""
     entity_data = EntitySchema(
         title="Test Entity",
         directory="",
         entity_type="test",
     )
-    # Save expected permalink before create_entity mutates entity_data._permalink
-    expected_permalink = f"{generate_permalink(project_config.name)}/{entity_data.permalink}"
 
     # Act
     entity = await entity_service.create_entity(entity_data)
 
     # Assert Entity
     assert isinstance(entity, EntityModel)
-    assert entity.permalink == expected_permalink
+    assert entity.permalink == entity_data.permalink
     assert entity.file_path == entity_data.file_path
     assert entity.entity_type == "test"
     assert entity.created_at is not None
     assert len(entity.relations) == 0
 
     # Verify we can retrieve it using permalink
-    retrieved = await entity_service.get_by_permalink(entity.permalink)
+    retrieved = await entity_service.get_by_permalink(entity_data.permalink)
     assert retrieved.title == "Test Entity"
     assert retrieved.entity_type == "test"
     assert retrieved.created_at is not None
@@ -63,9 +59,7 @@ async def test_create_entity(
 
 
 @pytest.mark.asyncio
-async def test_create_entity_file_exists(
-    entity_service: EntityService, file_service: FileService, project_config: ProjectConfig
-):
+async def test_create_entity_file_exists(entity_service: EntityService, file_service: FileService):
     """Test successful entity creation."""
     entity_data = EntitySchema(
         title="Test Entity",
@@ -83,8 +77,7 @@ async def test_create_entity_file_exists(
 
     file_content, _ = await file_service.read_file(file_path)
     assert (
-        f"---\ntitle: Test Entity\ntype: test\npermalink: {generate_permalink(project_config.name)}/test-entity\n---\n\nfirst"
-        == file_content
+        "---\ntitle: Test Entity\ntype: test\npermalink: test-entity\n---\n\nfirst" == file_content
     )
 
     entity_data = EntitySchema(
@@ -115,9 +108,7 @@ async def test_create_entity_unique_permalink(
     entity = await entity_service.create_entity(entity_data)
 
     # default permalink
-    assert entity.permalink == (
-        f"{generate_permalink(project_config.name)}/{generate_permalink(entity.file_path)}"
-    )
+    assert entity.permalink == generate_permalink(entity.file_path)
 
     # move file
     file_path = file_service.get_entity_path(entity)
@@ -545,11 +536,7 @@ async def test_create_with_content(entity_service: EntityService, file_service:
 
 
 @pytest.mark.asyncio
-async def test_update_with_content(
-    entity_service: EntityService,
-    file_service: FileService,
-    project_config: ProjectConfig,
-):
+async def test_update_with_content(entity_service: EntityService, file_service: FileService):
     content = """# Git Workflow Guide"""
 
     # Create test entity
@@ -573,14 +560,13 @@ async def test_update_with_content(
     file_content, _ = await file_service.read_file(file_path)
 
     # assert content is in file
-    project_prefix = generate_permalink(project_config.name)
     assert (
         dedent(
-            f"""
+            """
             ---
             title: Git Workflow Guide
             type: test
-            permalink: {project_prefix}/test/git-workflow-guide
+            permalink: test/git-workflow-guide
             ---
             
             # Git Workflow Guide
@@ -1428,7 +1414,7 @@ async def test_move_entity_success(
     app_config = BasicMemoryConfig(update_permalinks_on_move=False)
 
     # Move entity
-    assert entity.permalink == f"{generate_permalink(project_config.name)}/original/test-note"
+    assert entity.permalink == "original/test-note"
     await entity_service.move_entity(
         identifier=entity.permalink,
         destination_path="moved/test-note.md",
diff --git a/tests/services/test_link_resolver.py b/tests/services/test_link_resolver.py
index 71cc520d..bb8e2138 100644
--- a/tests/services/test_link_resolver.py
+++ b/tests/services/test_link_resolver.py
@@ -6,10 +6,9 @@ import pytest
 
 import pytest_asyncio
 
-from basic_memory.models.knowledge import Entity as EntityModel
-from basic_memory.repository import EntityRepository
 from basic_memory.schemas.base import Entity as EntitySchema
 from basic_memory.services.link_resolver import LinkResolver
+from basic_memory.models.knowledge import Entity as EntityModel
 
