feat(policies): config refinements + new-version output (post-#6598) (#6604)

Follow-up to #6598 (squash-merged into `SaaS`). These are the policy refinements made after that merge, against the current `SaaS` tip. ## Changes - **Simplify Security config + plain-language info buttons** — Redact config reduced to the PII field; Sanitise has no config (JavaScript-removal only) with a non-technical info button; per-tool info buttons reworded to match the tool-steps style. - **Hide 'Flatten PDF pages to images' from the watermark policy config** — new `PolicyWatermarkConfig` wrapping the watermark settings with the flatten checkbox gated off. - **Flatten-to-image on by default for redact + watermark** — both normalise `convertPDFToImage: true` on mount. - **Self-heal a stale backing folder** — `ensurePolicyFolder` recreates a backing folder whose `folderId` no longer resolves (preferring the backend's stored automation), instead of hanging Edit Settings on a permanent "Loading…". - **Version the input file on 'new version' output mode** — completed runs whose policy output mode is `new_version` replace the input file with a versioned child (origin tool `automate`) rather than adding a separate file; falls back to a new file if the input is gone. `outputMode` is plumbed through `PolicyState`, the local-cache default, and backend reconciliation. ## Verification - `typecheck:proprietary` + `typecheck:core` clean - policy + hooks vitest: 17 passing - eslint + prettier clean on all changed files
2026-07-14 10:34:06 +02:00 · 2026-06-11 14:45:22 +01:00
parent 68e031ac55
commit 11ab762f57
16 changed files with 373 additions and 250 deletions
@@ -21,12 +21,15 @@ interface AddWatermarkSingleStepSettingsProps {
    value: AddWatermarkParameters[K],
  ) => void;
  disabled?: boolean;
+  /** When false, hide the "Flatten PDF pages to images" option (e.g. in policies). */
+  showFlatten?: boolean;
 }

 const AddWatermarkSingleStepSettings = ({
  parameters,
  onParameterChange,
  disabled = false,
+  showFlatten = true,
 }: AddWatermarkSingleStepSettingsProps) => {
  return (
    <Stack gap="lg">
@@ -69,6 +72,7 @@ const AddWatermarkSingleStepSettings = ({
          parameters={parameters}
          onParameterChange={onParameterChange}
          disabled={disabled}
+          showFlatten={showFlatten}
        />
      )}
    </Stack>
@@ -10,12 +10,15 @@ interface WatermarkFormattingProps {
    value: AddWatermarkParameters[K],
  ) => void;
  disabled?: boolean;
+  /** When false, hide the "Flatten PDF pages to images" option (e.g. in policies). */
+  showFlatten?: boolean;
 }

 const WatermarkFormatting = ({
  parameters,
  onParameterChange,
  disabled = false,
+  showFlatten = true,
 }: WatermarkFormattingProps) => {
  const { t } = useTranslation();

@@ -95,17 +98,19 @@ const WatermarkFormatting = ({
      </Group>

      {/* Advanced Options */}
-      <Checkbox
-        label={t(
-          "watermark.settings.convertToImage",
-          "Flatten PDF pages to images",
-        )}
-        checked={parameters.convertPDFToImage}
-        onChange={(event) =>
-          onParameterChange("convertPDFToImage", event.currentTarget.checked)
-        }
-        disabled={disabled}
-      />
+      {showFlatten && (
+        <Checkbox
+          label={t(
+            "watermark.settings.convertToImage",
+            "Flatten PDF pages to images",
+          )}
+          checked={parameters.convertPDFToImage}
+          onChange={(event) =>
+            onParameterChange("convertPDFToImage", event.currentTarget.checked)
+          }
+          disabled={disabled}
+        />
+      )}
    </Stack>
  );
 };
@@ -9,6 +9,7 @@ import AutorenewIcon from "@mui/icons-material/Autorenew";
 import LockIcon from "@mui/icons-material/Lock";
 import DeleteOutlineIcon from "@mui/icons-material/DeleteOutlined";
 import { PanelHeader } from "@shared/components/PanelHeader";
+import { ROW_ACCENT } from "@app/components/policies/policyStatus";
 import { Card } from "@shared/components/Card";
 import { ChipFlow } from "@shared/components/ChipFlow";
 import { StatusBadge } from "@shared/components/StatusBadge";
@@ -121,6 +122,7 @@ export function PolicyDetailPanel({
    <div className="pol-detail">
      <PanelHeader
        icon={category.icon}
+        iconAccent={ROW_ACCENT[category.id] ?? "blue"}
        title={category.label}
        onBack={onBack}
        actions={
@@ -1,17 +1,5 @@
 import { useEffect } from "react";
-import {
-  Stack,
-  Divider,
-  ColorInput,
-  NumberInput,
-  Checkbox,
-} from "@mantine/core";
-import WordsToRedactInput from "@app/components/tools/redact/WordsToRedactInput";
-import { Z_INDEX_AUTOMATE_DROPDOWN } from "@app/styles/zIndex";
-import {
-  PolicyPiiField,
-  PRESET_PATTERNS,
-} from "@app/components/policies/PolicyPiiField";
+import { PolicyPiiField } from "@app/components/policies/PolicyPiiField";

 interface PolicyRedactConfigProps {
  parameters: Record<string, unknown>;
@@ -20,109 +8,38 @@ interface PolicyRedactConfigProps {
 }

