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I think we lost something pretty big in this formulation.

With Claude code and others, if I put a context file (agent.MD or whatever) in a project subfolder, e.g., something explaining my database model in with the related code, it gets added to the root project context when the agent is using that subfolder.

It sounds to me like this formulation doesn’t support that.

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That's sort of this? I guess the exact behavior would depend on the agent.

> Place another AGENTS.md inside each package. Agents automatically read the nearest file in the directory tree, so the closest one takes precedence and every subproject can ship tailored instructions. For example, at time of writing the main OpenAI repo has 88 AGENTS.md files.

But no, that's the opposite - here sub-context files REPLACE the ones above it rather then augmenting it - and I think that deviating in this way is kinda' dangerous in that user's might not notice this difference.

I think it's just poorly written. Further down:

> What if instructions conflict? > The closest AGENTS.md to the edited file wins; explicit user chat prompts override everything.

This seems appropriate for hierarchical AGENTS.md files? How would it even realize there was a conflict if it hadn't read both files?

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