 
 @pytest_asyncio.fixture
@@ -111,46 +110,40 @@ async def link_resolver(entity_repository, search_service, test_entities):
     return LinkResolver(entity_repository, search_service)
 
 
-@pytest.fixture
-def project_prefix(test_entities) -> str:
-    """Project permalink prefix for expected permalinks."""
-    return test_entities[0].permalink.split("/", 1)[0]
-
-
 @pytest.mark.asyncio
-async def test_exact_permalink_match(link_resolver, test_entities, project_prefix):
+async def test_exact_permalink_match(link_resolver, test_entities):
     """Test resolving a link that exactly matches a permalink."""
     entity = await link_resolver.resolve_link("components/core-service")
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
 
 
 @pytest.mark.asyncio
-async def test_exact_title_match(link_resolver, test_entities, project_prefix):
+async def test_exact_title_match(link_resolver, test_entities):
     """Test resolving a link that matches an entity title."""
     entity = await link_resolver.resolve_link("Core Service")
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
 
 
 @pytest.mark.asyncio
-async def test_duplicate_title_match(link_resolver, test_entities, project_prefix):
+async def test_duplicate_title_match(link_resolver, test_entities):
     """Test resolving a link that matches an entity title."""
     entity = await link_resolver.resolve_link("Core Service")
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
 
 
 @pytest.mark.asyncio
-async def test_fuzzy_title_partial_match(link_resolver, project_prefix):
+async def test_fuzzy_title_partial_match(link_resolver):
     # Test partial match
     result = await link_resolver.resolve_link("Auth Serv")
     assert result is not None, "Did not find partial match"
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
 
 @pytest.mark.asyncio
-async def test_fuzzy_title_exact_match(link_resolver, project_prefix):
+async def test_fuzzy_title_exact_match(link_resolver):
     # Test partial match
     result = await link_resolver.resolve_link("auth-service")
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
 
 @pytest.mark.asyncio
@@ -190,7 +183,7 @@ async def test_resolve_file(link_resolver):
 
 
 @pytest.mark.asyncio
-async def test_folder_title_pattern_with_md_extension(link_resolver, test_entities, project_prefix):
+async def test_folder_title_pattern_with_md_extension(link_resolver, test_entities):
     """Test resolving folder/title patterns that need .md extension added.
 
     This tests the new logic added in step 4 of resolve_link that handles
@@ -200,25 +193,25 @@ async def test_folder_title_pattern_with_md_extension(link_resolver, test_entiti
     # "components/Core Service" should resolve to file path "components/Core Service.md"
     entity = await link_resolver.resolve_link("components/Core Service")
     assert entity is not None
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
     assert entity.file_path == "components/Core Service.md"
 
     # Test with different entity
     entity = await link_resolver.resolve_link("config/Service Config")
     assert entity is not None
-    assert entity.permalink == f"{project_prefix}/config/service-config"
+    assert entity.permalink == "config/service-config"
     assert entity.file_path == "config/Service Config.md"
 
     # Test with nested folder structure
     entity = await link_resolver.resolve_link("specs/subspec/Sub Features 1")
     assert entity is not None
-    assert entity.permalink == f"{project_prefix}/specs/subspec/sub-features-1"
+    assert entity.permalink == "specs/subspec/sub-features-1"
     assert entity.file_path == "specs/subspec/Sub Features 1.md"
 
     # Test that it doesn't try to add .md to things that already have it
     entity = await link_resolver.resolve_link("components/Core Service.md")
     assert entity is not None
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
 
