fix: unify project path so path is always the local filesystem path

Cloud projects with bisync had a split-brain problem: `path` held a cloud
slug while the actual local directory lived in `local_sync_path`. This caused
`bm status` and file sync to fail for bisync'd cloud projects.

Changes:
- Config migration promotes `local_sync_path` → `path` for entries where
  `path` is a non-absolute cloud slug
- `ensure_project_paths_exists` skips cloud-only projects with slug paths
- `initialize_file_sync` and watch service now keep cloud projects that have
  an absolute local path (bisync copy) instead of skipping all cloud projects
- `sync-setup` and `project add --cloud --local-path` set both `path` and
  `local_sync_path` to the local directory
- `sync-setup` creates the project in the local DB for immediate MCP use
- `_get_sync_project` falls back from `local_sync_path` to `path`
- Config load errors now show user-friendly messages instead of stack traces

Co-Authored-By: Claude Opus 4.6 <noreply@anthropic.com>
Signed-off-by: phernandez <paul@basicmachines.co>

src/basic_memory/cli/commands/cloud/project_sync.py

@@ -5,6 +5,7 @@ project instances. These were previously in project.py but belong here since
 they are cloud-specific operations.
 """
 
+import os
 from datetime import datetime
 
 import typer
@@ -69,10 +70,11 @@ def _get_sync_project(
     Returns (sync_project, local_sync_path). Exits if no local_sync_path configured.
     """
     sync_entry = config.projects.get(name)
-    local_sync_path = sync_entry.local_sync_path if sync_entry else None
+    # Support both new (path) and legacy (local_sync_path) configs
+    local_sync_path = (sync_entry.local_sync_path or sync_entry.path) if sync_entry else None
 
-    if not local_sync_path:
-        console.print(f"[red]Error: Project '{name}' has no local_sync_path configured[/red]")
+    if not local_sync_path or not os.path.isabs(local_sync_path):
+        console.print(f"[red]Error: Project '{name}' has no local sync path configured[/red]")
         console.print(f"\nConfigure sync with: bm cloud sync-setup {name} ~/path/to/local")
         raise typer.Exit(1)
 
@@ -334,9 +336,10 @@ def setup_project_sync(
         resolved_path = Path(os.path.abspath(os.path.expanduser(local_path)))
         resolved_path.mkdir(parents=True, exist_ok=True)
 
-        # Update project entry with sync path
+        # Update project entry with sync path — path is always the local directory
         entry = config.projects.get(name)
         if entry:
+            entry.path = resolved_path.as_posix()
             entry.local_sync_path = resolved_path.as_posix()
             entry.bisync_initialized = False
             entry.last_sync = None
@@ -347,6 +350,18 @@ def setup_project_sync(
             )
         config_manager.save_config(config)
 
+        # Create the project in the local DB so the MCP server can immediately use it
+        async def _create_local_project():
+            async with get_client() as client:
+                data = {"name": name, "path": resolved_path.as_posix(), "set_default": False}
+                return await ProjectClient(client).create_project(data)
+
+        with force_routing(local=True):
+            try:
+                run_with_cleanup(_create_local_project())
+            except Exception:
+                pass  # Project may already exist locally; reconcile on next startup
+
         console.print(f"[green]Sync configured for project '{name}'[/green]")
         console.print(f"\nLocal sync path: {resolved_path}")
         console.print("\nNext steps:")

src/basic_memory/cli/commands/project.py

@@ -285,9 +285,10 @@ def add_project(
             local_dir = Path(local_sync_path)
             local_dir.mkdir(parents=True, exist_ok=True)
 
-            # Update project entry with sync path
+            # Update project entry — path is always the local directory
             entry = config.projects.get(name)
             if entry:
+                entry.path = local_sync_path
                 entry.local_sync_path = local_sync_path
             else:
                 # Project may not be in local config yet (cloud-only add)

src/basic_memory/config.py

@@ -403,6 +403,18 @@ class BasicMemoryConfig(BaseSettings):
             data.pop("project_modes", None)
             data.pop("cloud_projects", None)
 
