diff --git a/CHANGELOG.md b/CHANGELOG.md
index 1b119bb..bff7554 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -2,6 +2,68 @@
 
 All notable changes to Switchboard Core are documented here.
 
+## v0.5.2 — Chat Surface
+
+### Added
+
+- **`chat` surface package**: Full messaging UI built on `chat-core` library.
+  Route `/s/chat`, icon `💬`, depends on `chat-core`.
+- **Conversation list sidebar**: Conversations sorted by recent activity, last
+  message preview, relative timestamps, unread count badges. "New" button
+  for conversation creation.
+- **Message thread**: Paginated message history with cursor-based load-more on
+  scroll-to-top. Participant avatars, display names, timestamps. Scroll-to-
+  bottom on new messages.
+- **Compose bar**: Auto-resizing textarea, Enter-to-send, Shift+Enter for
+  newline. Typing indicator broadcast on keypress (3s debounce).
+- **Participant sidebar**: Collapsible right panel with participant list, online
+  status via presence hub, role badges. Add participant via `sw.ui.Dialog` +
+  `sw.ui.UserPicker`. Remove participant with confirmation.
+- **Create conversation dialog**: Group or Direct Message type selector. Multi-
+  user picker with chip display for group, single picker for DM. Auto-title
+  from participant names.
+- **Typing indicators**: Realtime broadcast via `POST /typing/:id` Starlark
+  endpoint. Frontend subscribes to `conversation:{id}` channel, shows
+  "X is typing..." with 4s auto-expire. Handles multiple typers.
+- **Read receipts**: Auto mark-read on conversation focus and new incoming
+  messages. Unread counts in conversation list, cleared on selection.
+- **Message editing**: Inline edit mode on own messages with textarea. Save on
+  Enter, cancel on Escape. "(edited)" label on edited messages. Realtime
+  propagation to other participants.
+- **Message deletion**: Confirm dialog before delete. "This message was deleted"
+  placeholder. Admin can delete any message. Realtime propagation.
+
+### Fixed
+
+- **Stale token login deadlock**: REST client's 401→refresh→retry loop caused
+  a deadlock when the refresh endpoint itself returned 401 (stale DB). Auth
+  endpoints (`/auth/login`, `/auth/refresh`, `/auth/register`) are now excluded
+  from the retry loop. Defensive 8s timeout on `auth.boot()` ensures login
+  page always renders even on unexpected hangs.
+- **Bundled package permissions**: Bundled packages were installed with
+  `pending_review` status and `granted=0` permissions, requiring manual admin
+  approval. Bundled installer now auto-grants all declared permissions and
+  sets status to `active` on install.
+- **Creator display name**: `chat-core.create()` now accepts
+  `creator_display_name` so the conversation creator shows a readable name
+  in the participant sidebar instead of a raw UUID.
+- **Chat dark mode theming**: Replaced non-existent CSS variable names with
+  actual theme tokens from `variables.css`. Fixes invisible text and wrong
+  backgrounds in dark mode.
+- **Dialog dropdown clipping**: UserPicker autocomplete dropdown in dialogs
+  (New Conversation, Add Participant) no longer clipped by `overflow: auto`
+  on `.sw-dialog__body`.
+- **User menu at scaled UI**: Menu primitive now divides anchor coordinates
+  and viewport dimensions by `sw.shell.getScale()` to compensate for CSS
+  `transform: scale()` on `#surfaceInner`. Fixes menu clipping at 110%+.
+
+### Changed
+
+- **Named Docker volume**: `docker-compose.yml` switched from bind mount
+  (`./data:/data`) to named volume (`sb_data:/data`). Fixes volume mount
+  failures when Docker daemon runs on a remote host (DinD, k8s pod).
+  Deterministic wipe via `docker compose down -v`.
+
 ## v0.5.1 — Chat Core Library
 
 ### Added
diff --git a/ROADMAP.md b/ROADMAP.md
index 0959089..907a9e7 100644
--- a/ROADMAP.md
+++ b/ROADMAP.md
@@ -358,19 +358,19 @@ participation is post-MVP.
 | Admin filter Dropdown | ✅ | Replaced button group with themed `Dropdown` primitive for type filter. Keyboard nav, consistent theming via CSS vars. |
 | Unicode security gate | ✅ | `ScanSource()` detects variation selectors, bidi overrides, zero-width chars, tag characters. `Verdict()` blocks GlassWorm payloads and Trojan Source (CVE-2021-42574). Two enforcement points: install (422) + Starlark exec. 23 new tests. |
 
-### v0.5.2 — Chat Surface (planned)
+### v0.5.2 — Chat Surface
 
 | Step | Status | Description |
 |------|--------|-------------|
-| Conversation list | | Sidebar: conversation list with last message preview, unread badge, timestamp. Create conversation button. |
-| Message thread | | Main pane: message history with participant avatars, timestamps, content. Virtual scroll for long threads. |
-| Compose bar | | Text input with Enter-to-send, Shift+Enter for newline. Markdown support via existing inline renderer. |
-| Participant sidebar | | Collapsible right panel: participant list with online status (via kernel presence hub). Add/remove participants using `sw.ui.Dialog`. |
-| 1:1 and group | | Direct messages (two participants) and group conversations. Type field on conversation. |
-| Typing indicators | | `realtime.publish("conversation:{id}", "typing", {participant_id})` on keypress with debounce. Surface shows "X is typing…" with auto-expire. |
-| Read receipts | | Mark-read on scroll/focus via `chat.mark_read()`. Unread count in conversation list. |
-| Message editing | | Edit own messages. `edited_at` timestamp displayed. Edit via `PUT /messages/:id`. |
-| Message deletion | | Soft-delete own messages. Replaced with "message deleted" placeholder. |
+| Conversation list | done | Sidebar: conversation list with last message preview, unread badge, timestamp. Create conversation button. |
+| Message thread | done | Main pane: message history with participant avatars, timestamps, content. Scroll-to-load-more for long threads. |
+| Compose bar | done | Text input with Enter-to-send, Shift+Enter for newline. Auto-resize textarea. |
+| Participant sidebar | done | Collapsible right panel: participant list with online status (via kernel presence hub). Add/remove participants using `sw.ui.Dialog`. |
+| 1:1 and group | done | Direct messages (two participants) and group conversations. Type field on conversation. |
+| Typing indicators | done | `realtime.publish("conversation:{id}", "typing", {participant_id})` on keypress with debounce. Surface shows "X is typing…" with auto-expire. |
+| Read receipts | done | Mark-read on scroll/focus via `chat.mark_read()`. Unread count in conversation list. |
+| Message editing | done | Edit own messages. `edited_at` timestamp displayed. Edit via `PUT /messages/:id`. |
+| Message deletion | done | Soft-delete own messages. Replaced with "message deleted" placeholder. |
 
 ### v0.5.3 — Chat Polish + Integration Testing (planned)
 
@@ -386,6 +386,7 @@ participation is post-MVP.
 | Item | Description |
 |------|-------------|
 | "Requires Review" filter | Dropdown filter option or dedicated button for `pending_review` packages. Useful when the package list grows long. |
+| Extreme UI scale polish | At 150%+ scale: user menu items overflow viewport (need scroll), topbar elements clipped. Ensure all surfaces and menus are usable at scale extremes (80%–200%). |
 
 ### v0.5.4 — Package Updates (planned)
 
diff --git a/VERSION b/VERSION
index 4b9fcbe..cb0c939 100644
--- a/VERSION
+++ b/VERSION
@@ -1 +1 @@
-0.5.1
+0.5.2
diff --git a/docker-compose.yml b/docker-compose.yml
index be37571..bb1419f 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -7,8 +7,8 @@
 #   docker compose up --build
 #   open http://localhost:3000
 #
-# Data persists in ./data/ between restarts.
-# To reset: rm -rf ./data/
+# Data persists in the `sb_data` named volume between restarts.
+# To reset: docker compose down -v
 #
 # For Postgres / multi-replica / k8s deployment see k8s/ and Dockerfile.
 
