diff --git a/apps/server/src/provider/Layers/ProviderService.test.ts b/apps/server/src/provider/Layers/ProviderService.test.ts
index 5738c86d228c..e7cd87c1358e 100644
--- a/apps/server/src/provider/Layers/ProviderService.test.ts
+++ b/apps/server/src/provider/Layers/ProviderService.test.ts
@@ -73,7 +73,10 @@ import * as ServerConfig from "../../config.ts";
 import * as ServerSettings from "../../serverSettings.ts";
 import * as AnalyticsService from "../../telemetry/AnalyticsService.ts";
 import { makeAdapterRegistryMock } from "../testUtils/providerAdapterRegistryMock.ts";
-import { readProviderRestartRecoveryMarker } from "../ProviderRestartRecovery.ts";
+import {
+  makeProviderRestartRecoveryMarker,
+  readProviderRestartRecoveryMarker,
+} from "../ProviderRestartRecovery.ts";
 
 const defaultServerSettingsLayer = ServerSettings.ServerSettingsService.layerTest();
 const serverConfigTestLayer = ServerConfig.layerTest(process.cwd(), process.cwd()).pipe(
@@ -661,6 +664,92 @@ it.effect("graceful shutdown recovers live bindings missing from adapter listSes
   }).pipe(Effect.provide(NodeServices.layer)),
 );
 
+it.effect("keeps restart recovery markers when session.exited arrives after stopAll", () =>
+  Effect.gen(function* () {
+    const tempDir = NodeFS.mkdtempSync(
+      NodePath.join(NodeOS.tmpdir(), "t3-provider-recovery-exited-"),
+    );
+    const dbPath = NodePath.join(tempDir, "runtime.sqlite");
+    const persistenceLayer = makeSqlitePersistenceLive(dbPath);
+    const runtimeRepositoryLayer = ProviderSessionRuntime.layer.pipe(
+      Layer.provide(persistenceLayer),
+    );
+    const directoryLayer = ProviderSessionDirectoryLive.pipe(Layer.provide(runtimeRepositoryLayer));
+    const codex = makeFakeCodexAdapter();
+    const providerLayer = makeProviderServiceLive().pipe(
+      Layer.provide(
+        Layer.succeed(
+          ProviderAdapterRegistry.ProviderAdapterRegistry,
+          makeAdapterRegistryMock({ [CODEX_DRIVER]: codex.adapter }),
+        ),
+      ),
+      Layer.provide(directoryLayer),
+      Layer.provide(defaultServerSettingsLayer),
+      Layer.provide(AnalyticsService.layerTest),
+      Layer.provide(serverConfigTestLayer),
+      Layer.provide(
+        Layer.succeed(
+          ProviderEventLoggers.ProviderEventLoggers,
+          ProviderEventLoggers.NoOpProviderEventLoggers,
+        ),
+      ),
+    );
+    const scope = yield* Scope.make();
+    const services = yield* Layer.build(
+      Layer.mergeAll(providerLayer, runtimeRepositoryLayer, directoryLayer),
+    ).pipe(Scope.provide(scope));
+    const provider = yield* ProviderService.ProviderService.pipe(Effect.provide(services));
+    const threadId = asThreadId("thread-exited-after-marker");
+    yield* provider.startSession(threadId, {
+      provider: CODEX_DRIVER,
+      providerInstanceId: codexInstanceId,
+      threadId,
+      runtimeMode: "full-access",
+    });
+    const directory = yield* ProviderSessionDirectory.ProviderSessionDirectory.pipe(
+      Effect.provide(services),
+    );
+    const marker = makeProviderRestartRecoveryMarker({
+      interruptedProviderTurnId: asTurnId("provider-turn-exited"),
+      shutdownAt: "2026-01-01T00:00:02.000Z",
+    });
+    yield* directory.upsert({
+      threadId,
+      provider: CODEX_DRIVER,
+      providerInstanceId: codexInstanceId,
+      status: "stopped",
+      resumeCursor: { threadId: "provider-exited" },
+      runtimePayload: {
+        restartRecovery: marker,
+        lastRuntimeEvent: "provider.stopAll",
+        lastRuntimeEventAt: "2026-01-01T00:00:02.000Z",
+      },
+    });
+
+    codex.emit({
+      type: "session.exited",
+      eventId: asEventId("evt-session-exited"),
+      provider: CODEX_DRIVER,
+      createdAt: "2026-01-01T00:00:03.000Z",
+      threadId,
+    });
+    yield* advanceTestClock(50);
+
+    const rows = yield* Effect.gen(function* () {
+      const repository = yield* ProviderSessionRuntime.ProviderSessionRuntimeRepository;
+      return yield* repository.list();
+    }).pipe(Effect.provide(runtimeRepositoryLayer));
+    const persisted = rows.find((row) => row.threadId === threadId);
+    assert.equal(
+      readProviderRestartRecoveryMarker(persisted?.runtimePayload)?.interruptedProviderTurnId,
+      asTurnId("provider-turn-exited"),
+    );
+
+    yield* Scope.close(scope, Exit.void);
+    NodeFS.rmSync(tempDir, { recursive: true, force: true });
+  }).pipe(Effect.provide(NodeServices.layer)),
+);
+
 it.effect("ProviderServiceLive rejects new sessions for disabled providers", () =>
   Effect.gen(function* () {
     const codex = makeFakeCodexAdapter();
diff --git a/apps/server/src/provider/Layers/ProviderService.ts b/apps/server/src/provider/Layers/ProviderService.ts
index 4407935d2e52..66b3b9670045 100644
--- a/apps/server/src/provider/Layers/ProviderService.ts
+++ b/apps/server/src/provider/Layers/ProviderService.ts
@@ -366,6 +366,18 @@ const makeProviderService = Effect.fn("makeProviderService")(function* (
     })();
     if (lifecycle === undefined) return;
 