     # Test that it doesn't try to add .md to single words (no slash)
     entity = await link_resolver.resolve_link("NonExistent")
@@ -227,12 +220,12 @@ async def test_folder_title_pattern_with_md_extension(link_resolver, test_entiti
     # Test that it doesn't interfere with exact permalink matches
     entity = await link_resolver.resolve_link("components/core-service")
     assert entity is not None
-    assert entity.permalink == f"{project_prefix}/components/core-service"
+    assert entity.permalink == "components/core-service"
 
 
 # Tests for strict mode parameter combinations
 @pytest.mark.asyncio
-async def test_strict_mode_parameter_combinations(link_resolver, test_entities, project_prefix):
+async def test_strict_mode_parameter_combinations(link_resolver, test_entities):
     """Test all combinations of use_search and strict parameters."""
 
     # Test queries
@@ -243,11 +236,11 @@ async def test_strict_mode_parameter_combinations(link_resolver, test_entities,
     # Case 1: use_search=True, strict=False (default behavior - fuzzy matching allowed)
     result = await link_resolver.resolve_link(exact_match, use_search=True, strict=False)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
     result = await link_resolver.resolve_link(fuzzy_match, use_search=True, strict=False)
     assert result is not None  # Should find "Auth Service" via fuzzy matching
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
     result = await link_resolver.resolve_link(non_existent, use_search=True, strict=False)
     assert result is None
@@ -255,7 +248,7 @@ async def test_strict_mode_parameter_combinations(link_resolver, test_entities,
     # Case 2: use_search=True, strict=True (exact matches only, even with search enabled)
     result = await link_resolver.resolve_link(exact_match, use_search=True, strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
     result = await link_resolver.resolve_link(fuzzy_match, use_search=True, strict=True)
     assert result is None  # Should NOT find via fuzzy matching in strict mode
@@ -266,7 +259,7 @@ async def test_strict_mode_parameter_combinations(link_resolver, test_entities,
     # Case 3: use_search=False, strict=False (no search, exact repository matches only)
     result = await link_resolver.resolve_link(exact_match, use_search=False, strict=False)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
     result = await link_resolver.resolve_link(fuzzy_match, use_search=False, strict=False)
     assert result is None  # No search means no fuzzy matching
@@ -277,7 +270,7 @@ async def test_strict_mode_parameter_combinations(link_resolver, test_entities,
     # Case 4: use_search=False, strict=True (redundant but should work same as case 3)
     result = await link_resolver.resolve_link(exact_match, use_search=False, strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/auth-service"
+    assert result.permalink == "components/auth-service"
 
     result = await link_resolver.resolve_link(fuzzy_match, use_search=False, strict=True)
     assert result is None  # No search means no fuzzy matching
@@ -287,28 +280,28 @@ async def test_strict_mode_parameter_combinations(link_resolver, test_entities,
 
 
 @pytest.mark.asyncio
-async def test_exact_match_types_in_strict_mode(link_resolver, test_entities, project_prefix):
+async def test_exact_match_types_in_strict_mode(link_resolver, test_entities):
     """Test that all types of exact matches work in strict mode."""
 
     # 1. Exact permalink match
     result = await link_resolver.resolve_link("components/core-service", strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/core-service"
+    assert result.permalink == "components/core-service"
 
     # 2. Exact title match
     result = await link_resolver.resolve_link("Core Service", strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/core-service"
+    assert result.permalink == "components/core-service"
 
     # 3. Exact file path match
     result = await link_resolver.resolve_link("components/Core Service.md", strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/core-service"
+    assert result.permalink == "components/core-service"
 
     # 4. Folder/title pattern with .md extension added
     result = await link_resolver.resolve_link("components/Core Service", strict=True)
     assert result is not None
-    assert result.permalink == f"{project_prefix}/components/core-service"
+    assert result.permalink == "components/core-service"
 
     # 5. Non-markdown file (Image.png)
     result = await link_resolver.resolve_link("Image.png", strict=True)
@@ -336,14 +329,14 @@ async def test_fuzzy_matching_blocked_in_strict_mode(link_resolver, test_entitie
 
 
 @pytest.mark.asyncio
-async def test_link_normalization_with_strict_mode(link_resolver, test_entities, project_prefix):
+async def test_link_normalization_with_strict_mode(link_resolver, test_entities):
     """Test that link normalization still works in strict mode."""
 