@@ -37,7 +37,10 @@ services:
       # Dev seed users — ignored if ENVIRONMENT=production
       SEED_USERS: ${SEED_USERS:-alice:password123:user,bob:password456:user,charlie:password789:user}
     volumes:
-      - ./data:/data
+      - sb_data:/data
     ports:
       - "3000:80"
     restart: unless-stopped
+
+volumes:
+  sb_data:
diff --git a/packages/chat-core/script.star b/packages/chat-core/script.star
index 3bc9845..5b0be12 100644
--- a/packages/chat-core/script.star
+++ b/packages/chat-core/script.star
@@ -66,7 +66,7 @@ def _now():
 #  Exported API (lib.require("chat-core"))
 # ═══════════════════════════════════════════════
 
-def create(title, type="group", participants=None, creator_id=""):
+def create(title, type="group", participants=None, creator_id="", creator_display_name=""):
     """Create a conversation and add initial participants.
 
     Args:
@@ -74,6 +74,7 @@ def create(title, type="group", participants=None, creator_id=""):
         type: "direct" or "group" (default "group")
         participants: list of dicts with {id, type?, display_name?, role?}
         creator_id: user ID of the creator (added as admin)
+        creator_display_name: display name of the creator
 
     Returns:
         dict with conversation data
@@ -95,7 +96,7 @@ def create(title, type="group", participants=None, creator_id=""):
             "conversation_id": cid,
             "participant_id": _str(creator_id),
             "participant_type": "user",
-            "display_name": "",
+            "display_name": _str(creator_display_name),
             "role": "admin",
             "joined_at": "",
         })
@@ -430,8 +431,9 @@ def _handle_create_conversation(req, user_id):
     title = _str(body.get("title", ""))
     conv_type = _str(body.get("type", "group"))
     participants_list = body.get("participants", [])
+    creator_name = _str(body.get("creator_display_name", ""))
 
-    conv = create(title, conv_type, participants_list, user_id)
+    conv = create(title, conv_type, participants_list, user_id, creator_name)
     return _resp(201, conv)
 