+        # --- Promote local_sync_path into path for cloud projects with slug paths ---
+        # Trigger: project entry has local_sync_path set but path is a cloud slug (not absolute)
+        # Why: path must always be the local filesystem path; the cloud remote is derivable
+        # Outcome: path becomes the local directory, local_sync_path kept for backwards compat
+        projects = data.get("projects", {})
+        for name, entry in projects.items():
+            if isinstance(entry, dict):
+                lsp = entry.get("local_sync_path")
+                path = entry.get("path", "")
+                if lsp and not os.path.isabs(path):
+                    entry["path"] = lsp
+
         return data
 
     @property
@@ -564,6 +576,9 @@ class BasicMemoryConfig(BaseSettings):
 
         for name, entry in self.projects.items():
             path = Path(entry.path)
+            # Skip cloud-only projects whose path is a slug, not a local directory
+            if not path.is_absolute():
+                continue
             if not path.exists():
                 try:
                     path.mkdir(parents=True)
@@ -645,6 +660,17 @@ class ConfigManager:
                     if isinstance(first_val, str):
                         needs_resave = True
 
+                # Check if any project has local_sync_path set but path is a cloud slug
+                # (will be migrated by migrate_legacy_projects validator)
+                if not needs_resave:
+                    for entry_data in projects_raw.values():
+                        if isinstance(entry_data, dict):
+                            lsp = entry_data.get("local_sync_path")
+                            p = entry_data.get("path", "")
+                            if lsp and not os.path.isabs(p):
+                                needs_resave = True
+                                break
+
                 # First, create config from environment variables (Pydantic will read them)
                 # Then overlay with file data for fields that aren't set via env vars
                 # This ensures env vars take precedence
@@ -673,9 +699,20 @@ class ConfigManager:
                     save_basic_memory_config(self.config_file, _CONFIG_CACHE)
 
                 return _CONFIG_CACHE
+            except json.JSONDecodeError as e:  # pragma: no cover
+                logger.error(f"Invalid JSON in config file {self.config_file}: {e}")
+                raise SystemExit(
+                    f"Error: config file is not valid JSON: {self.config_file}\n"
+                    f"  {e}\n"
+                    f"Fix or delete the file and re-run."
+                )
             except Exception as e:  # pragma: no cover
-                logger.exception(f"Failed to load config: {e}")
-                raise e
+                logger.error(f"Failed to load config from {self.config_file}: {e}")
+                raise SystemExit(
+                    f"Error: failed to load config from {self.config_file}\n"
+                    f"  {e}\n"
+                    f"Fix or delete the file and re-run."
+                )
         else:
             config = BasicMemoryConfig()
             self.save_config(config)

src/basic_memory/services/initialization.py

@@ -115,15 +115,18 @@ async def initialize_file_sync(
         active_projects = [p for p in active_projects if p.name == constrained_project]
         logger.info(f"Background sync constrained to project: {constrained_project}")
 
-    # Skip cloud-mode projects — their files live on the cloud instance, not locally
-    cloud_projects = [
-        p.name for p in active_projects if app_config.get_project_mode(p.name) == ProjectMode.CLOUD
-    ]
-    if cloud_projects:
-        active_projects = [
-            p for p in active_projects if app_config.get_project_mode(p.name) != ProjectMode.CLOUD
-        ]
-        logger.info(f"Skipping cloud-mode projects for local sync: {cloud_projects}")
+    # Skip cloud-mode projects that have no local directory.
+    # Cloud projects with a local bisync copy (absolute path) are kept for local sync.
+    cloud_skip = []
+    for p in active_projects:
+        if app_config.get_project_mode(p.name) == ProjectMode.CLOUD:
+            entry = app_config.projects.get(p.name)
+            if entry and Path(entry.path).is_absolute():
+                continue  # Cloud project with local bisync copy — keep for local sync
+            cloud_skip.append(p.name)
+    if cloud_skip:
+        active_projects = [p for p in active_projects if p.name not in cloud_skip]
+        logger.info(f"Skipping cloud-mode projects for local sync: {cloud_skip}")
 