     # Test bracket removal and alias handling in strict mode
     queries_and_expected = [
-        ("[[Core Service]]", f"{project_prefix}/components/core-service"),
-        ("[[Core Service|Main]]", f"{project_prefix}/components/core-service"),
-        ("  [[  Core Service  ]]  ", f"{project_prefix}/components/core-service"),
+        ("[[Core Service]]", "components/core-service"),
+        ("[[Core Service|Main]]", "components/core-service"),  # Alias should be ignored
+        ("  [[  Core Service  ]]  ", "components/core-service"),  # Extra whitespace
     ]
 
     for query, expected_permalink in queries_and_expected:
@@ -353,7 +346,7 @@ async def test_link_normalization_with_strict_mode(link_resolver, test_entities,
 
 
 @pytest.mark.asyncio
-async def test_duplicate_title_handling_in_strict_mode(link_resolver, test_entities, project_prefix):
+async def test_duplicate_title_handling_in_strict_mode(link_resolver, test_entities):
     """Test how duplicate titles are handled in strict mode."""
 
     # "Core Service" appears twice in test data (components/core-service and components2/core-service)
@@ -363,48 +356,7 @@ async def test_duplicate_title_handling_in_strict_mode(link_resolver, test_entit
     result = await link_resolver.resolve_link("Core Service", strict=True)
     assert result is not None
     # Should return the first match (components/core-service based on test fixture order)
-    assert result.permalink == f"{project_prefix}/components/core-service"
-
-
-@pytest.mark.asyncio
-async def test_cross_project_link_resolution(
-    session_maker, entity_repository, search_service, tmp_path
-):
-    """Test resolving explicit cross-project links."""
-    from basic_memory.repository.project_repository import ProjectRepository
-
-    project_repo = ProjectRepository(session_maker)
-    other_project = await project_repo.create(
-        {
-            "name": "other-project",
-            "description": "Secondary project",
-            "path": str(tmp_path / "other-project"),
-            "is_active": True,
-            "is_default": False,
-        }
-    )
-
-    now = datetime.now(timezone.utc)
-    other_entity_repo = EntityRepository(session_maker, project_id=other_project.id)
-    target = await other_entity_repo.add(
-        EntityModel(
-            title="Cross Project Note",
-            entity_type="note",
-            content_type="text/markdown",
-            file_path="docs/Cross Project Note.md",
-            permalink=f"{other_project.permalink}/docs/cross-project-note",
-            created_at=now,
-            updated_at=now,
-            project_id=other_project.id,
-        )
-    )
-
-    resolver = LinkResolver(entity_repository, search_service)
-    resolved = await resolver.resolve_link("other-project::Cross Project Note", strict=True)
-
-    assert resolved is not None
-    assert resolved.id == target.id
-    assert resolved.project_id == other_project.id
+    assert result.permalink == "components/core-service"
 
 
 # ============================================================================
diff --git a/tests/services/test_search_service.py b/tests/services/test_search_service.py
index 2458d02f..36faf91e 100644
--- a/tests/services/test_search_service.py
+++ b/tests/services/test_search_service.py
@@ -12,32 +12,28 @@ from basic_memory.schemas.search import SearchQuery, SearchItemType
 @pytest.mark.asyncio
 async def test_search_permalink(search_service, test_graph):
     """Exact permalink"""
-    results = await search_service.search(SearchQuery(permalink="test-project/test/root"))
+    results = await search_service.search(SearchQuery(permalink="test/root"))
     assert len(results) == 1
 
     for r in results:
-        assert "test-project/test/root" in r.permalink
+        assert "test/root" in r.permalink
 