 
diff --git a/packages/chat/css/main.css b/packages/chat/css/main.css
new file mode 100644
index 0000000..a678f2e
--- /dev/null
+++ b/packages/chat/css/main.css
@@ -0,0 +1,538 @@
+/* ═══════════════════════════════════════════
+   Chat Surface — Styles (v0.1.0)
+   Uses variables.css theme tokens:
+     --bg, --bg-surface, --bg-raised, --bg-hover, --bg-secondary
+     --text, --text-2, --text-3
+     --accent, --accent-dim, --border, --border-light
+     --input-bg, --danger, --danger-bg, --success
+   ═══════════════════════════════════════════ */
+
+/* ── Layout ─────────────────────────────── */
+
+.chat-app {
+  display: flex;
+  flex-direction: column;
+  height: 100vh;
+  overflow: hidden;
+  background: var(--bg);
+  color: var(--text);
+}
+
+.chat-loading {
+  display: flex;
+  align-items: center;
+  justify-content: center;
+  height: 100vh;
+}
+
+.chat-body {
+  display: flex;
+  flex: 1;
+  min-height: 0;
+}
+
+.chat-main {
+  display: flex;
+  flex-direction: column;
+  flex: 1;
+  min-width: 0;
+}
+
+/* ── Topbar extras ──────────────────────── */
+
+.chat-topbar__thread-title {
+  font-weight: 600;
+  font-size: 14px;
+  margin-right: 8px;
+  color: var(--text-2);
+}
+
+/* ── Sidebar ────────────────────────────── */
+
+.chat-sidebar {
+  width: 280px;
+  min-width: 280px;
+  border-right: 1px solid var(--border);
+  display: flex;
+  flex-direction: column;
+  background: var(--bg-secondary);
+}
+
+.chat-sidebar__header {
+  display: flex;
+  align-items: center;
+  justify-content: space-between;
+  padding: 12px 16px;
+  border-bottom: 1px solid var(--border);
+}
+
+.chat-sidebar__title {
+  font-weight: 600;
+  font-size: 14px;
+}
+
+.chat-sidebar__list {
+  flex: 1;
+  overflow-y: auto;
+}
+
+.chat-sidebar__empty {
+  padding: 24px 16px;
+  text-align: center;
+  color: var(--text-3);
+  font-size: 13px;
+}
+
+.chat-sidebar__item {
+  padding: 10px 16px;
+  cursor: pointer;
+  border-bottom: 1px solid var(--border-light);
+  transition: background 0.1s;
+}
+
+.chat-sidebar__item:hover {
+  background: var(--bg-hover);
+}
+
+.chat-sidebar__item--active {
+  background: var(--accent-dim);
+}
+
+.chat-sidebar__item-top {
+  display: flex;
+  justify-content: space-between;
+  align-items: baseline;
+  margin-bottom: 2px;
+}
+
+.chat-sidebar__item-title {
+  font-weight: 600;
+  font-size: 13px;
+  white-space: nowrap;
+  overflow: hidden;
+  text-overflow: ellipsis;
+  flex: 1;
+  margin-right: 8px;
+}
+
+.chat-sidebar__item-time {
+  font-size: 11px;
+  color: var(--text-3);
+  white-space: nowrap;
+}
+
+.chat-sidebar__item-bottom {
+  display: flex;
+  align-items: center;
+  gap: 6px;
+}
+
+.chat-sidebar__item-preview {
+  font-size: 12px;
+  color: var(--text-2);
+  white-space: nowrap;
+  overflow: hidden;
+  text-overflow: ellipsis;
+  flex: 1;
+}
+
+.chat-sidebar__badge {
+  background: var(--accent);
+  color: var(--text-on-color);
+  font-size: 11px;
+  font-weight: 600;
+  min-width: 18px;
+  height: 18px;
+  border-radius: 9px;
+  display: flex;
+  align-items: center;
+  justify-content: center;
+  padding: 0 5px;
+  flex-shrink: 0;
+}
+
+/* ── Message Thread ─────────────────────── */
+
+.chat-thread {
+  flex: 1;
+  display: flex;
+  flex-direction: column;
+  min-height: 0;
+}
+
+.chat-thread--empty {
+  align-items: center;
+  justify-content: center;
+  color: var(--text-3);
+}
+
+.chat-thread__messages {
+  flex: 1;
+  overflow-y: auto;
+  padding: 16px;
+  display: flex;
+  flex-direction: column;
+  gap: 4px;
+}
+
+.chat-thread__loading {
+  display: flex;
+  justify-content: center;
+  padding: 24px;
+}
+
+.chat-thread__load-more {
+  align-self: center;
+  background: none;
+  border: 1px solid var(--border);
+  border-radius: 4px;
+  padding: 4px 12px;
+  font-size: 12px;
+  color: var(--text-2);
+  cursor: pointer;
+  margin-bottom: 8px;
+}
+
+.chat-thread__load-more:hover {
+  background: var(--bg-hover);
+}
+
+.chat-thread__typing {
+  padding: 4px 16px 8px;
+  font-size: 12px;
+  color: var(--text-3);
+  font-style: italic;
+}
+
+/* ── Message Bubble ─────────────────────── */
+
+.chat-msg {
+  display: flex;
+  align-items: flex-start;
+  gap: 8px;
+  padding: 4px 0;
+  position: relative;
+}
+
+.chat-msg--own {
+  flex-direction: row-reverse;
+}
+
+.chat-msg--system {
+  justify-content: center;
+  padding: 2px 0;
+}
+
+.chat-msg--system span {
+  font-size: 12px;
+  color: var(--text-3);
+  font-style: italic;
+}
+
+.chat-msg--deleted {
+  justify-content: center;
+  padding: 2px 0;
+}
+
+.chat-msg--deleted em {
+  font-size: 12px;
+  color: var(--text-3);
+}
+
+.chat-msg__body {
+  max-width: 65%;
+  background: var(--bg-raised);
+  border-radius: 12px;
+  padding: 8px 12px;
+}
+
+.chat-msg--own .chat-msg__body {
+  background: var(--accent);
+  color: var(--text-on-color);
+}
+
+.chat-msg__name {
+  font-size: 11px;
+  font-weight: 600;
+  color: var(--text-2);
+  display: block;
+  margin-bottom: 2px;
+}
+
+.chat-msg__content {
+  font-size: 14px;
+  line-height: 1.4;
+  white-space: pre-wrap;
+  word-break: break-word;
+}
+
+.chat-msg__meta {
+  display: flex;
+  gap: 6px;
+  align-items: center;
+  margin-top: 2px;
+}
+
+.chat-msg__time {
+  font-size: 10px;
+  color: var(--text-3);
+}
+
+.chat-msg--own .chat-msg__time {
+  color: rgba(255, 255, 255, 0.7);
+}
+
+.chat-msg__edited {
+  font-size: 10px;
+  color: var(--text-3);
+  font-style: italic;
+}
+
+.chat-msg--own .chat-msg__edited {
+  color: rgba(255, 255, 255, 0.7);
+}
+
+/* ── Message Actions ────────────────────── */
+
+.chat-msg__actions {
+  display: flex;
+  gap: 2px;
+  position: absolute;
+  top: 0;
+  right: 0;
+  background: var(--bg-surface);
+  border: 1px solid var(--border);
+  border-radius: 6px;
+  box-shadow: var(--shadow-lg);
+  padding: 2px;
+}
+
+.chat-msg--own .chat-msg__actions {
+  right: auto;
+  left: 0;
+}
+
+.chat-msg__action {
+  background: none;
+  border: none;
+  padding: 4px 6px;
+  cursor: pointer;
+  border-radius: 4px;
+  font-size: 14px;
+  line-height: 1;
+  color: var(--text-2);
+}
+
+.chat-msg__action:hover {
+  background: var(--bg-hover);
+}
+
+.chat-msg__action--danger:hover {
+  background: var(--danger-bg);
+  color: var(--danger);
+}
+
+/* ── Message Edit ───────────────────────── */
+
+.chat-msg__edit {
+  display: flex;
+  flex-direction: column;
+  gap: 6px;
+}
+
+.chat-msg__edit-input {
+  width: 100%;
+  min-width: 200px;
+  border: 1px solid var(--border);
+  border-radius: 6px;
+  padding: 6px 8px;
+  font-size: 14px;
+  font-family: inherit;
+  resize: vertical;
+  background: var(--input-bg);
+  color: var(--text);
+}
+
+.chat-msg__edit-actions {
+  display: flex;
+  gap: 6px;
+  justify-content: flex-end;
+}
+
+/* ── Compose Bar ────────────────────────── */
+
+.chat-compose {
+  display: flex;
+  align-items: flex-end;
+  gap: 8px;
+  padding: 12px 16px;
+  border-top: 1px solid var(--border);
+  background: var(--bg);
+}
+
+.chat-compose__input {
+  flex: 1;
+  border: 1px solid var(--border);
+  border-radius: 8px;
+  padding: 8px 12px;
+  font-size: 14px;
+  font-family: inherit;
+  resize: none;
+  line-height: 1.4;
+  max-height: 160px;
+  background: var(--input-bg);
+  color: var(--text);
+}
+
+.chat-compose__input:focus {
+  outline: none;
+  border-color: var(--accent);
+  box-shadow: 0 0 0 2px var(--accent-dim);
+}
+
+/* ── Participant Sidebar ────────────────── */
+
+.chat-participants {
+  width: 240px;
+  min-width: 240px;
+  border-left: 1px solid var(--border);
+  display: flex;
+  flex-direction: column;
+  background: var(--bg-secondary);
+}
+
+.chat-participants__header {
+  display: flex;
+  align-items: center;
+  justify-content: space-between;
+  padding: 12px 16px;
+  border-bottom: 1px solid var(--border);
+  font-weight: 600;
+  font-size: 13px;
+}
+
+.chat-participants__list {
+  flex: 1;
+  overflow-y: auto;
+  padding: 8px 0;
+}
+
+.chat-participants__item {
+  display: flex;
+  align-items: center;
+  gap: 8px;
+  padding: 6px 16px;
+}
+
+.chat-participants__name {
+  flex: 1;
+  font-size: 13px;
+  white-space: nowrap;
+  overflow: hidden;
+  text-overflow: ellipsis;
+}
+
+.chat-participants__badge {
+  font-size: 10px;
+  color: var(--accent);
+  font-weight: 600;
+  margin-left: 4px;
+}
+
+.chat-participants__status {
+  width: 8px;
+  height: 8px;
+  border-radius: 50%;
+  background: var(--text-3);
+  flex-shrink: 0;
+}
+
+.chat-participants__status--online {
+  background: var(--success);
+}
+
+.chat-participants__remove {
+  background: none;
+  border: none;
+  color: var(--text-3);
+  cursor: pointer;
+  font-size: 16px;
+  padding: 0 4px;
+  line-height: 1;
+}
+
+.chat-participants__remove:hover {
+  color: var(--danger);
+}
+
+/* ── New Conversation Dialog ────────────── */
+
+.chat-new {
+  display: flex;
+  flex-direction: column;
+  gap: 12px;
+  min-width: 320px;
+}
+
+.chat-new__type {
+  display: flex;
+  gap: 16px;
+}
+
+.chat-new__type label {
+  display: flex;
+  align-items: center;
+  gap: 6px;
+  font-size: 13px;
+  cursor: pointer;
+}
+
+.chat-new__title {
+  border: 1px solid var(--border);
+  border-radius: 6px;
+  padding: 8px 10px;
+  font-size: 14px;
+  font-family: inherit;
+  background: var(--input-bg);
+  color: var(--text);
+}
+
+.chat-new__selected {
+  display: flex;
+  flex-wrap: wrap;
+  gap: 6px;
+}
+
+.chat-new__chip {
+  display: inline-flex;
+  align-items: center;
+  gap: 4px;
+  background: var(--accent-dim);
+  color: var(--accent);
+  font-size: 12px;
+  font-weight: 500;
+  padding: 3px 8px;
+  border-radius: 12px;
+}
+
+.chat-new__chip button {
+  background: none;
+  border: none;
+  color: inherit;
+  cursor: pointer;
+  font-size: 14px;
+  padding: 0;
+  line-height: 1;
+}
+
+/* ── Dialog UserPicker overflow fix ─────── */
+/* Allow the autocomplete dropdown to overflow the dialog body.
+   Applies to both New Conversation and Add Participant dialogs. */
+
+.sw-dialog__body:has(.sw-user-picker) {
+  overflow: visible;
+}
+
+.sw-dialog:has(.sw-user-picker) {
+  overflow: visible;
+}
diff --git a/packages/chat/js/main.js b/packages/chat/js/main.js
new file mode 100644
index 0000000..3633a98
--- /dev/null
+++ b/packages/chat/js/main.js
@@ -0,0 +1,772 @@
+/**
+ * Chat — Surface Entry Point (v0.1.0)
+ *
+ * Messaging surface built on chat-core library:
