diff --git a/server/drivers/acp/core.ts b/server/drivers/acp/core.ts
index 1778df3cc..c44682a0b 100644
--- a/server/drivers/acp/core.ts
+++ b/server/drivers/acp/core.ts
@@ -136,6 +136,12 @@ export interface AcpSupport {
     sessionId: string;
     config: AcpConfig;
     turn: SendTurnInput;
+    /** `session/new` (or `session/load`) advertised model list, verbatim. Some
+     * CLIs namespace their ACP model ids differently from their argv `--model`
+     * slugs (Cursor answers `default[]` where the CLI calls it `auto`), so a
+     * driver that only knows the argv slug cannot form a valid set_model
+     * without this. Empty when the agent advertised none. */
+    sessionModels: Array<{ modelId?: string; name?: string }>;
   }): Promise<void>;
 }
 
@@ -620,6 +626,9 @@ export function createAcpDriver(support: AcpSupport): ProviderDriver<AcpConfig>
                   sessionId,
                   config,
                   turn: cliTurn,
+                  sessionModels: Array.isArray(sessionResult?.models?.availableModels)
+                    ? sessionResult.models.availableModels
+                    : [],
                 });
                 // initialize's currentModelId is the CLI default (grok-4.6),
                 // not the model this turn asked for. After a successful pin,
diff --git a/server/drivers/acp/cursor.test.ts b/server/drivers/acp/cursor.test.ts
index 904584462..905162abf 100644
--- a/server/drivers/acp/cursor.test.ts
+++ b/server/drivers/acp/cursor.test.ts
@@ -16,6 +16,7 @@ import {
   decodeCursorModelCatalog,
   decodeCursorModelText,
   STATIC_CURSOR_MODELS,
+  resolveCursorAcpModelId,
 } from "./cursor.ts";
 
 const FAKE_CLI = join(dirname(fileURLToPath(import.meta.url)), "..", "..", "testing", "fake-acp-cli.ts");
@@ -287,3 +288,111 @@ describe("CursorAgentDriver", () => {
     }
   });
 });
+
+describe("resolveCursorAcpModelId", () => {
+  // Real payload shape from `session/new` against cursor-agent 2026.08.11.
+  const ADVERTISED = [
+    { modelId: "default[]", name: "Auto" },
+    { modelId: "grok-4.6[effort=high,fast=true]", name: "grok-4.6" },
+    { modelId: "gpt-5.3-codex[reasoning=medium,fast=false]", name: "gpt-5.3-codex" },
+  ];
+
+  it("maps the argv slug `auto` onto Cursor's `default[]` entry", () => {
+    // The bug: `auto` is what --model and `cursor-agent models` call it, and
+    // it earns -32602 over ACP because the session only knows `default[]`.
+    expect(resolveCursorAcpModelId(ADVERTISED, "auto")).toBe("default[]");
+  });
+
+  it("maps a bare slug onto its parameterised id", () => {
+    expect(resolveCursorAcpModelId(ADVERTISED, "gpt-5.3-codex")).toBe(
+      "gpt-5.3-codex[reasoning=medium,fast=false]",
+    );
+  });
+
+  it("maps a display name onto its parameterised id", () => {
+    expect(
+      resolveCursorAcpModelId(
+        [{ modelId: "gpt-5.3-codex[reasoning=medium,fast=false]", name: "Codex 5.3" }],
+        "Codex 5.3",
+      ),
+    ).toBe("gpt-5.3-codex[reasoning=medium,fast=false]");
+  });
+
+  it("passes an already-parameterised id straight through", () => {
+    expect(resolveCursorAcpModelId(ADVERTISED, "grok-4.6[effort=high,fast=true]")).toBe(
+      "grok-4.6[effort=high,fast=true]",
+    );
+  });
+
+  it("returns null when the agent advertised no models, so the caller keeps the argv slug", () => {
+    expect(resolveCursorAcpModelId([], "auto")).toBeNull();
+  });
+
+  it("returns null for a model this session does not offer", () => {
+    expect(resolveCursorAcpModelId(ADVERTISED, "no-such-model")).toBeNull();
+  });
+});
+
+describe("cursor ACP model namespace (NS: set_model wiring)", () => {
+  it("sends the session's parameterised id, not the argv slug", async () => {
+    ensureDirs();
+    chmodSync(FAKE_CLI, 0o755);
+    const scratch = mkdtempSync(join(tmpdir(), "omb-cursor-acpid-"));
+    const dump = join(scratch, "dump.json");
+    process.env.FAKE_ACP_DUMP = dump;
+    // What cursor-agent 2026.08.11 really advertises: `auto` is `default[]`.