 
 @pytest.mark.asyncio
 async def test_search_limit_offset(search_service, test_graph):
     """Exact permalink"""
-    results = await search_service.search(SearchQuery(permalink_match="test-project/test/*"))
+    results = await search_service.search(SearchQuery(permalink_match="test/*"))
     assert len(results) > 1
 
-    results = await search_service.search(
-        SearchQuery(permalink_match="test-project/test/*"), limit=1
-    )
+    results = await search_service.search(SearchQuery(permalink_match="test/*"), limit=1)
     assert len(results) == 1
 
-    results = await search_service.search(
-        SearchQuery(permalink_match="test-project/test/*"), limit=100
-    )
+    results = await search_service.search(SearchQuery(permalink_match="test/*"), limit=100)
     num_results = len(results)
 
     # assert offset
     offset_results = await search_service.search(
-        SearchQuery(permalink_match="test-project/test/*"), limit=100, offset=1
+        SearchQuery(permalink_match="test/*"), limit=100, offset=1
     )
     assert len(offset_results) == num_results - 1
 
@@ -45,24 +41,20 @@ async def test_search_limit_offset(search_service, test_graph):
 @pytest.mark.asyncio
 async def test_search_permalink_observations_wildcard(search_service, test_graph):
     """Pattern matching"""
-    results = await search_service.search(
-        SearchQuery(permalink_match="test-project/test/root/observations/*")
-    )
+    results = await search_service.search(SearchQuery(permalink_match="test/root/observations/*"))
     assert len(results) == 2
     permalinks = {r.permalink for r in results}
-    assert "test-project/test/root/observations/note/root-note-1" in permalinks
-    assert "test-project/test/root/observations/tech/root-tech-note" in permalinks
+    assert "test/root/observations/note/root-note-1" in permalinks
+    assert "test/root/observations/tech/root-tech-note" in permalinks
 
 
 @pytest.mark.asyncio
 async def test_search_permalink_relation_wildcard(search_service, test_graph):
     """Pattern matching"""
-    results = await search_service.search(
-        SearchQuery(permalink_match="test-project/test/root/connects-to/*")
-    )
+    results = await search_service.search(SearchQuery(permalink_match="test/root/connects-to/*"))
     assert len(results) == 1
     permalinks = {r.permalink for r in results}
-    assert "test-project/test/root/connects-to/test-project/test/connected-entity-1" in permalinks
+    assert "test/root/connects-to/test/connected-entity-1" in permalinks
 
 
 @pytest.mark.asyncio
@@ -70,13 +62,13 @@ async def test_search_permalink_wildcard2(search_service, test_graph):
     """Pattern matching"""
     results = await search_service.search(
         SearchQuery(
-            permalink_match="test-project/test/connected*",
+            permalink_match="test/connected*",
         )
     )
     assert len(results) >= 2
     permalinks = {r.permalink for r in results}
-    assert "test-project/test/connected-entity-1" in permalinks
-    assert "test-project/test/connected-entity-2" in permalinks
+    assert "test/connected-entity-1" in permalinks
+    assert "test/connected-entity-2" in permalinks
 
 
 @pytest.mark.asyncio
@@ -86,7 +78,7 @@ async def test_search_text(search_service, test_graph):
         SearchQuery(text="Root Entity", entity_types=[SearchItemType.ENTITY])
     )
     assert len(results) >= 1
-    assert results[0].permalink == "test-project/test/root"
+    assert results[0].permalink == "test/root"
 
 
 @pytest.mark.asyncio
@@ -96,7 +88,7 @@ async def test_search_title(search_service, test_graph):
         SearchQuery(title="Root", entity_types=[SearchItemType.ENTITY])
     )
     assert len(results) >= 1
-    assert results[0].permalink == "test-project/test/root"
+    assert results[0].permalink == "test/root"
 
 
 @pytest.mark.asyncio
@@ -104,7 +96,7 @@ async def test_text_search_case_insensitive(search_service, test_graph):
     """Test text search functionality."""
     # Case insensitive
     results = await search_service.search(SearchQuery(text="ENTITY"))
-    assert any("test-project/test/root" in r.permalink for r in results)
+    assert any("test/root" in r.permalink for r in results)
 