+ *   sw.api.ext('chat-core')  — conversation/message CRUD
+ *   sw.api.ext('chat')       — typing indicators
+ *   sw.realtime              — live events
+ *   sw.ui.*                  — primitive components
+ *   sw.shell.Topbar          — navigation bar
+ */
+(async function () {
+  'use strict';
+
+  var mount = document.getElementById('extension-mount');
+  if (!mount) return;
+
+  var base = window.__BASE__ || '';
+  var ver  = window.__VERSION__ || '0';
+
+  // ── Boot SDK ───────────────────────────────
+  try {
+    if (!window.preact) {
+      var { h, render } = await import(base + '/js/sw/vendor/preact.module.js');
+      var hooksModule   = await import(base + '/js/sw/vendor/hooks.module.js');
+      var htmModule     = await import(base + '/js/sw/vendor/htm.module.js');
+      window.preact = { h, render };
+      window.hooks  = hooksModule;
+      window.html   = htmModule.default.bind(h);
+    }
+    var sdk = await import(base + '/js/sw/sdk/index.js?v=' + ver);
+    await sdk.boot();
+  } catch (e) {
+    mount.innerHTML = '<p style="color:var(--danger);padding:24px;">SDK boot failed: ' + e.message + '</p>';
+    return;
+  }
+
+  var { html } = window;
+  var { useState, useEffect, useCallback, useRef, useMemo } = hooks;
+  var { render } = preact;
+
+  // ── SDK modules ────────────────────────────
+  var api     = sw.api.ext('chat-core');
+  var chatApi = sw.api.ext('chat');
+  var { Button, Spinner, Avatar, Dialog, Tabs } = sw.ui;
+  var Topbar = sw.shell.Topbar;
+
+  // Import UserPicker directly (not in sw.ui index)
+  var { UserPicker } = await import(base + '/js/sw/primitives/user-picker.js?v=' + ver);
+
+  // ── Helpers ────────────────────────────────
+  var _timers = {};
+  function debounce(key, fn, ms) {
+    clearTimeout(_timers[key]);
+    _timers[key] = setTimeout(fn, ms);
+  }
+
+  function timeAgo(ts) {
+    if (!ts) return '';
+    var d = new Date(ts);
+    var now = Date.now();
+    var diff = Math.floor((now - d.getTime()) / 1000);
+    if (diff < 60) return 'now';
+    if (diff < 3600) return Math.floor(diff / 60) + 'm';
+    if (diff < 86400) return Math.floor(diff / 3600) + 'h';
+    if (diff < 604800) return Math.floor(diff / 86400) + 'd';
+    return d.toLocaleDateString();
+  }
+
+  function truncate(str, len) {
+    if (!str) return '';
+    return str.length > len ? str.slice(0, len) + '\u2026' : str;
+  }
+
+  function currentUserId() {
+    return sw.auth?.user?.id || '';
+  }
+
+  function currentDisplayName() {
+    return sw.auth?.user?.display_name || sw.auth?.user?.username || '';
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  ConversationList — left sidebar
+  // ═══════════════════════════════════════════
+
+  function ConversationList({ selected, onSelect, onNew, conversations, unread }) {
+    return html`
+      <div class="chat-sidebar">
+        <div class="chat-sidebar__header">
+          <span class="chat-sidebar__title">Conversations</span>
+          <${Button} size="sm" onClick=${onNew}>New<//>
+        </div>
+        <div class="chat-sidebar__list">
+          ${conversations.length === 0 && html`
+            <div class="chat-sidebar__empty">No conversations yet</div>`}
+          ${conversations.map(c => html`
+            <div key=${c.id}
+                 class=${'chat-sidebar__item' + (selected === c.id ? ' chat-sidebar__item--active' : '')}
+                 onClick=${() => onSelect(c.id)}>
+              <div class="chat-sidebar__item-top">
+                <span class="chat-sidebar__item-title">${c.title || 'Untitled'}</span>
+                <span class="chat-sidebar__item-time">${timeAgo(c.updated_at || c.created_at)}</span>
+              </div>
+              <div class="chat-sidebar__item-bottom">
+                <span class="chat-sidebar__item-preview">
+                  ${c.last_message
+                    ? truncate(c.last_message.content_type === 'system'
+                        ? '\u2022 ' + c.last_message.content
+                        : c.last_message.content, 60)
+                    : 'No messages yet'}
+                </span>
+                ${(unread[c.id] || 0) > 0 && html`
+                  <span class="chat-sidebar__badge">${unread[c.id]}</span>`}
+              </div>
+            </div>`)}
+        </div>
+      </div>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  MessageBubble — single message
+  // ═══════════════════════════════════════════
+
+  function MessageBubble({ msg, isOwn, onEdit, onDelete }) {
+    var [editing, setEditing] = useState(false);
+    var [editText, setEditText] = useState('');
+    var [hover, setHover] = useState(false);
+
+    if (msg._deleted) {
+      return html`
+        <div class="chat-msg chat-msg--deleted">
+          <em>This message was deleted</em>
+        </div>`;
+    }
+
+    if (msg.content_type === 'system') {
+      return html`
+        <div class="chat-msg chat-msg--system">
+          <span>${msg.content}</span>
+        </div>`;
+    }
+
+    function startEdit() {
+      setEditText(msg.content);
+      setEditing(true);
+    }
+
+    function cancelEdit() {
+      setEditing(false);
+      setEditText('');
+    }
+
+    function saveEdit() {
+      if (editText.trim() && editText !== msg.content) {
+        onEdit(msg.id, editText.trim());
+      }
+      setEditing(false);
+    }
+
+    function onEditKeyDown(e) {
+      if (e.key === 'Escape') cancelEdit();
+      if (e.key === 'Enter' && !e.shiftKey) { e.preventDefault(); saveEdit(); }
+    }
+
+    return html`
+      <div class=${'chat-msg' + (isOwn ? ' chat-msg--own' : '')}
+           onMouseEnter=${() => setHover(true)}
+           onMouseLeave=${() => setHover(false)}>
+        ${!isOwn && html`
+          <${Avatar} name=${msg._display_name || msg.participant_id} size="sm" />`}
+        <div class="chat-msg__body">
+          ${!isOwn && html`<span class="chat-msg__name">${msg._display_name || msg.participant_id}</span>`}
+          ${editing ? html`
+            <div class="chat-msg__edit">
+              <textarea class="chat-msg__edit-input"
+                        value=${editText}
+                        onInput=${e => setEditText(e.target.value)}
+                        onKeyDown=${onEditKeyDown}
+                        rows="2" />
+              <div class="chat-msg__edit-actions">
+                <${Button} size="sm" variant="secondary" onClick=${cancelEdit}>Cancel<//>
+                <${Button} size="sm" onClick=${saveEdit}>Save<//>
+              </div>
+            </div>
+          ` : html`
+            <div class="chat-msg__content">${msg.content}</div>`}
+          <div class="chat-msg__meta">
+            <span class="chat-msg__time">${timeAgo(msg.created_at)}</span>
+            ${msg.edited_at && html`<span class="chat-msg__edited">(edited)</span>`}
+          </div>
+        </div>
+        ${hover && isOwn && !editing && html`
+          <div class="chat-msg__actions">
+            <button class="chat-msg__action" onClick=${startEdit} title="Edit">&#9998;</button>
+            <button class="chat-msg__action chat-msg__action--danger" onClick=${() => onDelete(msg.id)} title="Delete">&#128465;</button>
+          </div>`}
+      </div>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  MessageThread — center pane
+  // ═══════════════════════════════════════════
+
+  function MessageThread({ conversationId, participants }) {
+    var [messages, setMessages] = useState([]);
+    var [loading, setLoading] = useState(false);
+    var [hasMore, setHasMore] = useState(false);
+    var [nextCursor, setNextCursor] = useState('');
+    var [typingUsers, setTypingUsers] = useState({});
+    var bottomRef = useRef(null);
+    var listRef = useRef(null);
+    var userId = currentUserId();
+
+    // Build participant lookup
+    var partMap = useMemo(() => {
+      var m = {};
+      (participants || []).forEach(p => { m[p.participant_id] = p.display_name || p.participant_id; });
+      return m;
+    }, [participants]);
+
+    // Enrich messages with display names
+    function enrichMessages(msgs) {
+      return msgs.map(m => ({ ...m, _display_name: partMap[m.participant_id] || m.participant_id }));
+    }
+
+    // Load initial messages
+    useEffect(() => {
+      if (!conversationId) { setMessages([]); return; }
+      setLoading(true);
+      setMessages([]);
+      setNextCursor('');
+      setHasMore(false);
+      api.get('/messages/' + conversationId + '?limit=50').then(res => {
+        var data = res || {};
+        var msgs = (data.messages || []).reverse();
+        setMessages(enrichMessages(msgs));
+        setHasMore(!!data.has_more);
+        setNextCursor(data.next_cursor || '');
+        setLoading(false);
+        setTimeout(() => scrollToBottom(), 50);
+      }).catch(() => setLoading(false));
+    }, [conversationId, partMap]);
+
+    // Load older messages
+    function loadMore() {
+      if (!hasMore || !nextCursor || loading) return;
+      setLoading(true);
+      api.get('/messages/' + conversationId + '?limit=50&cursor=' + encodeURIComponent(nextCursor)).then(res => {
+        var data = res || {};
+        var older = (data.messages || []).reverse();
+        setMessages(prev => [...enrichMessages(older), ...prev]);
+        setHasMore(!!data.has_more);
+        setNextCursor(data.next_cursor || '');
+        setLoading(false);
+      }).catch(() => setLoading(false));
+    }
+
+    function scrollToBottom() {
+      if (bottomRef.current) bottomRef.current.scrollIntoView({ behavior: 'auto' });
+    }
+
+    // Scroll listener for load-more
+    useEffect(() => {
+      var el = listRef.current;
+      if (!el) return;
+      function onScroll() {
+        if (el.scrollTop < 80 && hasMore && !loading) loadMore();
+      }
+      el.addEventListener('scroll', onScroll);
+      return () => el.removeEventListener('scroll', onScroll);
+    }, [hasMore, loading, nextCursor, conversationId]);
+
+    // Realtime: new messages, edits, deletes
+    useEffect(() => {
+      if (!conversationId) return;
+      var channel = 'conversation:' + conversationId;
+
+      var unsubs = [
+        sw.realtime.subscribe(channel, 'message', (payload) => {