+    process.env.FAKE_ACP_SESSION_MODELS = "default[]|Auto,gpt-5.3-codex[reasoning=medium,fast=false]|gpt-5.3-codex";
+
+    const instance = await CursorAgentDriver.create({
+      instanceId: "cursor-acpid",
+      displayName: "Cursor",
+      environment: {},
+      enabled: true,
+      config: { cli: FAKE_CLI, fullAuto: false },
+    });
+    const recorder = recordEvents(instance.adapter);
+    try {
+      await instance.adapter.sendTurn({ threadId: "t-cursor-acpid", text: "hi", model: "auto" });
+      await recorder.until((e) => e.type === "turn.completed");
+      const applied = JSON.parse(readFileSync(`${dump}.config.json`, "utf8"));
+      // Before the fix this sent modelId "auto" and Cursor answered -32602.
+      expect(applied).toEqual([
+        { method: "session/set_model", params: { sessionId: "fake-acp-session", modelId: "default[]" } },
+      ]);
+      // argv keeps the CLI slug — the two namespaces stay separate.
+      expect(JSON.parse(readFileSync(dump, "utf8")).argv).toEqual(["--model", "auto", "acp"]);
+    } finally {
+      recorder.stop();
+      await instance.dispose();
+      delete process.env.FAKE_ACP_SESSION_MODELS;
+      // the dir goes with it: a stale FAKE_ACP_DUMP makes the *next* test's
+      // fake CLI die on ENOENT, which reads as an unrelated driver failure.
+      delete process.env.FAKE_ACP_DUMP;
+      await removeTempDir(scratch);
+    }
+  });
+
+  it("completes the turn when set_model answers -32602, because argv already pinned the model", async () => {
+    ensureDirs();
+    chmodSync(FAKE_CLI, 0o755);
+    process.env.FAKE_ACP_MODE = "set-model-invalid-params";
+    const instance = await CursorAgentDriver.create({
+      instanceId: "cursor-invalid",
+      displayName: "Cursor",
+      environment: {},
+      enabled: true,
+      config: { cli: FAKE_CLI, fullAuto: false },
+    });
+    const recorder = recordEvents(instance.adapter);
+    try {
+      await instance.adapter.sendTurn({ threadId: "t-cursor-invalid", text: "hi", model: "gpt-5.3-codex" });
+      const done = await recorder.until((e) => e.type === "turn.completed");
+      // Previously this threw and failed a turn that would have run correctly.
+      expect(done).toMatchObject({ type: "turn.completed", ok: true });
+    } finally {
+      recorder.stop();
+      await instance.dispose();
+      delete process.env.FAKE_ACP_MODE;
+    }
+  });
+});
diff --git a/server/drivers/acp/cursor.ts b/server/drivers/acp/cursor.ts
index 599407c75..ca4a4336c 100644
--- a/server/drivers/acp/cursor.ts
+++ b/server/drivers/acp/cursor.ts
@@ -12,6 +12,50 @@ import type { ModelCatalog, ProviderErrorCode } from "../../contracts.ts";
 import { execCli } from "../../procs.ts";
 import { createAcpDriver, type AcpSupport } from "./core.ts";
 
+/** Translate an argv `--model` slug into the id this ACP session will accept.
+ *
+ * Cursor keeps two model namespaces and they do not match. `cursor-agent
+ * models` and the `--model` flag speak flat slugs (`auto`, `gpt-5.3-codex`).
+ * The ACP session advertises parameterised ids instead
+ * (`default[]`, `gpt-5.3-codex[reasoning=medium,fast=false]`), and
+ * `session/set_model` accepts *only* those. Sending the argv slug earns
+ * `-32602 Invalid params` for every model, not merely unknown ones — which
+ * read as "this account cannot use that model" and sent people to check their
+ * subscription over a pure id-format mismatch.
+ *
+ * Matching walks from most to least specific, and `auto` is special-cased
+ * because Cursor calls that entry `default[]` while naming it "Auto".
+ *
+ * Returns null when nothing matches, including when the agent advertised no
+ * models at all. The caller then falls back to sending the slug unchanged,
+ * which is what older CLIs that ignore the model list still expect.