 /**
- * Redact configuration for a policy: a PII preset dropdown plus a separate field
- * for the user's own words / regexes, then the advanced redact options. The two
- * lists are kept disjoint — the dropdown owns the preset patterns, the custom
- * field owns everything else — so selecting presets and typing custom patterns
- * don't clobber each other. Regex matching is always on (a plain word is a
- * literal regex), so the Use-Regex toggle is omitted. Mode stays automatic since
- * policies run headless and manual redaction needs the canvas.
+ * Redact configuration for a policy — reduced to just the PII type picker. The
+ * runtime params are fixed (mode automatic, regex on, flatten-to-image on so the
+ * redacted text is truly removed) and normalised once on mount; the dropdown
+ * only chooses which PII patterns are redacted.
 */
 export function PolicyRedactConfig({
  parameters,
  onChange,
  disabled,
 }: PolicyRedactConfigProps) {
-  const words = Array.isArray(parameters.wordsToRedact)
-    ? (parameters.wordsToRedact as string[])
-    : [];
-  // Split the stored list: presets are driven by the dropdown, the rest by the
-  // custom field below. Each editor only ever rewrites its own half.
-  const presetWords = words.filter((w) => PRESET_PATTERNS.has(w));
-  const customWords = words.filter((w) => !PRESET_PATTERNS.has(w));
-
-  const redactColor =
-    typeof parameters.redactColor === "string"
-      ? parameters.redactColor
-      : "#000000";
-  const customPadding =
-    typeof parameters.customPadding === "number"
-      ? parameters.customPadding
-      : 0.1;
-  const wholeWordSearch = parameters.wholeWordSearch === true;
-  const convertPDFToImage = parameters.convertPDFToImage !== false; // default on
-
-  // Regex is always on for policies; heal any older/default-false value once on
-  // mount (empty deps — we only need to normalise the persisted flag).
+  // Lock the non-PII params once on mount (empty deps); the dropdown manages the
+  // pattern list and preserves these via its spread.
  useEffect(() => {
-    if (parameters.useRegex !== true) {
-      onChange({ ...parameters, useRegex: true });
+    if (
+      parameters.mode !== "automatic" ||
+      parameters.useRegex !== true ||
+      parameters.convertPDFToImage !== true
+    ) {
+      onChange({
+        ...parameters,
+        mode: "automatic",
+        useRegex: true,
+        convertPDFToImage: true,
+      });
    }
  }, []);

-  // Every edit keeps mode automatic + regex on (the two policy invariants).
-  const patch = (next: Record<string, unknown>) =>
-    onChange({ ...parameters, mode: "automatic", useRegex: true, ...next });
-
  return (
-    <Stack gap="md">
-      <PolicyPiiField
-        parameters={parameters}
-        onChange={onChange}
-        disabled={disabled}
-      />
-
-      <Divider />
-
-      <WordsToRedactInput
-        wordsToRedact={customWords}
-        onWordsChange={(next) =>
-          patch({ wordsToRedact: [...presetWords, ...next] })
-        }
-        disabled={disabled}
-      />
-
-      <Divider />
-
-      <ColorInput
-        label="Box colour"
-        value={redactColor}
-        onChange={(value) => patch({ redactColor: value })}
-        disabled={disabled}
-        size="sm"
-        format="hex"
-        popoverProps={{ withinPortal: true, zIndex: Z_INDEX_AUTOMATE_DROPDOWN }}
-      />
-
-      <NumberInput
-        label="Custom extra padding"
-        value={customPadding}
-        onChange={(value) =>
-          patch({ customPadding: typeof value === "number" ? value : 0.1 })
-        }
-        min={0}
-        max={10}
-        step={0.1}
-        disabled={disabled}
-        size="sm"
-        placeholder="0.1"
-      />
-
-      <Checkbox
-        label="Whole word search"
-        checked={wholeWordSearch}
-        onChange={(e) => patch({ wholeWordSearch: e.currentTarget.checked })}
-        disabled={disabled}
-        size="sm"
-      />
-
-      <Checkbox
-        label="Convert PDF to PDF-image (removes text behind the box)"
-        checked={convertPDFToImage}
-        onChange={(e) => patch({ convertPDFToImage: e.currentTarget.checked })}
-        disabled={disabled}
-        size="sm"
-      />
-    </Stack>
+    <PolicyPiiField
+      parameters={parameters}
+      onChange={onChange}
+      disabled={disabled}
+    />
  );
 }
@@ -2,19 +2,16 @@ import { useState, useMemo, useRef } from "react";
 import CloseIcon from "@mui/icons-material/Close";
 import InfoOutlinedIcon from "@mui/icons-material/InfoOutlined";
 import { PanelHeader } from "@shared/components/PanelHeader";
+import { ROW_ACCENT } from "@app/components/policies/policyStatus";
 import { Card } from "@shared/components/Card";
 import { Button } from "@shared/components/Button";
-import { ChipFlow } from "@shared/components/ChipFlow";
-import { DataRow } from "@shared/components/DataRow";
 import { Input } from "@shared/components/Input";
 import { Select } from "@shared/components/Select";
 import { SettingsRow } from "@shared/components/SettingsRow";
-import { FormField } from "@shared/components/FormField";
 import { Checkbox } from "@shared/components/Checkbox";
 import { Banner } from "@shared/components/Banner";
 import { EmptyState } from "@shared/components/EmptyState";
 import { StepIndicator } from "@shared/components/StepIndicator";
-import { IconBadge } from "@shared/components/IconBadge";
 import type {
  PolicyCategory,
  PolicyConfigDef,
@@ -43,7 +40,7 @@ import { getPolicyToolChain } from "@app/components/policies/policyToolChains";
 // Sources are always "editor" for this release, so the Sources step is dropped
 // from the flow (its panel code is kept below for when other sources return).
 const SOURCES_IN_FLOW = false;
-const TOTAL_STEPS = SOURCES_IN_FLOW ? 4 : 3;
+const TOTAL_STEPS = SOURCES_IN_FLOW ? 3 : 2;