+          var msg = { ...payload, _display_name: partMap[payload.participant_id] || payload.participant_id };
+          setMessages(prev => [...prev, msg]);
+          setTimeout(() => scrollToBottom(), 50);
+          // Auto mark read if from someone else
+          if (payload.participant_id !== userId && payload.id) {
+            api.post('/read/' + conversationId, { last_read_message_id: payload.id }).catch(() => {});
+          }
+        }),
+        sw.realtime.subscribe(channel, 'message.edited', (payload) => {
+          setMessages(prev => prev.map(m =>
+            m.id === payload.id ? { ...m, content: payload.content, edited_at: 'true' } : m
+          ));
+        }),
+        sw.realtime.subscribe(channel, 'message.deleted', (payload) => {
+          setMessages(prev => prev.map(m =>
+            m.id === payload.id ? { ...m, _deleted: true, content: '' } : m
+          ));
+        }),
+      ];
+
+      // Typing indicators
+      var typingTimers = {};
+      unsubs.push(sw.realtime.subscribe(channel, 'typing', (payload) => {
+        var pid = payload.participant_id;
+        if (pid === userId) return;
+        setTypingUsers(prev => ({ ...prev, [pid]: payload.display_name || pid }));
+        clearTimeout(typingTimers[pid]);
+        typingTimers[pid] = setTimeout(() => {
+          setTypingUsers(prev => {
+            var next = { ...prev };
+            delete next[pid];
+            return next;
+          });
+        }, 4000);
+      }));
+
+      return () => {
+        unsubs.forEach(fn => fn());
+        Object.values(typingTimers).forEach(clearTimeout);
+        setTypingUsers({});
+      };
+    }, [conversationId, partMap, userId]);
+
+    // Mark read on first load
+    useEffect(() => {
+      if (!conversationId || messages.length === 0) return;
+      var last = messages[messages.length - 1];
+      if (last && last.id) {
+        api.post('/read/' + conversationId, { last_read_message_id: last.id }).catch(() => {});
+      }
+    }, [conversationId, messages.length > 0]);
+
+    // Edit message
+    function handleEdit(msgId, newContent) {
+      api.put('/messages/' + conversationId + '/' + msgId, { content: newContent }).then(() => {
+        setMessages(prev => prev.map(m =>
+          m.id === msgId ? { ...m, content: newContent, edited_at: 'true' } : m
+        ));
+      }).catch(() => {});
+    }
+
+    // Delete message
+    async function handleDelete(msgId) {
+      var ok = await sw.ui.confirm('Delete this message?', { destructive: true });
+      if (!ok) return;
+      api.del('/messages/' + conversationId + '/' + msgId).then(() => {
+        setMessages(prev => prev.map(m =>
+          m.id === msgId ? { ...m, _deleted: true, content: '' } : m
+        ));
+      }).catch(() => {});
+    }
+
+    // Typing indicator text
+    var typingNames = Object.values(typingUsers);
+    var typingText = '';
+    if (typingNames.length === 1) typingText = typingNames[0] + ' is typing\u2026';
+    else if (typingNames.length === 2) typingText = typingNames.join(' and ') + ' are typing\u2026';
+    else if (typingNames.length > 2) typingText = 'Several people are typing\u2026';
+
+    if (!conversationId) {
+      return html`
+        <div class="chat-thread chat-thread--empty">
+          <p>Select a conversation or start a new one</p>
+        </div>`;
+    }
+
+    return html`
+      <div class="chat-thread">
+        <div class="chat-thread__messages" ref=${listRef}>
+          ${loading && messages.length === 0 && html`<div class="chat-thread__loading"><${Spinner} /></div>`}
+          ${hasMore && html`
+            <button class="chat-thread__load-more" onClick=${loadMore} disabled=${loading}>
+              Load older messages
+            </button>`}
+          ${messages.map(m => html`
+            <${MessageBubble}
+              key=${m.id}
+              msg=${m}
+              isOwn=${m.participant_id === userId}
+              onEdit=${handleEdit}
+              onDelete=${handleDelete}
+            />`)}
+          <div ref=${bottomRef} />
+        </div>
+        ${typingText && html`<div class="chat-thread__typing">${typingText}</div>`}
+      </div>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  ComposeBar — message input
+  // ═══════════════════════════════════════════
+
+  function ComposeBar({ conversationId }) {
+    var [text, setText] = useState('');
+    var [sending, setSending] = useState(false);
+    var textareaRef = useRef(null);
+
+    // Reset on conversation change
+    useEffect(() => { setText(''); }, [conversationId]);
+
+    // Auto-focus
+    useEffect(() => {
+      if (textareaRef.current) textareaRef.current.focus();
+    }, [conversationId]);
+
+    // Auto-resize
+    function autoResize(el) {
+      if (!el) return;
+      el.style.height = 'auto';
+      el.style.height = Math.min(el.scrollHeight, 160) + 'px';
+    }
+
+    function handleInput(e) {
+      setText(e.target.value);
+      autoResize(e.target);
+      // Typing indicator (debounced)
+      debounce('typing', () => {
+        chatApi.post('/typing/' + conversationId, {
+          display_name: currentDisplayName(),
+        }).catch(() => {});
+      }, 3000);
+    }
+
+    async function handleSend() {
+      var content = text.trim();
+      if (!content || sending) return;
+      setSending(true);
+      try {
+        await api.post('/messages/' + conversationId, { content: content, content_type: 'text' });
+        setText('');
+        if (textareaRef.current) {
+          textareaRef.current.style.height = 'auto';
+          textareaRef.current.focus();
+        }
+      } catch (e) {
+        console.error('[chat] send failed:', e);
+      }
+      setSending(false);
+    }
+
+    function onKeyDown(e) {
+      if (e.key === 'Enter' && !e.shiftKey) {
+        e.preventDefault();
+        handleSend();
+      }
+    }
+
+    if (!conversationId) return null;
+
+    return html`
+      <div class="chat-compose">
+        <textarea class="chat-compose__input"
+                  ref=${textareaRef}
+                  value=${text}
+                  placeholder="Type a message\u2026"
+                  rows="1"
+                  onInput=${handleInput}
+                  onKeyDown=${onKeyDown} />
+        <${Button} onClick=${handleSend} disabled=${!text.trim() || sending}>Send<//>
+      </div>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  ParticipantSidebar — right panel
+  // ═══════════════════════════════════════════
+
+  function ParticipantSidebar({ conversationId, participants, onRefresh, isAdmin }) {
+    var [addOpen, setAddOpen] = useState(false);
+    var [presence, setPresence] = useState({});
+
+    // Query presence
+    useEffect(() => {
+      if (!participants || participants.length === 0) return;
+      var ids = participants.map(p => p.participant_id).join(',');
+      sw.api.get('/api/v1/presence?users=' + ids).then(res => {
+        setPresence(res || {});
+      }).catch(() => {});
+    }, [participants]);
+
+    async function addUser(user) {
+      setAddOpen(false);
+      await api.post('/participants/' + conversationId, {
+        participant_id: user.id,
+        display_name: user.display_name || user.username,
+      }).catch(() => {});
+      onRefresh();
+    }
+
+    async function removeUser(pid) {
+      var ok = await sw.ui.confirm('Remove this participant?', { destructive: true });
+      if (!ok) return;
+      await api.del('/participants/' + conversationId + '/' + pid).catch(() => {});
+      onRefresh();
+    }
+
+    return html`
+      <div class="chat-participants">
+        <div class="chat-participants__header">
+          <span>Participants (${(participants || []).length})</span>
+          ${isAdmin && html`<${Button} size="sm" onClick=${() => setAddOpen(true)}>Add<//>` }
+        </div>
+        <div class="chat-participants__list">
+          ${(participants || []).map(p => html`
+            <div key=${p.participant_id} class="chat-participants__item">
+              <${Avatar} name=${p.display_name || p.participant_id} size="sm" />
+              <span class="chat-participants__name">
+                ${p.display_name || p.participant_id}
+                ${p.role === 'admin' && html`<span class="chat-participants__badge">admin</span>`}
+              </span>
+              <span class=${'chat-participants__status' + (presence[p.participant_id] ? ' chat-participants__status--online' : '')} />
+              ${isAdmin && p.participant_id !== currentUserId() && html`
+                <button class="chat-participants__remove" onClick=${() => removeUser(p.participant_id)} title="Remove">\u00d7</button>`}
+            </div>`)}
+        </div>
+
+        <${Dialog} open=${addOpen} title="Add Participant" onClose=${() => setAddOpen(false)}>
+          <${UserPicker} onSelect=${addUser} placeholder="Search users\u2026" autoFocus />
+        <//>
+      </div>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  NewConversationDialog
+  // ═══════════════════════════════════════════
+
+  function NewConversationDialog({ open, onClose, onCreated }) {
+    var [type, setType] = useState('group');
+    var [title, setTitle] = useState('');
+    var [selected, setSelected] = useState([]);
+    var [creating, setCreating] = useState(false);
+
+    function reset() {
+      setType('group');
+      setTitle('');
+      setSelected([]);
+      setCreating(false);
+    }
+
+    function addUser(user) {
+      // Avoid duplicates
+      if (selected.find(u => u.id === user.id)) return;
+      // For DM, only allow one user
+      if (type === 'direct' && selected.length >= 1) {
+        setSelected([user]);
+        return;
+      }
+      setSelected(prev => [...prev, user]);
+    }
+
+    function removeSelected(id) {
+      setSelected(prev => prev.filter(u => u.id !== id));
+    }
+
+    async function handleCreate() {
+      if (selected.length === 0) return;
+      setCreating(true);
+      try {
+        var convTitle = type === 'direct'
+          ? ''
+          : (title.trim() || selected.map(u => u.display_name || u.username).join(', '));
+        var participants = selected.map(u => ({
+          id: u.id,
+          display_name: u.display_name || u.username,
+        }));