+ */
+export function resolveCursorAcpModelId(
+  available: Array<{ modelId?: string; name?: string }>,
+  wanted: string,
+): string | null {
+  const want = wanted.trim().toLowerCase();
+  if (!want) return null;
+  const ids = available.filter((m) => typeof m?.modelId === "string" && m.modelId);
+  if (!ids.length) return null;
+  const base = (id: string) => id.split("[")[0].trim().toLowerCase();
+
+  const exact = ids.find((m) => m.modelId!.toLowerCase() === want);
+  if (exact) return exact.modelId!;
+
+  const byBase = ids.find((m) => base(m.modelId!) === want);
+  if (byBase) return byBase.modelId!;
+
+  const byName = ids.find((m) => (m.name ?? "").trim().toLowerCase() === want);
+  if (byName) return byName.modelId!;
+
+  if (want === "auto" || want === "default") {
+    const dflt = ids.find((m) => base(m.modelId!) === "default");
+    if (dflt) return dflt.modelId!;
+  }
+  return null;
+}
+
 export const STATIC_CURSOR_MODELS: ModelCatalog = {
   default: "auto",
   options: [
@@ -325,15 +369,21 @@ const support = (run: typeof execCli): AcpSupport => ({
   isAuthenticated: (env, config) => probeCursorAuth(config.cli || "cursor-agent", env, run),
   classifyError: classifyCursorError,
 
-  async configureSession({ request, sessionId, turn }) {
+  async configureSession({ request, sessionId, turn, sessionModels }) {
     if (!turn.model) return;
+    // Prefer the id this session actually advertised; fall back to the argv
+    // slug so a CLI that advertises nothing behaves exactly as before.
+    const modelId = resolveCursorAcpModelId(sessionModels ?? [], turn.model) ?? turn.model;
     try {
-      await request("session/set_model", { sessionId, modelId: turn.model });
+      await request("session/set_model", { sessionId, modelId });
     } catch (e) {
       const err = e as Error & { code?: unknown };
-      if (err.code === -32601) return;
+      // -32601 method missing, -32602 id not in this session's namespace. In
+      // both cases spawnArgs already pinned `--model`, so the turn runs the
+      // right model anyway; failing it here would refuse a working request.
+      if (err.code === -32601 || err.code === -32602) return;
       throw new Error(
-        `Cursor rejected model "${turn.model}" via session/set_model: ${err.message}. ` +
+        `Cursor rejected model "${turn.model}" (sent as "${modelId}") via session/set_model: ${err.message}. ` +
           `Check that \`cursor-agent\` is current and that this account can use that model.`,
       );
     }
diff --git a/server/testing/fake-acp-cli.ts b/server/testing/fake-acp-cli.ts
index ddf42d92b..88dad9c68 100755
--- a/server/testing/fake-acp-cli.ts
+++ b/server/testing/fake-acp-cli.ts
@@ -54,6 +54,20 @@ const configOptions = () =>
         },
       ]
     : null;
+// cursor-shaped surface: the session advertises `models.availableModels` with
+// parameterised ids (`default[]`) that differ from the argv `--model` slugs
+// (`auto`). Off unless FAKE_ACP_SESSION_MODELS is set, so every existing mode
+// stays byte-identical. Format: "id|Name,id|Name" — the name is optional.
+const acpModels = (process.env.FAKE_ACP_SESSION_MODELS ?? "")
+  .split(",")
+  .filter(Boolean)
+  .map((entry) => {
+    const [modelId, name] = entry.split("|");
+    return name ? { modelId, name } : { modelId };
+  });
+const sessionModels = () =>
+  acpModels.length ? { currentModelId: acpModels[0].modelId, availableModels: acpModels } : null;
+
 const argv = process.argv.slice(2);
 const dumpEnv = Object.fromEntries(
   [
@@ -248,12 +262,18 @@ function handle(msg: any) {
         writeFileSync(`${process.env.FAKE_ACP_DUMP}.mcp.json`, JSON.stringify(servers, null, 2));
       }
       const opts = configOptions();
-      result(msg.id, opts ? { sessionId: "fake-acp-session", configOptions: opts } : { sessionId: "fake-acp-session" });
+      const mdls = sessionModels();
+      result(msg.id, {
+        sessionId: "fake-acp-session",
+        ...(opts ? { configOptions: opts } : {}),
+        ...(mdls ? { models: mdls } : {}),
+      });
       break;
     }
     case "session/load": {
       const opts = configOptions();
-      result(msg.id, opts ? { configOptions: opts } : {});
+      const mdls = sessionModels();
+      result(msg.id, { ...(opts ? { configOptions: opts } : {}), ...(mdls ? { models: mdls } : {}) });
       break;
     }
     // per-session settings (droid sets model/autonomy here, not via argv).
@@ -266,6 +286,11 @@ function handle(msg: any) {
         // an older agent that predates these methods
         return out({ jsonrpc: "2.0", id: msg.id, error: { code: -32601, message: "method not found" } });
       }
+      if (mode === "set-model-invalid-params" && msg.method === "session/set_model") {
+        // an agent whose ACP model namespace does not contain the id it was
+        // sent — Cursor's answer when handed an argv slug like `auto`.
+        return out({ jsonrpc: "2.0", id: msg.id, error: { code: -32602, message: "Invalid params" } });
+      }
       const settingId = msg.method === "session/set_mode" ? "modeId" : "modelId";
       if (typeof msg.params?.sessionId !== "string" || typeof msg.params?.[settingId] !== "string") {
         out({