 interface PolicySetupWizardProps {
  category: PolicyCategory;
@@ -80,10 +77,11 @@ interface PolicySetupWizardProps {
 }

 /**
- * The shared policy wizard, used for both setup and edit. Four steps:
- * Workflow (the tool pipeline, reusing the Watch Folders builder) → Settings
- * (the policy fields) → Sources → Review. The workflow builder is kept mounted
- * across steps so the final action can trigger its save.
+ * The shared policy wizard, used for both setup and edit. Two steps: Workflow
+ * (the tool pipeline, reusing the Watch Folders builder) → Settings (the policy
+ * fields + output/retry config). The workflow builder is kept mounted across
+ * steps so the final action can trigger its save. (A Sources step exists in
+ * code, gated off by SOURCES_IN_FLOW, for when non-editor sources return.)
 */
 export function PolicySetupWizard({
  category,
@@ -115,14 +113,13 @@ export function PolicySetupWizard({
  );
  const [scopeNarrow, setScopeNarrow] = useState(initial.scopeTypes.length > 0);
  const [scopeTypes, setScopeTypes] = useState<string[]>(initial.scopeTypes);
-  // Default flagged-document reviewer to the signed-in user.
-  const [reviewerEmail, setReviewerEmail] = useState(
-    initial.reviewerEmail || user?.email || "",
-  );
+  // Reviewer is no longer configured in the flow (there's no human-review step),
+  // but the field is kept in the saved policy, defaulted to the signed-in user.
+  const reviewerEmail = initial.reviewerEmail || user?.email || "";
  // Output + retry settings — the real, working folder settings (the engine
  // applies them). Pre-filled from the backing folder in edit mode.
  const [outputMode, setOutputMode] = useState<"new_file" | "new_version">(
-    initialFolder?.outputMode ?? "new_file",
+    initialFolder?.outputMode ?? "new_version",
  );
  const [outputName, setOutputName] = useState(initialFolder?.outputName ?? "");
  const [outputNamePosition, setOutputNamePosition] = useState<
@@ -157,6 +154,7 @@ export function PolicySetupWizard({
      <div className="pol-detail">
        <PanelHeader
          icon={category.icon}
+          iconAccent={ROW_ACCENT[category.id] ?? "blue"}
          title={`${isEdit ? "Edit" : "Set up"} ${category.label} Policy`}
          onBack={onCancel}
        />
@@ -265,6 +263,7 @@ export function PolicySetupWizard({
    <div className="pol-detail">
      <PanelHeader
        icon={category.icon}
+        iconAccent={ROW_ACCENT[category.id] ?? "blue"}
        title={`${isEdit ? "Edit" : "Set up"} ${category.label} Policy`}
        subtitle={`Step ${step} of ${TOTAL_STEPS}`}
        onBack={back}
@@ -370,21 +369,7 @@ export function PolicySetupWizard({
              </div>
              <div className="pol-field">
                <SettingsRow
-                  label="Output name"
-                  control={
-                    <Input
-                      inputSize="sm"
-                      value={outputName}
-                      onChange={(e) => setOutputName(e.target.value)}
-                      placeholder="optional"
-                      aria-label="Output name"
-                    />
-                  }
-                />
-              </div>
-              <div className="pol-field">
-                <SettingsRow
-                  label="Name position"
+                  label="Add to filename"
                  control={
                    <Select
                      inputSize="sm"
@@ -394,7 +379,7 @@ export function PolicySetupWizard({
                          e.target.value as "prefix" | "suffix" | "auto-number",
                        )
                      }
-                      aria-label="Name position"
+                      aria-label="Add to filename"
                      options={[
                        { value: "prefix", label: "Prefix" },
                        { value: "suffix", label: "Suffix" },
@@ -404,6 +389,20 @@ export function PolicySetupWizard({
                  }
                />
              </div>
+              <div className="pol-field">
+                <SettingsRow
+                  label="Text to add"
+                  control={
+                    <Input
+                      inputSize="sm"
+                      value={outputName}
+                      onChange={(e) => setOutputName(e.target.value)}
+                      placeholder="optional"
+                      aria-label="Text to add"
+                    />
+                  }
+                />
+              </div>
              <div className="pol-field">
                <SettingsRow
                  label="Max retries"
@@ -523,53 +522,6 @@ export function PolicySetupWizard({
            )}
          </>
        )}
-
-        {step === TOTAL_STEPS && (
-          <>
-            <p className="pol-desc">
-              When Stirling has low confidence in an enforcement action, it will
-              send the document for human review.
-            </p>
-            <p className="pol-section-label">Reviewer</p>
-            <Card padding="default">
-              <FormField
-                label="Send flagged documents to:"
-                helperText="They'll open flagged documents directly in the Stirling editor."
-              >
-                <Input
-                  type="email"
-                  inputSize="sm"
-                  value={reviewerEmail}
-                  onChange={(e) => setReviewerEmail(e.target.value)}
-                  placeholder="[email protected]"
-                />
-              </FormField>
-            </Card>
-
-            <p className="pol-section-label">Summary</p>
-            <Card padding="default">
-              <div className="pol-summary-head">
-                <IconBadge accent="blue" size="sm">
-                  {category.icon}
-                </IconBadge>
-                <span className="pol-summary-title">
-                  {category.label} Policy
-                </span>
-              </div>
-              <div className="pol-summary-rows">
-                <DataRow label="Enforces" align="top">
-                  <ChipFlow items={config.rules} />
-                </DataRow>
-                {SOURCES_IN_FLOW && (
-                  <DataRow label="Sources">{sources.length} selected</DataRow>
-                )}
-                <DataRow label="Reviewer">
-                  {reviewerEmail || <span className="pol-muted">Not set</span>}
-                </DataRow>
-              </div>
-            </Card>
-          </>
-        )}
      </div>

