chore(vendor): import pi 0.85.1

Imported as a linear vendor commit so forge rebases do not replay the upstream root tree.

git-subtree-dir: third_party/pi

git-subtree-split: d981de1229ef899957bbe968bc8dcda02a21f477

third_party/pi/packages/coding-agent/test/suite/regressions/7829-invalid-settings-warning.test.ts

@@ -0,0 +1,56 @@
+import { Container } from "@earendil-works/pi-tui";
+import { beforeAll, describe, expect, it, vi } from "vitest";
+import type { AgentSessionRuntimeDiagnostic } from "../../../src/core/agent-session-services.ts";
+import { InteractiveMode } from "../../../src/modes/interactive/interactive-mode.ts";
+import { initTheme } from "../../../src/modes/interactive/theme/theme.ts";
+import { createHarness } from "../harness.ts";
+
+function render(container: Container): string {
+	return container.children.flatMap((child) => child.render(120)).join("\n");
+}
+
+describe("issue #7829 invalid settings warning", () => {
+	beforeAll(() => initTheme("dark"));
+
+	it("renders startup diagnostics inside the transcript", async () => {
+		const harness = await createHarness();
+		const previousOffline = process.env.PI_OFFLINE;
+		process.env.PI_OFFLINE = "1";
+		try {
+			const chatContainer = new Container();
+			const startupDiagnostics: AgentSessionRuntimeDiagnostic[] = [
+				{
+					type: "warning",
+					message: "Invalid settings file /tmp/settings.json: malformed JSON",
+				},
+			];
+			const context = {
+				init: vi.fn(async () => {}),
+				options: { startupDiagnostics },
+				chatContainer,
+				outputPad: 1,
+				ui: { requestRender: vi.fn() },
+				version: "test",
+				showWarning: (InteractiveMode.prototype as unknown as { showWarning(message: string): void }).showWarning,
+				session: harness.session,
+				checkForPackageUpdates: vi.fn().mockResolvedValue([]),
+				checkTmuxKeyboardSetup: vi.fn().mockResolvedValue(undefined),
+				maybeWarnAboutAnthropicSubscriptionAuth: vi.fn(),
+				getUserInput: vi.fn(() => new Promise<string>(() => {})),
+			};
+			const run = (InteractiveMode.prototype as unknown as { run(this: typeof context): Promise<void> }).run;
+
+			void run.call(context);
+
+			await vi.waitFor(() => {
+				expect(render(chatContainer)).toContain(
+					"Warning: Invalid settings file /tmp/settings.json: malformed JSON",
+				);
+			});
+		} finally {
+			if (previousOffline === undefined) delete process.env.PI_OFFLINE;
+			else process.env.PI_OFFLINE = previousOffline;
+			harness.cleanup();
+		}
+	});
+});