docs: verify Factory Droid hook contract

AGENTS.md

@@ -28,6 +28,7 @@ This repository publishes the open-source server, console, integration catalog,
 - Write Auggie hooks only to `~/.augment/settings.json`; keep system and workspace settings read-only. Generate `.cmd` wrappers on Windows and `.sh` wrappers on Unix because Auggie dispatches supported script paths, and express hook timeouts in milliseconds.
 - Validate Auggie matcher syntax during installation with Node.js `new RegExp`; keep status and uninstall independent from the JavaScript validator so recovery remains available offline.
 - Write Cline file hooks to `$CLINE_DIR/hooks` with `~/.cline/hooks` as the default; keep Documents and workspace hook roots read-only. Use supported event filenames, preserve official hook input byte-for-byte, use `process.execPath` in Node and Go wrappers, and resolve Python runtimes from absolute shebangs. Translate guard exit code `2` into JSON stdout with `cancel: true`. Treat hook errors, timeouts, and invalid control JSON as fail-open.
+- Preserve Factory Droid's scope-root `hooks.json` precedence, legacy nested hook source, and per-event `settings.json` fallback. Edit only effective user sources; keep project and organization sources read-only.
 
 ## Mirror Workflow
 

integrations/catalog.json

@@ -169,7 +169,9 @@
       "config_format": "json",
       "config_paths": [
         "~/.factory/hooks.json",
-        ".factory/hooks.json"
+        "~/.factory/settings.json",
+        ".factory/hooks.json",
+        ".factory/settings.json"
       ],
       "events": {
         "before_tool": "PreToolUse",
@@ -186,7 +188,33 @@
       },
       "adapters": { "node": false, "python": false, "go": false },
       "delivery_state": "planned",
-      "source_url": "https://docs.factory.ai/reference/hooks-reference"
+      "source_url": "https://docs.factory.ai/reference/hooks-reference",
+      "contract_variants": [
+        {
+          "id": "nestedhooks",
+          "release_channel": "legacy",
+          "activation": "An existing nested hooks file remains active until Droid saves and archives it",
+          "config_format": "json",
+          "config_paths": [
+            "~/.factory/hooks/hooks.json",
+            ".factory/hooks/hooks.json"
+          ],
+          "events": {
+            "before_tool": "PreToolUse",
+            "after_tool": "PostToolUse"
+          },
+          "event_fields": {
+            "name": "tool_name",
+            "input": "tool_input",
+            "session": "session_id"
+          },
+          "blocking": {
+            "mechanism": "exit_code_2",
+            "failure_mode": "fail_open"
+          },
+          "source_url": "https://docs.factory.ai/reference/hooks-reference"
+        }
+      ]
     },
     {
       "id": "gemini",

test/integration-catalog.test.mjs

@@ -214,6 +214,51 @@ test('high-drift providers retain their verified hook contracts', async () => {
     '~/.codex/hooks.json',
     '.codex/hooks.json',
   ]);
+  assert.deepEqual(providers.get('droid').config_paths, [
+    '~/.factory/hooks.json',
+    '~/.factory/settings.json',
+    '.factory/hooks.json',
+    '.factory/settings.json',
+  ]);
+  assert.deepEqual(providers.get('droid').events, {
+    before_tool: 'PreToolUse',
+    after_tool: 'PostToolUse',
+  });
+  assert.deepEqual(providers.get('droid').event_fields, {
+    name: 'tool_name',
+    input: 'tool_input',
+    session: 'session_id',
+  });
+  assert.deepEqual(providers.get('droid').blocking, {
+    mechanism: 'exit_code_2',
+    failure_mode: 'fail_open',
+  });
+  assert.deepEqual(providers.get('droid').contract_variants, [
+    {
+      id: 'nestedhooks',
+      release_channel: 'legacy',
+      activation: 'An existing nested hooks file remains active until Droid saves and archives it',
+      config_format: 'json',
+      config_paths: [
+        '~/.factory/hooks/hooks.json',
+        '.factory/hooks/hooks.json',
+      ],
+      events: {
+        before_tool: 'PreToolUse',
+        after_tool: 'PostToolUse',
+      },
+      event_fields: {
+        name: 'tool_name',
+        input: 'tool_input',
+        session: 'session_id',
+      },
+      blocking: {
+        mechanism: 'exit_code_2',
+        failure_mode: 'fail_open',
+      },
+      source_url: 'https://docs.factory.ai/reference/hooks-reference',
+    },
+  ]);
   assert.equal(providers.get('cline').integration_mode, 'command_hooks');
   assert.equal(providers.get('cline').config_format, 'script');
   assert.deepEqual(providers.get('cline').config_paths, [