     # Start sync for all projects as background tasks (non-blocking)
     async def sync_project_background(project: Project):

src/basic_memory/sync/watch_service.py

@@ -178,20 +178,19 @@ class WatchService:
                 projects = await self.project_repository.get_active_projects()
 
                 # Trigger: project is configured for cloud routing
-                # Why: cloud projects should not be watched/synced by local file watchers
-                # Outcome: watch cycle only observes local-mode projects
-                cloud_projects = [
-                    p.name
-                    for p in projects
-                    if self.app_config.get_project_mode(p.name) == ProjectMode.CLOUD
-                ]
-                if cloud_projects:
-                    projects = [
-                        p
-                        for p in projects
-                        if self.app_config.get_project_mode(p.name) != ProjectMode.CLOUD
-                    ]
-                    logger.debug(f"Skipping cloud-mode projects in watch cycle: {cloud_projects}")
+                # Why: cloud-only projects (no local directory) should not be watched;
+                #       cloud projects with a local bisync copy (absolute path) need watching
+                # Outcome: watch cycle skips cloud projects without a local directory
+                cloud_skip = []
+                for p in projects:
+                    if self.app_config.get_project_mode(p.name) == ProjectMode.CLOUD:
+                        entry = self.app_config.projects.get(p.name)
+                        if entry and Path(entry.path).is_absolute():
+                            continue  # Cloud project with local bisync copy — keep watching
+                        cloud_skip.append(p.name)
+                if cloud_skip:
+                    projects = [p for p in projects if p.name not in cloud_skip]
+                    logger.debug(f"Skipping cloud-mode projects in watch cycle: {cloud_skip}")
 
                 project_paths = [project.path for project in projects]
                 logger.debug(f"Starting watch cycle for directories: {project_paths}")

tests/sync/test_watch_service_reload.py

@@ -144,23 +144,19 @@ async def test_run_reloads_projects_each_cycle(monkeypatch, tmp_path):
 
 
 @pytest.mark.asyncio
-async def test_run_filters_cloud_projects_each_cycle(monkeypatch, tmp_path):
+async def test_run_filters_cloud_only_projects_each_cycle(monkeypatch, tmp_path):
+    """Cloud-only projects (slug path, no local directory) are filtered out."""
     config = BasicMemoryConfig(
         watch_project_reload_interval=1,
         projects={
             "local-project": {"path": str(tmp_path / "local"), "mode": "local"},
-            "cloud-project": {"path": str(tmp_path / "cloud"), "mode": "cloud"},
+            "cloud-only": {"path": "cloud-slug", "mode": "cloud"},
         },
     )
     repo = _Repo(
         projects_return=[
             Project(id=1, name="local-project", path=str(tmp_path / "local"), permalink="local"),
-            Project(
-                id=2,
-                name="cloud-project",
-                path=str(tmp_path / "cloud"),
-                permalink="cloud",
-            ),
+            Project(id=2, name="cloud-only", path="cloud-slug", permalink="cloud-only"),
         ]
     )
     watch_service = WatchService(config, repo, quiet=True)
@@ -183,6 +179,47 @@ async def test_run_filters_cloud_projects_each_cycle(monkeypatch, tmp_path):
     assert seen_project_names == [["local-project"]]
 