+    const payload =
+      binding.runtimePayload !== null &&
+      typeof binding.runtimePayload === "object" &&
+      !Array.isArray(binding.runtimePayload)
+        ? (binding.runtimePayload as Record<string, unknown>)
+        : undefined;
+    // stopAll already persisted recovery intent. A following Grok/ACP
+    // turn.completed (cancelled) or session.exited must not delete it.
+    const preserveShutdownRecoveryMarker =
+      payload?.lastRuntimeEvent === "provider.stopAll" &&
+      readProviderRestartRecoveryMarker(binding.runtimePayload) !== undefined;
+
     yield* directory.upsert({
       threadId: event.threadId,
       provider: binding.provider,
@@ -374,7 +386,7 @@ const makeProviderService = Effect.fn("makeProviderService")(function* (
       status: lifecycle.status,
       runtimePayload: {
         ...(lifecycle.activeTurnId !== undefined ? { activeTurnId: lifecycle.activeTurnId } : {}),
-        ...(lifecycle.restartRecovery !== undefined
+        ...(lifecycle.restartRecovery !== undefined && !preserveShutdownRecoveryMarker
           ? { restartRecovery: lifecycle.restartRecovery }
           : {}),
         lastRuntimeEvent: event.type,
diff --git a/apps/server/src/serverRuntimeStartup.reconcile.test.ts b/apps/server/src/serverRuntimeStartup.reconcile.test.ts
index df42ff59afb1..0553afb43a11 100644
--- a/apps/server/src/serverRuntimeStartup.reconcile.test.ts
+++ b/apps/server/src/serverRuntimeStartup.reconcile.test.ts
@@ -19,6 +19,7 @@ import * as ProjectionSnapshotQuery from "./orchestration/Services/ProjectionSna
 import { ProviderSessionDirectoryPersistenceError } from "./provider/Errors.ts";
 import * as ProviderService from "./provider/Services/ProviderService.ts";
 import * as ProviderSessionDirectory from "./provider/Services/ProviderSessionDirectory.ts";
+import { makeProviderRestartRecoveryMarker } from "./provider/ProviderRestartRecovery.ts";
 import * as ServerRuntimeStartup from "./serverRuntimeStartup.ts";
 
 const providerInstanceId = ProviderInstanceId.make("codex");
@@ -437,6 +438,49 @@ it.effect("retries continuation preparation before settling a persistent failure
   );
 });
 