      <div className="pol-footer">
@@ -2,10 +2,22 @@ import { Suspense } from "react";
 import { Loader } from "@mantine/core";
 import { ToggleSwitch } from "@shared/components/ToggleSwitch";
 import { Card } from "@shared/components/Card";
+import LocalIcon from "@app/components/shared/LocalIcon";
+import { Tooltip as AppTooltip } from "@app/components/shared/Tooltip";
 import { PolicyRedactConfig } from "@app/components/policies/PolicyRedactConfig";
+import { PolicyWatermarkConfig } from "@app/components/policies/PolicyWatermarkConfig";
 import type { ToolRegistry } from "@app/data/toolsTaxonomy";
 import type { ToolId } from "@app/types/toolId";

+/** Plain-language, non-technical descriptions shown by each tool's info button. */
+const TOOL_PLAIN_INFO: Record<string, string> = {
+  redact:
+    "Automatically finds and blacks out sensitive details — like Social Security and card numbers — so they can't be read in the document.",
+  sanitize:
+    "Removes hidden JavaScript from the file, so nothing can run automatically when someone opens it.",
+  watermark: "Stamps a visible mark (e.g. “Confidential”) across every page.",
+};
+
 /** One tool in a policy's fixed chain: whether it runs + its configured params. */
 export interface PolicyToolState {
  /** Frontend tool-registry id (also the registry key + the thing we map to an endpoint). */
@@ -54,6 +66,26 @@ export function PolicyToolConfig({
              <span className="pol-tool-name">
                {entry?.name ?? tool.operation}
              </span>
+              {TOOL_PLAIN_INFO[tool.operation] && (
+                <AppTooltip
+                  content={TOOL_PLAIN_INFO[tool.operation]}
+                  sidebarTooltip
+                  pinOnClick
+                >
+                  <button
+                    type="button"
+                    className="pol-info-btn"
+                    aria-label={`What does ${entry?.name ?? tool.operation} do?`}
+                  >
+                    <LocalIcon
+                      icon="info-outline-rounded"
+                      width="1rem"
+                      height="1rem"
+                      style={{ color: "var(--icon-files-color)" }}
+                    />
+                  </button>
+                </AppTooltip>
+              )}
              <ToggleSwitch
                size="sm"
                checked={tool.enabled}
@@ -64,8 +96,7 @@ export function PolicyToolConfig({
            </div>
            {tool.enabled &&
              (tool.operation === "redact" ? (
-                // Redact has a bespoke config: PII preset dropdown + a custom
-                // word/regex field + advanced options, mode + regex locked on.
+                // Redact config is reduced to just the PII type picker.
                <div className="pol-tool-body">
                  <PolicyRedactConfig
                    parameters={tool.parameters}
@@ -73,6 +104,20 @@ export function PolicyToolConfig({
                    disabled={!editable}
                  />
                </div>
+              ) : tool.operation === "sanitize" ? (
+                // Sanitize is config-less: it only removes JavaScript (params
+                // are fixed in the policy preset), so no settings are shown.
+                <></>
+              ) : tool.operation === "watermark" ? (
+                // Watermark: full settings minus the "Flatten PDF pages to
+                // images" toggle (hidden), with flatten forced on.
+                <div className="pol-tool-body">
+                  <PolicyWatermarkConfig
+                    parameters={tool.parameters}
+                    onChange={(parameters) => patchTool(index, { parameters })}
+                    disabled={!editable}
+                  />
+                </div>
              ) : Settings ? (
                <div className="pol-tool-body">
                  <Suspense fallback={<Loader size="sm" />}>
@@ -0,0 +1,38 @@
+import { useEffect } from "react";
+import AddWatermarkSingleStepSettings from "@app/components/tools/addWatermark/AddWatermarkSingleStepSettings";
+import type { AddWatermarkParameters } from "@app/hooks/tools/addWatermark/useAddWatermarkParameters";
+
+interface PolicyWatermarkConfigProps {
+  parameters: Record<string, unknown>;
+  onChange: (parameters: Record<string, unknown>) => void;
+  disabled?: boolean;
+}
+
+/**
+ * Watermark configuration for a policy: the full watermark settings minus the
+ * "Flatten PDF pages to images" toggle (hidden), with flatten forced on so the
+ * watermark is baked into the page and can't be stripped out. Normalised once
+ * on mount.
+ */
+export function PolicyWatermarkConfig({
+  parameters,
+  onChange,
+  disabled,
+}: PolicyWatermarkConfigProps) {
+  useEffect(() => {
+    if (parameters.convertPDFToImage !== true) {
+      onChange({ ...parameters, convertPDFToImage: true });
+    }
+  }, []);
+
+  return (
+    <AddWatermarkSingleStepSettings
+      parameters={parameters as unknown as AddWatermarkParameters}
+      onParameterChange={(key, value) =>
+        onChange({ ...parameters, [key]: value })
+      }
+      disabled={disabled}
+      showFlatten={false}
+    />
+  );
+}
@@ -26,6 +26,10 @@ export interface PolicyRunRecord {
  /** Output fileIds already imported — tracked per-file so a partial failure
   *  retries only the missing ones and never re-adds the ones that succeeded. */
  importedFileIds?: string[];
+  /** Workspace fileIds of the imported output files (the versioned child for
+   *  "new version", or the added file for "new file"). Drives the policy badge,
+   *  which marks the policy's OUTPUT — not the input it ran on. */
+  outputFileIds?: string[];
  error: string | null;
  /** Epoch ms when the run was dispatched. */
  startedAt: number;
@@ -12,7 +12,11 @@
 */