+        var res = await api.post('/conversations', {
+          title: convTitle,
+          type: type,
+          participants: participants,
+          creator_display_name: currentDisplayName(),
+        });
+        reset();
+        onClose();
+        onCreated(res.id || res.data?.id);
+      } catch (e) {
+        console.error('[chat] create failed:', e);
+      }
+      setCreating(false);
+    }
+
+    var actions = [
+      { label: 'Cancel', variant: 'secondary', onClick: () => { reset(); onClose(); } },
+      { label: 'Create', variant: 'primary', onClick: handleCreate, disabled: creating || selected.length === 0 },
+    ];
+
+    return html`
+      <${Dialog} open=${open} title="New Conversation" onClose=${() => { reset(); onClose(); }} actions=${actions}>
+        <div class="chat-new">
+          <div class="chat-new__type">
+            <label>
+              <input type="radio" name="convType" value="group"
+                     checked=${type === 'group'} onChange=${() => { setType('group'); setSelected([]); }} />
+              Group
+            </label>
+            <label>
+              <input type="radio" name="convType" value="direct"
+                     checked=${type === 'direct'} onChange=${() => { setType('direct'); setSelected([]); }} />
+              Direct Message
+            </label>
+          </div>
+          ${type === 'group' && html`
+            <input class="chat-new__title" type="text" value=${title}
+                   placeholder="Conversation title (optional)"
+                   onInput=${e => setTitle(e.target.value)} />`}
+          <${UserPicker} onSelect=${addUser} placeholder=${type === 'direct' ? 'Search for a user\u2026' : 'Add participants\u2026'} />
+          ${selected.length > 0 && html`
+            <div class="chat-new__selected">
+              ${selected.map(u => html`
+                <span key=${u.id} class="chat-new__chip">
+                  ${u.display_name || u.username}
+                  <button onClick=${() => removeSelected(u.id)}>\u00d7</button>
+                </span>`)}
+            </div>`}
+        </div>
+      <//>`;
+  }
+
+
+  // ═══════════════════════════════════════════
+  //  ChatApp — root component
+  // ═══════════════════════════════════════════
+
+  function ChatApp() {
+    var [conversations, setConversations] = useState([]);
+    var [unread, setUnread] = useState({});
+    var [selectedId, setSelectedId] = useState(null);
+    var [participants, setParticipants] = useState([]);
+    var [showParticipants, setShowParticipants] = useState(false);
+    var [showNew, setShowNew] = useState(false);
+    var [loading, setLoading] = useState(true);
+    var userId = currentUserId();
+
+    // Load conversations
+    // Note: SDK auto-unwraps {data: [...]} envelopes → res is the array directly
+    function loadConversations() {
+      return api.get('/conversations').then(res => {
+        setConversations(Array.isArray(res) ? res : (res && res.data) || []);
+      }).catch(() => {});
+    }
+
+    // Load unread
+    // Note: SDK returns {data: {id: count}} — NOT auto-unwrapped (data is object, not array)
+    function loadUnread() {
+      return api.get('/unread').then(res => {
+        setUnread((res && res.data) || (typeof res === 'object' && !Array.isArray(res) ? res : {}));
+      }).catch(() => {});
+    }
+
+    // Initial load
+    useEffect(() => {
+      Promise.all([loadConversations(), loadUnread()]).then(() => setLoading(false));
+    }, []);
+
+    // Load participants when conversation changes
+    useEffect(() => {
+      if (!selectedId) { setParticipants([]); return; }
+      api.get('/participants/' + selectedId).then(res => {
+        setParticipants(Array.isArray(res) ? res : (res && res.data) || []);
+      }).catch(() => {});
+    }, [selectedId]);
+
+    // Realtime: refresh conversation list on activity
+    useEffect(() => {
+      // Subscribe to all active conversations
+      var unsubs = [];
+      conversations.forEach(c => {
+        unsubs.push(sw.realtime.subscribe('conversation:' + c.id, 'message', () => {
+          loadConversations();
+          loadUnread();
+        }));
+        unsubs.push(sw.realtime.subscribe('conversation:' + c.id, 'participant.added', () => {
+          loadConversations();
+          if (c.id === selectedId) {
+            api.get('/participants/' + selectedId).then(res => {
+              setParticipants(Array.isArray(res) ? res : (res && res.data) || []);
+            }).catch(() => {});
+          }
+        }));
+        unsubs.push(sw.realtime.subscribe('conversation:' + c.id, 'participant.removed', () => {
+          loadConversations();
+          if (c.id === selectedId) {
+            api.get('/participants/' + selectedId).then(res => {
+              setParticipants(Array.isArray(res) ? res : (res && res.data) || []);
+            }).catch(() => {});
+          }
+        }));
+      });
+      return () => unsubs.forEach(fn => fn());
+    }, [conversations.map(c => c.id).join(','), selectedId]);
+
+    // Select conversation
+    function selectConversation(id) {
+      setSelectedId(id);
+      setShowParticipants(false);
+      // Mark read
+      setUnread(prev => { var next = { ...prev }; delete next[id]; return next; });
+    }
+
+    // After creating a new conversation
+    function onCreated(id) {
+      loadConversations().then(() => {
+        if (id) setSelectedId(id);
+      });
+    }
+
+    // Is current user admin in selected conversation?
+    var isAdmin = useMemo(() => {
+      return participants.some(p => p.participant_id === userId && p.role === 'admin');
+    }, [participants, userId]);
+
+    // Refresh participants
+    function refreshParticipants() {
+      if (!selectedId) return;
+      api.get('/participants/' + selectedId).then(res => {
+        setParticipants(Array.isArray(res) ? res : (res && res.data) || []);
+      }).catch(() => {});
+    }
+
+    // Conversation title for topbar
+    var selectedConv = conversations.find(c => c.id === selectedId);
+    var threadTitle = selectedConv ? (selectedConv.title || 'Direct Message') : '';
+
+    if (loading) {
+      return html`<div class="chat-loading"><${Spinner} /></div>`;
+    }
+
+    return html`
+      <div class="chat-app">
+        <${Topbar} title="Chat">
+          ${selectedId && html`
+            <span class="chat-topbar__thread-title">${threadTitle}</span>
+            <${Button} size="sm" variant="secondary"
+                       onClick=${() => setShowParticipants(!showParticipants)}>
+              ${showParticipants ? 'Hide' : 'People'}
+            <//>`}
+        <//>
+        <div class="chat-body">
+          <${ConversationList}
+            selected=${selectedId}
+            onSelect=${selectConversation}
+            onNew=${() => setShowNew(true)}
+            conversations=${conversations}
+            unread=${unread} />
+          <div class="chat-main">
+            <${MessageThread}
+              conversationId=${selectedId}
+              participants=${participants} />
+            <${ComposeBar} conversationId=${selectedId} />
+          </div>
+          ${showParticipants && selectedId && html`
+            <${ParticipantSidebar}
+              conversationId=${selectedId}
+              participants=${participants}
+              onRefresh=${refreshParticipants}
+              isAdmin=${isAdmin} />`}
+        </div>
+        <${NewConversationDialog}
+          open=${showNew}
+          onClose=${() => setShowNew(false)}
+          onCreated=${onCreated} />
+      </div>`;
+  }
+
+
+  // ── Mount ──────────────────────────────────
+  render(html`<${ChatApp} />`, mount);
+
+})();
diff --git a/packages/chat/manifest.json b/packages/chat/manifest.json
new file mode 100644
index 0000000..8968c74
--- /dev/null
+++ b/packages/chat/manifest.json
@@ -0,0 +1,30 @@
+{
+  "id": "chat",
+  "title": "Chat",
+  "type": "full",
+  "tier": "starlark",
+  "route": "/s/chat",
+  "auth": "authenticated",
+  "layout": "single",
+  "version": "0.1.0",
+  "icon": "\ud83d\udcac",
+  "description": "Chat surface — conversations, messaging, typing indicators, read receipts.",
+  "author": "switchboard",
+
+  "permissions": ["db.write", "realtime.publish"],
+
+  "depends": ["chat-core"],
+
+  "api_routes": [
+    {"method": "POST", "path": "/typing/*"}
+  ],
+
+  "settings": {
+    "enter_to_send": {
+      "type": "boolean",
+      "label": "Enter to Send",
+      "description": "Press Enter to send messages (Shift+Enter for newline). When off, Enter inserts a newline.",
+      "default": true
+    }
+  }
+}
diff --git a/packages/chat/script.star b/packages/chat/script.star
new file mode 100644
index 0000000..66e1d41
--- /dev/null
+++ b/packages/chat/script.star
@@ -0,0 +1,39 @@
+# Chat Surface — Starlark Backend (v0.1.0)
+#
+# Thin surface layer on top of chat-core library.
+# Only handles typing indicator broadcast — all CRUD is
+# delegated to chat-core's own API routes.
+#
+# Modules: json, realtime
+
+def _resp(status, data):
+    return {"status": status, "body": json.encode(data), "headers": {"Content-Type": "application/json"}}
+
+
+def on_request(req):
+    path   = req["path"]
+    method = req["method"]
+    user_id = req.get("user_id", "")
+
+    # POST /typing/:conversation_id — broadcast typing indicator
+    if method == "POST" and path.startswith("/typing/"):
+        cid = path[len("/typing/"):]
+        if not cid:
+            return _resp(400, {"error": "conversation_id required"})
+
+        body = json.decode(req.get("body", "{}"))
+        display_name = str(body.get("display_name", ""))
+
+        realtime.publish(
+            "conversation:" + cid,
+            "typing",
+            {
+                "participant_id": user_id,
+                "display_name": display_name,
+                "conversation_id": cid,
+            },
+        )
+
+        return _resp(200, {"ok": True})
+
+    return _resp(404, {"error": "not found"})
diff --git a/server/handlers/packages_bundled.go b/server/handlers/packages_bundled.go
index 5e9367f..df25ce7 100644
--- a/server/handlers/packages_bundled.go
+++ b/server/handlers/packages_bundled.go
@@ -11,6 +11,7 @@ import (
 	"os"
 	"path/filepath"
 	"strings"
+	"time"
 