 
 @pytest.mark.asyncio
@@ -123,16 +115,16 @@ async def test_text_search_multiple_terms(search_service, test_graph):
 
     # Multiple terms
     results = await search_service.search(SearchQuery(text="root note"))
-    assert any("test-project/test/root" in r.permalink for r in results)
+    assert any("test/root" in r.permalink for r in results)
 
 
 @pytest.mark.asyncio
 async def test_pattern_matching(search_service, test_graph):
     """Test pattern matching with various wildcards."""
     # Test wildcards
-    results = await search_service.search(SearchQuery(permalink_match="test-project/test/*"))
+    results = await search_service.search(SearchQuery(permalink_match="test/*"))
     for r in results:
-        assert "test-project/test/" in r.permalink
+        assert "test/" in r.permalink
 
     # Test start wildcards
     results = await search_service.search(SearchQuery(permalink_match="*/observations"))
@@ -140,9 +132,9 @@ async def test_pattern_matching(search_service, test_graph):
         assert "/observations" in r.permalink
 
     # Test permalink partial match
-    results = await search_service.search(SearchQuery(permalink_match="test-project/test"))
+    results = await search_service.search(SearchQuery(permalink_match="test"))
     for r in results:
-        assert "test-project/test/" in r.permalink
+        assert "test/" in r.permalink
 
 
 @pytest.mark.asyncio
@@ -336,7 +328,7 @@ async def test_boolean_or_search(search_service, test_graph):
     connected_found = False
 
     for result in results:
-        if result.permalink == "test-project/test/root":
+        if result.permalink == "test/root":
             root_found = True
         elif "connected" in result.permalink.lower():
             connected_found = True
diff --git a/tests/sync/test_sync_service.py b/tests/sync/test_sync_service.py
index 807d15bf..dab7f010 100644
--- a/tests/sync/test_sync_service.py
+++ b/tests/sync/test_sync_service.py
@@ -14,7 +14,6 @@ from basic_memory.schemas.search import SearchQuery
 from basic_memory.services import EntityService, FileService
 from basic_memory.services.search_service import SearchService
 from basic_memory.sync.sync_service import SyncService
-from basic_memory.utils import generate_permalink
 
 
 async def create_test_file(path: Path, content: str = "test content") -> None:
@@ -75,8 +74,7 @@ type: knowledge
     await sync_service.sync(project_config.home)
 
     # Verify forward reference
-    project_prefix = generate_permalink(project_config.name)
-    source = await entity_service.get_by_permalink(f"{project_prefix}/source")
+    source = await entity_service.get_by_permalink("source")
     assert len(source.relations) == 1
     assert source.relations[0].to_id is None
     assert source.relations[0].to_name == "target-doc"
@@ -100,8 +98,8 @@ Target content
     await sync_service.sync(project_config.home)
 
     # Verify reference is now resolved
-    source = await entity_service.get_by_permalink(f"{project_prefix}/source")
-    target = await entity_service.get_by_permalink(f"{project_prefix}/target-doc")
+    source = await entity_service.get_by_permalink("source")
+    target = await entity_service.get_by_permalink("target-doc")
     assert len(source.relations) == 1
     assert source.relations[0].to_id == target.id
     assert source.relations[0].to_name == target.title
@@ -146,9 +144,8 @@ Content
     # Sync to create both entities
     await sync_service.sync(project_config.home)
 
-    project_prefix = generate_permalink(project_config.name)
-    source = await entity_service.get_by_permalink(f"{project_prefix}/source")
-    target = await entity_service.get_by_permalink(f"{project_prefix}/target")
+    source = await entity_service.get_by_permalink("source")
+    target = await entity_service.get_by_permalink("target")
 
     # Create a resolved relation (already exists) that the unresolved one would become.
     resolved_relation = Relation(
@@ -170,7 +167,7 @@ Content
     unresolved_id = unresolved_relation.id
 