 import { useEffect, useRef } from "react";
-import { useAllFiles, useFileManagement } from "@app/contexts/FileContext";
+import {
+  useAllFiles,
+  useFileManagement,
+  useFileContext,
+} from "@app/contexts/FileContext";
 import { fileStorage } from "@app/services/fileStorage";
 import { POLICIES_ENABLED } from "@app/constants/featureFlags";
 import {
@@ -22,8 +26,11 @@ import {
 } from "@app/services/policyApi";
 import type { PolicyRunStatus } from "@app/services/policyPipeline";
 import type { FileId } from "@app/types/file";
+import { createStirlingFilesAndStubs } from "@app/services/fileStubHelpers";
+import type { StirlingFile, StirlingFileStub } from "@app/types/fileContext";
 import { usePolicies } from "@app/hooks/usePolicies";
 import {
+  dispatchKey,
  isDispatched,
  markDispatched,
  recordRunStart,
@@ -36,6 +43,12 @@ import {
 const POLL_MS = 2000;
 const MAX_POLLS = 75;

+/** How long to wait for an upload's bytes to land in IndexedDB before giving up
+ *  (20 × 250ms ≈ 5s). The stub can surface in the file list a beat before its
+ *  bytes are committed, so a too-eager fetch would otherwise miss the file. */
+const FILE_WAIT_TRIES = 20;
+const FILE_WAIT_MS = 250;
+
 function isTerminal(status: PolicyRunStatus): boolean {
  return (
    status === "COMPLETED" || status === "FAILED" || status === "CANCELLED"
@@ -47,11 +60,14 @@ const delay = (ms: number) => new Promise((resolve) => setTimeout(resolve, ms));
 export function usePolicyAutoRun(): void {
  const { fileStubs } = useAllFiles();
  const { addFiles } = useFileManagement();
+  const { consumeFiles } = useFileContext();
  const { policies } = usePolicies();
  const runs = usePolicyRuns();
-  // Run ids currently being polled / imported, so the effects never double-fire.
+  // Keys (run ids / dispatch keys) currently in flight, so the effects never
+  // double-fire across re-renders while their first async step is pending.
  const polling = useRef<Set<string>>(new Set());
  const importing = useRef<Set<string>>(new Set());
+  const dispatching = useRef<Set<string>>(new Set());

  // Dispatch: for each active policy × each session file not yet run, fire a run.
  useEffect(() => {
@@ -61,14 +77,25 @@ export function usePolicyAutoRun(): void {
    );
    for (const [categoryId, s] of active) {
      for (const stub of fileStubs) {
-        if (isDispatched(categoryId, stub.id)) continue;
-        // runPolicyOnFile marks dispatched synchronously before its first await.
+        const key = dispatchKey(categoryId, stub.id);
+        // Skip if already run (persisted) or a dispatch is mid-flight (this
+        // session) — runPolicyOnFile now waits for the file's bytes to commit,
+        // so the in-memory guard, not an eager mark, prevents double-firing.
+        if (isDispatched(categoryId, stub.id) || dispatching.current.has(key)) {
+          continue;
+        }
+        dispatching.current.add(key);
        void runPolicyOnFile(
          categoryId,
          s.backendId as string,
          stub.id,
          stub.name,
-        );
+        )
+          .catch(() => {
+            // runPolicyOnFile handles its own failures; this is just a backstop
+            // so an unexpected rejection never becomes an unhandled rejection.
+          })
+          .finally(() => dispatching.current.delete(key));
      }
    }
  }, [fileStubs, policies]);
@@ -97,23 +124,53 @@ export function usePolicyAutoRun(): void {
        continue;
      }
      importing.current.add(run.runId);
-      void importOutputs(run, addFiles).finally(() =>
-        importing.current.delete(run.runId),
-      );
+      // Honour the policy's output mode: a new file, or a new version of the
+      // input file it ran on (needs that input's stub, still in the workspace).
+      const outputMode = policies[run.categoryId]?.outputMode ?? "new_version";
+      const outputName = policies[run.categoryId]?.outputName ?? "";
+      const parentStub = fileStubs.find((s) => (s.id as string) === run.fileId);
+      void importOutputs(run, {
+        addFiles,
+        consumeFiles,
+        outputMode,
+        outputName,
+        parentStub,
+      }).finally(() => importing.current.delete(run.runId));
    }
-  }, [runs, addFiles]);
+  }, [runs, addFiles, consumeFiles, policies, fileStubs]);
+}
+
+interface ImportContext {
+  addFiles: (files: File[]) => Promise<StirlingFile[]>;
+  consumeFiles: (
+    inputFileIds: FileId[],
+    outputs: StirlingFile[],
+    stubs: StirlingFileStub[],
+  ) => Promise<unknown>;
+  /** "new_file" adds the output as a separate file; "new_version" versions the input. */
+  outputMode: "new_file" | "new_version";
+  /** Rename rule. Empty → keep the input's filename; set → use the policy's
+   *  renamed output (applied server-side per the name-position setting). */
+  outputName: string;
+  /** The input file's stub — required to version it; absent if it's been removed. */
+  parentStub: StirlingFileStub | undefined;
 }