 	"github.com/gin-gonic/gin"
 
@@ -191,7 +192,21 @@ func installBundledPackage(pkgPath, packagesDir string, stores store.Stores, run
 
 	// Sync permissions — use a minimal gin.Context for the functions that need it
 	fakeCtx := newBackgroundGinContext()
-	SyncManifestPermissions(fakeCtx, stores, pkgID, manifest)
+	declaredPerms := SyncManifestPermissions(fakeCtx, stores, pkgID, manifest)
+
+	// Bundled packages are trusted — auto-grant all declared permissions
+	// and restore active status (SyncManifestPermissions sets pending_review).
+	// Use direct SQL with NULL granted_by to satisfy FK constraint on users(id).
+	if len(declaredPerms) > 0 {
+		now := time.Now().UTC().Format(time.RFC3339)
+		_, err := database.DB.ExecContext(ctx,
+			`UPDATE extension_permissions SET granted = 1, granted_by = NULL, granted_at = ? WHERE package_id = ? AND granted = 0`,
+			now, pkgID)
+		if err != nil {
+			log.Printf("[bundled] Failed to auto-grant permissions for %s: %v", pkgID, err)
+		}
+		_ = stores.Packages.SetStatus(ctx, pkgID, "active")
+	}
 
 	// Sync triggers from manifest
 	SyncManifestTriggers(ctx, stores, triggers.GlobalEngine(), pkgID, manifest)
diff --git a/src/js/sw/primitives/menu.js b/src/js/sw/primitives/menu.js
index b939c46..b7cba2f 100644
--- a/src/js/sw/primitives/menu.js
+++ b/src/js/sw/primitives/menu.js
@@ -17,13 +17,20 @@ export function Menu({ items = [], anchor, open, direction = 'down-right', onSel
     const selectableItems = items.filter(i => !i.divider && !i.disabled);
 