 
+@pytest.mark.asyncio
+async def test_run_keeps_cloud_projects_with_local_bisync(monkeypatch, tmp_path):
+    """Cloud projects with an absolute path (local bisync copy) are kept for watching."""
+    config = BasicMemoryConfig(
+        watch_project_reload_interval=1,
+        projects={
+            "local-project": {"path": str(tmp_path / "local"), "mode": "local"},
+            "cloud-bisync": {"path": str(tmp_path / "cloud"), "mode": "cloud"},
+        },
+    )
+    repo = _Repo(
+        projects_return=[
+            Project(id=1, name="local-project", path=str(tmp_path / "local"), permalink="local"),
+            Project(
+                id=2,
+                name="cloud-bisync",
+                path=str(tmp_path / "cloud"),
+                permalink="cloud-bisync",
+            ),
+        ]
+    )
+    watch_service = WatchService(config, repo, quiet=True)
+
+    seen_project_names: list[list[str]] = []
+
+    async def watch_cycle_stub(projects, stop_event):
+        seen_project_names.append([p.name for p in projects])
+        watch_service.state.running = False
+        stop_event.set()
+
+    async def fake_write_status():
+        return None
+
+    monkeypatch.setattr(watch_service, "_watch_projects_cycle", watch_cycle_stub)
+    monkeypatch.setattr(watch_service, "write_status", fake_write_status)
+
+    await watch_service.run()
+
+    assert seen_project_names == [["local-project", "cloud-bisync"]]
+
+
 @pytest.mark.asyncio
 async def test_run_continues_after_cycle_error(monkeypatch, tmp_path):
     config = BasicMemoryConfig()

tests/test_config.py

@@ -1112,3 +1112,68 @@ class TestProjectMode:
                 loaded.projects["research"].workspace_id == "11111111-1111-1111-1111-111111111111"
             )
             assert loaded.projects["main"].workspace_id is None
+
+
+class TestLocalSyncPathMigration:
+    """Test migration that promotes local_sync_path into path for cloud projects."""
+
+    def test_migrate_promotes_local_sync_path_to_path(self):
+        """When path is a cloud slug and local_sync_path is set, path becomes local_sync_path."""
+        data = {
+            "projects": {
+                "specs": {
+                    "path": "specs",
+                    "mode": "cloud",
+                    "local_sync_path": "/Users/test/Documents/specs",
+                }
+            }
+        }
+        result = BasicMemoryConfig.migrate_legacy_projects(data)
+        assert result["projects"]["specs"]["path"] == "/Users/test/Documents/specs"
+
+    def test_migrate_does_not_overwrite_absolute_path(self):
+        """When path is already absolute, migration should not change it."""
+        data = {
+            "projects": {
+                "specs": {
+                    "path": "/Users/test/Documents/specs",
+                    "mode": "cloud",
+                    "local_sync_path": "/Users/test/Documents/specs",
+                }
+            }
+        }
+        result = BasicMemoryConfig.migrate_legacy_projects(data)
+        assert result["projects"]["specs"]["path"] == "/Users/test/Documents/specs"
+
+    def test_migrate_skips_entries_without_local_sync_path(self):
+        """Entries without local_sync_path should not be modified."""
+        data = {
+            "projects": {
+                "cloud-only": {
+                    "path": "cloud-only",
+                    "mode": "cloud",
+                }
+            }
+        }
+        result = BasicMemoryConfig.migrate_legacy_projects(data)
+        assert result["projects"]["cloud-only"]["path"] == "cloud-only"
+
+    def test_migrate_handles_mixed_projects(self, tmp_path):
+        """Migration handles a mix of local, cloud-only, and cloud-with-bisync projects."""
+        local_path = str(tmp_path / "local")
+        bisync_path = str(tmp_path / "bisync")
+        data = {
+            "projects": {
+                "local-proj": {"path": local_path, "mode": "local"},
+                "cloud-only": {"path": "cloud-only", "mode": "cloud"},
+                "cloud-bisync": {
+                    "path": "cloud-bisync",
+                    "mode": "cloud",
+                    "local_sync_path": bisync_path,
+                },
+            }
+        }
+        result = BasicMemoryConfig.migrate_legacy_projects(data)
+        assert result["projects"]["local-proj"]["path"] == local_path
+        assert result["projects"]["cloud-only"]["path"] == "cloud-only"
+        assert result["projects"]["cloud-bisync"]["path"] == bisync_path