 /**
- * Fetch a completed run's not-yet-imported output files and add them to the
- * workspace. Per-output, via allSettled: each output is tracked once imported,
+ * Fetch a completed run's not-yet-imported output files and deliver them to the
+ * workspace. Per-output, via allSettled: each output is tracked once delivered,
 * so a partial failure retries only the missing files on a later tick and the
 * ones that succeeded are never added twice. `imported` flips true only once
 * every output has landed.
+ *
+ * Delivery honours the policy's output mode: "new_version" replaces the input
+ * file with a versioned child (its history chain), "new_file" adds the output
+ * as a standalone file. Versioning falls back to a new file if the input is
+ * gone (no parent stub).
 */
 async function importOutputs(
  run: PolicyRunRecord,
-  addFiles: (files: File[]) => Promise<unknown>,
+  ctx: ImportContext,
 ): Promise<void> {
  const done = new Set(run.importedFileIds ?? []);
  const pending = run.outputs.filter((out) => !done.has(out.fileId));
@@ -122,12 +179,18 @@ async function importOutputs(
    return;
  }

+  // Keep the input's original filename unless a rename rule is set — without a
+  // rule the backend's auto-suffixed name (e.g. "_watermarked_sanitized") would
+  // otherwise rename every output.
+  const targetName = ctx.outputName
+    ? undefined // use the run's per-output (renamed) name below
+    : run.fileName;
  const results = await Promise.allSettled(
    pending.map(async (out) => {
      const blob = await downloadPolicyOutput(out.fileId);
      return {
        fileId: out.fileId,
-        file: new File([blob], out.fileName || run.fileName, {
+        file: new File([blob], targetName ?? out.fileName ?? run.fileName, {
          type: blob.type || "application/pdf",
        }),
      };
@@ -141,12 +204,38 @@ async function importOutputs(
    .map((r) => r.value);
  if (fetched.length === 0) return; // all failed — retry the lot on a later tick

-  // Add the freshly-fetched files, then mark exactly those imported. If addFiles
-  // throws we don't mark them, so they retry (without having been added).
-  await addFiles(fetched.map((f) => f.file));
+  // Deliver, then mark exactly those imported. If delivery throws we don't mark
+  // them, so they retry (without having been added).
+  const files = fetched.map((f) => f.file);
+  // Workspace fileIds of the delivered outputs — the policy badge marks these
+  // (the policy's output), not the input it ran on. Set in both branches below.
+  let deliveredIds: string[];
+  if (ctx.outputMode === "new_version" && ctx.parentStub) {
+    // Replace the input file with a versioned child (preserves its history).
+    // The version records "automate" as its origin tool — a policy is a
+    // multi-tool automation, not any single tool (redact/watermark/sanitize/…).
+    const { stirlingFiles, stubs } = await createStirlingFilesAndStubs(
+      files,
+      ctx.parentStub,
+      "automate",
+    );
+    // Mark the outputs handled BEFORE adding them, so the auto-run never enforces
+    // the policy on its own output — that would version endlessly in a loop.
+    for (const s of stubs) markDispatched(run.categoryId, s.id);
+    deliveredIds = stubs.map((s) => s.id as string);
+    await ctx.consumeFiles([run.fileId as FileId], stirlingFiles, stubs);
+  } else {
+    const added = await ctx.addFiles(files);
+    // Same loop-guard for new-file output: the produced file is a new workspace
+    // file the auto-run would otherwise re-enforce indefinitely.
+    for (const f of added) markDispatched(run.categoryId, f.fileId);
+    deliveredIds = added.map((f) => f.fileId as string);
+  }
  const importedFileIds = [...done, ...fetched.map((f) => f.fileId)];
  updateRun(run.runId, {
    importedFileIds,
+    // Accumulate across partial-import retries rather than overwriting.
+    outputFileIds: [...(run.outputFileIds ?? []), ...deliveredIds],
    imported: run.outputs.every((out) => importedFileIds.includes(out.fileId)),
  });
 }
@@ -161,13 +250,33 @@ export async function runPolicyOnFile(
  fileId: FileId,
  fileName: string,
 ): Promise<void> {
-  // Mark synchronously, before any await, so neither the dispatch effect nor a
-  // rapid Retry click can double-fire while the file bytes load.
-  markDispatched(categoryId, fileId);
+  // A freshly-uploaded file's bytes are written to IndexedDB asynchronously, so
+  // its stub can appear in the file list a beat before getStirlingFile resolves
+  // it. Wait briefly rather than bail — and DON'T mark dispatched until we hold
+  // the file, or a too-early miss would skip enforcement on that file forever.
+  // (The caller's in-flight guard prevents double-dispatch during this wait.)
+  // A transient IndexedDB error is treated as a miss (not a throw), so it retries
+  // and then marks dispatched rather than rejecting into a hot re-dispatch loop.
+  const tryGetFile = async (): Promise<StirlingFile | null> => {
+    try {
+      return await fileStorage.getStirlingFile(fileId);
+    } catch {
+      return null;
+    }
+  };
+  let file = await tryGetFile();
+  for (let i = 0; i < FILE_WAIT_TRIES && !file; i++) {
+    await delay(FILE_WAIT_MS);
+    file = await tryGetFile();
+  }
+  if (!file) {
+    // File genuinely gone (removed before it could run) — mark so we don't loop.
+    markDispatched(categoryId, fileId);
+    return;
+  }
  try {
-    const file = await fileStorage.getStirlingFile(fileId);
-    if (!file) return; // file gone; nothing to run (already marked above).
    const runId = await runStoredPolicy(backendId, [file]);
+    // recordRunStart marks this (policy, file) dispatched as it records the run.
    recordRunStart({
      runId,
      categoryId,
@@ -180,8 +289,9 @@ export async function runPolicyOnFile(
      startedAt: Date.now(),
    });
  } catch {
-    // Dispatch failed (offline / backend error). Already marked dispatched so we
-    // don't hammer; the absent run simply won't appear in the activity feed.
+    // Dispatch failed (offline / backend error). Mark dispatched so we don't
+    // hammer; the absent run simply won't appear in the activity feed.
+    markDispatched(categoryId, fileId);
  }
 }