+it.effect("does not settle Tim Smart restart-recovery markers as update orphans", () => {
+  const recovering = makeThread("thread-restart-recovery", "running", TurnId.make("turn-live"));
+  const dispatched: OrchestrationCommand[] = [];
+  const upserts: ProviderSessionDirectory.ProviderRuntimeBinding[] = [];
+  const marker = makeProviderRestartRecoveryMarker({
+    interruptedProviderTurnId: TurnId.make("turn-live"),
+    shutdownAt: updatedAt,
+  });
+
+  return runReconciliation({
+    threads: [recovering],
+    directory: {
+      getBinding: (candidate) =>
+        Effect.succeed(
+          Option.some({
+            threadId: candidate,
+            provider: ProviderDriverKind.make("codex"),
+            providerInstanceId,
+            status: "stopped" as const,
+            resumeCursor: { cursor: candidate },
+            runtimePayload: {
+              activeTurnId: null,
+              restartRecovery: marker,
+            },
+          }),
+        ),
+      upsert: (binding) => Effect.sync(() => upserts.push(binding)),
+      getProvider: () => Effect.die("unused"),
+      listThreadIds: () => Effect.die("unused"),
+      listBindings: () => Effect.die("unused"),
+    },
+    dispatch: (command) =>
+      Effect.sync(() => dispatched.push(command)).pipe(Effect.as({ sequence: dispatched.length })),
+  }).pipe(
+    Effect.tap(() =>
+      Effect.sync(() => {
+        assert.deepStrictEqual(dispatched, []);
+        assert.deepStrictEqual(upserts, []);
+      }),
+    ),
+  );
+});
+
 it.effect("reconciles multiple active and archived orphans but skips live sessions", () => {
   const starting = makeThread("thread-starting", "starting");
   const running = makeThread("thread-running", "running", TurnId.make("turn-running"));
diff --git a/apps/server/src/serverRuntimeStartup.ts b/apps/server/src/serverRuntimeStartup.ts
index 6a98eaffb7d4..3e3885df0da6 100644
--- a/apps/server/src/serverRuntimeStartup.ts
+++ b/apps/server/src/serverRuntimeStartup.ts
@@ -43,6 +43,7 @@ import * as AnalyticsService from "./telemetry/AnalyticsService.ts";
 import * as ServerEnvironment from "./environment/ServerEnvironment.ts";
 import * as EnvironmentAuth from "./auth/EnvironmentAuth.ts";
 import * as ProviderService from "./provider/Services/ProviderService.ts";
+import { readProviderRestartRecoveryMarker } from "./provider/ProviderRestartRecovery.ts";
 import * as ProviderSessionDirectory from "./provider/Services/ProviderSessionDirectory.ts";
 import * as ProviderSessionReaper from "./provider/Services/ProviderSessionReaper.ts";
 import * as OrphanSessionRecovery from "./orchestration/Services/OrphanSessionRecovery.ts";
@@ -517,6 +518,12 @@ export const reconcileProviderSessions = Effect.gen(function* () {
     const continuationMarked =
       continuationTurnId !== null &&
       (session.activeTurnId === null || continuationTurnId === session.activeTurnId);
+    const restartRecoveryMarked =
+      Option.isSome(binding) &&
+      readProviderRestartRecoveryMarker(binding.value.runtimePayload) !== undefined;
+    if (restartRecoveryMarked) {
+      continue;
+    }
     const settleAsError = (lastError: string) =>
       Effect.gen(function* () {
         yield* Effect.gen(function* () {