     // Position relative to anchor
+    // When the surface uses CSS transform: scale(), getBoundingClientRect()
+    // returns scaled coordinates but position:fixed uses viewport coordinates.
+    // Dividing by the scale factor converts back to true viewport pixels.
     useEffect(() => {
         if (!open || !anchor) return;
-        const rect = typeof anchor.getBoundingClientRect === 'function'
+        const scale = window.sw?.shell?.getScale?.() || 1;
+        const raw = typeof anchor.getBoundingClientRect === 'function'
             ? anchor.getBoundingClientRect()
             : anchor;
-        const vw = window.innerWidth;
-        const vh = window.innerHeight;
+        const rect = scale !== 1
+            ? { top: raw.top / scale, bottom: raw.bottom / scale, left: raw.left / scale, right: raw.right / scale }
+            : raw;
+        const vw = window.innerWidth / scale;
+        const vh = window.innerHeight / scale;
 
         let top, left;
         const [vDir, hDir] = direction.split('-');
diff --git a/src/js/sw/sdk/auth.js b/src/js/sw/sdk/auth.js
index 92779c2..0127f98 100644
--- a/src/js/sw/sdk/auth.js
+++ b/src/js/sw/sdk/auth.js
@@ -209,13 +209,26 @@ export function createAuth() {
             // Suppress _on401Failure redirect during boot — boot handles 401 itself.
             _booting = true;
 
+            // Defensive timeout: boot MUST complete within 8s.
+            // If stale tokens cause a network hang or unexpected deadlock,
+            // clear tokens and let the login page render.
+            let timedOut = false;
+            const bootTimeout = setTimeout(() => {
+                timedOut = true;
+                console.warn('[sw.auth] Boot timed out — clearing stale tokens');
+                _clearTokens();
+                _booting = false;
+            }, 8000);
+
             // Fetch permissions (validates the access token)
             try {
                 await _fetchPermissions();
             } catch (e) {
+                if (timedOut) return;
                 if (e.status === 401) {
                     // Token expired — try refresh
                     const ok = await auth.refresh();
+                    if (timedOut) return;
                     if (ok) {
                         try { await _fetchPermissions(); }
                         catch (_) { _clearTokens(); }
@@ -226,6 +239,7 @@ export function createAuth() {
                     console.warn('[sw.auth] Boot: permissions fetch failed (keeping tokens):', e.message);
                 }
             } finally {
+                clearTimeout(bootTimeout);
                 _booting = false;
             }
 
diff --git a/src/js/sw/sdk/rest-client.js b/src/js/sw/sdk/rest-client.js
index 1dc47f3..89c5e9f 100644
--- a/src/js/sw/sdk/rest-client.js
+++ b/src/js/sw/sdk/rest-client.js
@@ -50,6 +50,12 @@ async function _buildError(resp, method, path) {
  */
 export function createRestClient(getToken, onRefresh, on401Failure) {
 
+    // Auth endpoints must never trigger the 401→refresh→retry loop.
+    // Doing so causes a deadlock: refresh() calls POST /auth/refresh via
+    // _request, which 401s and calls onRefresh(), which returns the same
+    // unresolved refresh promise — both await each other forever.
+    const _authPaths = ['/api/v1/auth/login', '/api/v1/auth/refresh', '/api/v1/auth/register'];
+
     async function _request(path, method, body, opts) {
         const _opts = opts || {};
         const headers = { 'Content-Type': 'application/json' };
@@ -62,8 +68,9 @@ export function createRestClient(getToken, onRefresh, on401Failure) {
 
         let resp = await fetch(BASE + path, fetchOpts);
 
-        // 401 — try refresh once
-        if (resp.status === 401) {
+        // 401 — try refresh once (skip for auth endpoints to prevent deadlock)
+        const isAuthPath = _authPaths.some(p => path === p || path.startsWith(p + '?'));
+        if (resp.status === 401 && !isAuthPath && !_opts.skipRefresh) {
             const refreshed = await onRefresh();
             if (refreshed) {
                 // Retry with new token