@@ -180,27 +180,29 @@ export const POLICY_CONFIG: Record<string, PolicyConfigDef> = {
        parameters: {
          mode: "automatic",
          useRegex: true,
+          // Flatten to image so redacted text is truly removed, not just hidden
+          // behind a box (heavier, but real redaction).
+          convertPDFToImage: true,
          wordsToRedact: DEFAULT_PII_PATTERNS,
        },
      },
-      { operation: "sanitize", parameters: {} },
+      {
+        // Sanitize is fixed to JavaScript removal only (no per-policy config).
+        operation: "sanitize",
+        parameters: {
+          removeJavaScript: true,
+          removeEmbeddedFiles: false,
+          removeMetadata: false,
+          removeLinks: false,
+          removeFonts: false,
+          removeXMPMetadata: false,
+        },
+      },
    ],
    scopeLabel: "All PDFs on this device",
    // Policy-level controls only — detection/encryption/signing/watermark are
    // per-tool and now live in the Workflow step.
    fields: [
-      {
-        label: "Default PII response",
-        key: "defaultResponse",
-        type: "select",
-        value: "Highlight & tag",
-        options: [
-          "Highlight & tag",
-          "Prompt on export",
-          "Auto-redact on export",
-          "Block export",
-        ],
-      },
      {
        label: "User can override",
        key: "userOverride",
@@ -128,6 +128,8 @@ export function usePolicies() {
        sources: result.sources,
        scopeTypes: result.scopeTypes,
        reviewerEmail: result.reviewerEmail,
+        outputMode: result.folder.outputMode,
+        outputName: result.folder.outputName,
      });
    },
    [],
@@ -161,6 +163,8 @@ export function usePolicies() {
        sources: result.sources,
        scopeTypes: result.scopeTypes,
        reviewerEmail: result.reviewerEmail,
+        outputMode: result.folder.outputMode,
+        outputName: result.folder.outputName,
      });
    },
    [],
@@ -222,6 +226,8 @@ export function usePolicies() {
        sources: result.sources,
        scopeTypes: result.scopeTypes,
        reviewerEmail: result.reviewerEmail,
+        outputMode: result.folder.outputMode,
+        outputName: result.folder.outputName,
      });
    },
    [],
@@ -249,17 +255,35 @@ export function usePolicies() {
  }, []);