     # Verify we have the unresolved relation
-    source = await entity_service.get_by_permalink(f"{project_prefix}/source")
+    source = await entity_service.get_by_permalink("source")
     unresolved_outgoing = [r for r in source.outgoing_relations if r.to_id is None]
     assert len(unresolved_outgoing) == 1
     assert unresolved_outgoing[0].id == unresolved_id
@@ -189,7 +186,7 @@ Content
     assert len(unresolved) == 0
 
     # Verify only the resolved relation remains
-    source = await entity_service.get_by_permalink(f"{project_prefix}/source")
+    source = await entity_service.get_by_permalink("source")
     assert len(source.outgoing_relations) == 1
     assert source.outgoing_relations[0].to_id == target.id
 
@@ -645,7 +642,6 @@ async def test_permalink_formatting(
     sync_service: SyncService, project_config: ProjectConfig, entity_service: EntityService
 ):
     """Test that permalinks are properly formatted during sync."""
-    project_prefix = generate_permalink(project_config.name)
 
     # Test cases with different filename formats
     test_files = {
@@ -679,9 +675,8 @@ Testing permalink generation.
     for filename, expected_permalink in test_files.items():
         # Find entity for this file
         entity = next(e for e in entities if e.file_path == filename)
-        expected_full_permalink = f"{project_prefix}/{expected_permalink}"
-        assert entity.permalink == expected_full_permalink, (
-            f"File {filename} should have permalink {expected_full_permalink}"
+        assert entity.permalink == expected_permalink, (
+            f"File {filename} should have permalink {expected_permalink}"
         )
 
 
@@ -748,13 +743,12 @@ Testing file timestamps
     await sync_service.sync(project_config.home)
 
     # Check explicit frontmatter dates
-    project_prefix = generate_permalink(project_config.name)
-    explicit_entity = await entity_service.get_by_permalink(f"{project_prefix}/explicit-dates")
+    explicit_entity = await entity_service.get_by_permalink("explicit-dates")
     assert explicit_entity.created_at is not None
     assert explicit_entity.updated_at is not None
 
     # Check file timestamps
-    file_entity = await entity_service.get_by_permalink(f"{project_prefix}/file-dates3")
+    file_entity = await entity_service.get_by_permalink("file-dates3")
     file_stats = file_path.stat()
 
     # Compare using epoch timestamps to handle timezone differences correctly
@@ -799,8 +793,7 @@ Initial content for timestamp test
     await sync_service.sync(project_config.home)
 
     # Get initial entity and timestamps
-    project_prefix = generate_permalink(project_config.name)
-    entity_before = await entity_service.get_by_permalink(f"{project_prefix}/timestamp-test")
+    entity_before = await entity_service.get_by_permalink("timestamp-test")
     initial_updated_at = entity_before.updated_at
 
     # Modify the file content and update mtime to be newer than watermark
@@ -831,7 +824,7 @@ Modified content for timestamp test
     await sync_service.sync(project_config.home)
 
     # Get entity after re-sync
-    entity_after = await entity_service.get_by_permalink(f"{project_prefix}/timestamp-test")
+    entity_after = await entity_service.get_by_permalink("timestamp-test")
 
     # Verify that updated_at changed
     assert entity_after.updated_at != initial_updated_at, (
@@ -945,7 +938,6 @@ async def test_sync_permalink_resolved(
 ):
     """Test that we resolve duplicate permalinks on sync ."""
     project_dir = project_config.home
-    project_prefix = generate_permalink(project_config.name)
 
     # Create initial file
     content = """
@@ -975,13 +967,13 @@ Content for move test
     await sync_service.sync(project_config.home)
 
     file_content, _ = await file_service.read_file(new_path)
-    assert f"permalink: {project_prefix}/new/moved-file" in file_content
+    assert "permalink: new/moved-file" in file_content
 
     # Create another that has the same permalink
-    content = f"""
+    content = """
 ---
 type: knowledge
-permalink: {project_prefix}/new/moved-file
+permalink: new/moved-file
 ---
 # Test Move
 Content for move test
@@ -999,7 +991,7 @@ Content for move test
 