  /**
-   * Ensure a configured policy has a backing folder (its editable pipeline),
-   * creating one from the preset if missing. Returns the folder id.
+   * Ensure a configured policy has a *valid* backing folder (its editable
+   * pipeline) and return its id. Self-heals a stale `folderId` — one that no
+   * longer resolves to a real folder (cleared storage, or a folder left in an
+   * old IndexedDB after a rename/migration) — which would otherwise hang the
+   * Edit-Settings view on a permanent "Loading…". When recreating, the backend's
+   * stored automation is used if present so the configured pipeline survives;
+   * otherwise it falls back to the preset.
   */
  const ensurePolicyFolder = useCallback(async (id: string) => {
-    const existing = loadPolicies()[id]?.folderId;
-    if (existing) return existing;
+    const state = loadPolicies()[id];
+    const existing = state?.folderId;
+    // A healthy backing folder resolves to an automation; if it does, keep it.
+    if (existing && (await getPolicyAutomation(existing))) return existing;
    const catalog = loadPolicyCatalog();
    const category = catalog.categories.find((c) => c.id === id);
    const config = catalog.configs[id];
    if (!category || !config) return undefined;
-    const folder = await createPolicyFolder(category, config.defaultOperations);
+    // Stale/missing folder → recreate. Prefer the backend's stored automation
+    // (preserves the user's configured steps); else seed from the preset.
+    let operations = config.defaultOperations;
+    if (state?.backendId) {
+      const decoded = await fetchPoliciesByCategory()
+        .then((m) => m.get(id))
+        .catch(() => undefined);
+      if (decoded?.automation?.operations?.length) {
+        operations = decoded.automation.operations;
+      }
+    }
+    const folder = await createPolicyFolder(category, operations);
    updatePolicy(id, { folderId: folder.id });
    return folder.id;
  }, []);
@@ -14,9 +14,11 @@ const ACCENT_VAR: Record<string, string> = {
 };

 /**
- * Distinct policies that have run on each file, keyed by fileId, derived from the
- * reactive policy run store. Drives the file sidebar's shield badges. Shadows the
- * core stub via the {@code @app/*} alias cascade.
+ * Distinct policies that have produced each file, keyed by fileId, derived from
+ * the reactive policy run store. Drives the file sidebar's shield badges. The
+ * badge marks a policy's OUTPUT (the versioned/added result), not the input it
+ * ran on — so it keys off each run's imported output fileIds. Shadows the core
+ * stub via the {@code @app/*} alias cascade.
 */
 export function usePolicyFileBadges(): Map<string, FileItemPolicyRef[]> {
  const runs = usePolicyRuns();
@@ -28,14 +30,16 @@ export function usePolicyFileBadges(): Map<string, FileItemPolicyRef[]> {
    for (const run of runs) {
      const name = labelById.get(run.categoryId);
      if (!name) continue;
-      const list = byFile.get(run.fileId) ?? [];
-      if (!list.some((p) => p.id === run.categoryId)) {
-        list.push({
-          id: run.categoryId,
-          name,
-          accentColor: ACCENT_VAR[ROW_ACCENT[run.categoryId] ?? "blue"],
-        });
-        byFile.set(run.fileId, list);
+      for (const fileId of run.outputFileIds ?? []) {
+        const list = byFile.get(fileId) ?? [];
+        if (!list.some((p) => p.id === run.categoryId)) {
+          list.push({
+            id: run.categoryId,
+            name,
+            accentColor: ACCENT_VAR[ROW_ACCENT[run.categoryId] ?? "blue"],
+          });
+          byFile.set(fileId, list);
+        }
      }
    }
    return byFile;
@@ -51,6 +51,8 @@ export function decodedToState(
    scopeTypes: decoded.scopeTypes,
    reviewerEmail: decoded.reviewerEmail,
    fieldValues: decoded.fieldValues,
+    outputMode: decoded.folder.outputMode,
+    outputName: decoded.folder.outputName,
    folderId: localFolderId,
    backendId: decoded.id,
    // Catalog-category policies are built-in defaults (not deletable).
@@ -203,7 +203,7 @@ export interface DecodedPolicy {
 }

 const DEFAULT_FOLDER: PolicyFolderSettings = {
-  outputMode: "new_file",
+  outputMode: "new_version",
  outputName: "",
  outputNamePosition: "prefix",
  maxRetries: 3,
@@ -265,7 +265,10 @@ export function fromBackendPolicy(policy: BackendPolicy): DecodedPolicy {
    fieldValues:
      (output.fieldValues as DecodedPolicy["fieldValues"] | undefined) ?? {},
    folder: {
-      outputMode: output.mode === "new_version" ? "new_version" : "new_file",
+      // Default to versioning unless the stored policy explicitly says new_file,
+      // so a missing/legacy output.mode follows the new-version default rather
+      // than silently flipping a reconciled policy to spawning separate files.
+      outputMode: output.mode === "new_file" ? "new_file" : "new_version",
      outputName: str(output.name),
      outputNamePosition:
        output.position === "suffix"
@@ -22,6 +22,10 @@ function defaultState(): PolicyState {
    // Empty by default; the wizard defaults the reviewer to the signed-in user.
    reviewerEmail: "",
    fieldValues: {},
+    // Default to versioning the input file rather than spawning a separate one.
+    outputMode: "new_version",
+    // No rename by default — the output keeps the input's filename.
+    outputName: "",
    // Every catalog category is a shipped, built-in policy → default (not
    // deletable). User-created policies (later) will set this false.
    isDefault: true,
@@ -125,6 +125,13 @@ export interface PolicyState {
  reviewerEmail: string;
  /** Saved field values, keyed by field key (overrides the definition default). */
  fieldValues: Record<string, boolean | string | string[]>;
+  /** How a run's output is delivered: a separate new file, or a new version of
+   *  the input file the policy ran on. Defaults to "new_version". */
+  outputMode?: "new_file" | "new_version";
+  /** Rename rule for the output. When empty (the default) the output keeps the
+   *  input's filename; when set, it's applied as a prefix/suffix per the policy's
+   *  name-position setting. */
+  outputName?: string;
  /**
   * The backing folder-trigger record (a Watched Folders `WatchedFolder`) that
   * holds this policy's editable steps (its automation), output config and run