     # assert permalink is unique
     file_content, _ = await file_service.read_file(old_path)
-    assert f"permalink: {project_prefix}/new/moved-file-1" in file_content
+    assert "permalink: new/moved-file-1" in file_content
 
 
 @pytest.mark.asyncio
@@ -1132,7 +1124,6 @@ async def test_sync_permalink_updated_on_move(
 ):
     """Test that we update a permalink on a file move if set in config ."""
     project_dir = project_config.home
-    project_prefix = generate_permalink(project_config.name)
 
     # Create initial file
     content = dedent(
@@ -1154,7 +1145,7 @@ async def test_sync_permalink_updated_on_move(
 
     # verify permalink
     old_content, _ = await file_service.read_file(old_path)
-    assert f"permalink: {project_prefix}/old/test-move" in old_content
+    assert "permalink: old/test-move" in old_content
 
     # Move the file
     new_path = project_dir / "new" / "moved_file.md"
@@ -1169,7 +1160,7 @@ async def test_sync_permalink_updated_on_move(
     await sync_service.sync(project_config.home)
 
     file_content, _ = await file_service.read_file(new_path)
-    assert f"permalink: {project_prefix}/new/moved-file" in file_content
+    assert "permalink: new/moved-file" in file_content
 
 
 @pytest.mark.asyncio
@@ -1306,7 +1297,6 @@ async def test_sync_relation_to_non_markdown_file(
 ):
     """Test that sync resolves permalink conflicts on update."""
     project_dir = project_config.home
-    project_prefix = generate_permalink(project_config.name)
 
     content = f"""
 ---
@@ -1331,7 +1321,7 @@ tags: []
 title: a note
 type: note
 tags: []
-permalink: {project_prefix}/note
+permalink: note
 ---
 
 - relates_to [[{test_files["pdf"].name}]]
diff --git a/tests/test_config.py b/tests/test_config.py
index 20fd47a8..019099ce 100644
--- a/tests/test_config.py
+++ b/tests/test_config.py
@@ -215,16 +215,6 @@ class TestConfigManager:
         config = BasicMemoryConfig(disable_permalinks=True)
         assert config.disable_permalinks is True
 
-    def test_permalinks_include_project_flag_default(self):
-        """Test that permalinks_include_project defaults to True."""
-        config = BasicMemoryConfig()
-        assert config.permalinks_include_project is True
-
-    def test_permalinks_include_project_flag_can_be_disabled(self):
-        """Test that permalinks_include_project can be set to False."""
-        config = BasicMemoryConfig(permalinks_include_project=False)
-        assert config.permalinks_include_project is False
-
     def test_config_manager_respects_custom_config_dir(self, monkeypatch):
         """Test that ConfigManager respects BASIC_MEMORY_CONFIG_DIR environment variable."""
         with tempfile.TemporaryDirectory() as temp_dir:
diff --git a/tests/utils/test_permalink_formatting.py b/tests/utils/test_permalink_formatting.py
index c500d5d0..42b0038c 100644
--- a/tests/utils/test_permalink_formatting.py
+++ b/tests/utils/test_permalink_formatting.py
@@ -61,14 +61,11 @@ Testing permalink generation.
     # Run sync
     await sync_service.sync(project_config.home)
 
-    # Verify permalinks - with project-prefixed permalinks enabled,
-    # auto-generated permalinks include the project slug prefix
-    project_prefix = generate_permalink(project_config.name)
+    # Verify permalinks
     for filename, expected_permalink in test_cases:
         entity = await entity_service.repository.get_by_file_path(filename)
-        expected_full = f"{project_prefix}/{expected_permalink}"
-        assert entity.permalink == expected_full, (
-            f"File {filename} should have permalink {expected_full}"
+        assert entity.permalink == expected_permalink, (
+            f"File {filename} should have permalink {expected_permalink}"
         )