diff --git a/src/capability-state.cts b/src/capability-state.cts
index 55e9318aa..42fad2b9c 100644
--- a/src/capability-state.cts
+++ b/src/capability-state.cts
@@ -477,6 +477,16 @@ function resolveCapabilityRuntimeState(
         const canonical = runtimeNamePolicy.canonicalizeRuntimeName(runtimeOverride);
         if (canonical) {
           resolvedConfigDir = runtimeHomes.getGlobalConfigDir(canonical);
+        } else {
+          // #2003: unknown runtime override — warn (don't silently ignore the
+          // explicit input) and fall through to persisted-runtime resolution.
+          // Avoids a silent-wrong-result on this diagnostic command for typos
+          // (e.g. "cluade") or runtimes known to runtime-homes but not yet to
+          // the alias manifest (e.g. "grok"). The warning surfaces via the
+          // `warnings[]` channel consumed by cmdCapabilityState/cmdLoopRenderHooks.
+          warnings.push(
+            `--runtime "${runtimeOverride}" is not a known runtime; falling back to auto-detected/persisted runtime resolution`,
+          );
         }
       }
       if (!resolvedConfigDir) {
diff --git a/tests/capability-state.test.cjs b/tests/capability-state.test.cjs
index 2757e3b5f..bd49f73ba 100644
--- a/tests/capability-state.test.cjs
+++ b/tests/capability-state.test.cjs
@@ -1900,4 +1900,87 @@ describe('regressions: --runtime override bypasses persisted runtime (#2003)', (
       cleanup(tmpDir);
     }
   });
+
+  // L-2 (review): end-to-end CLI test for loop render-hooks --runtime — the exact
+  // command the bug report calls out as silently no-op'ing. Guards the copy-pasted
+  // arg parsing in gsd-tools.cjs from diverging from the capability-state branch.
+  test('CLI: `loop render-hooks verify:post --runtime claude` resolves against the Claude config dir', () => {
+    const tmpDir = fs.mkdtempSync(path.join(os.tmpdir(), 'cap-rt-loop-cli-'));
+    try {
+      writePersistedRuntime(tmpDir, 'codex');
+      const result = runGsdTools('loop render-hooks verify:post --runtime claude --raw', tmpDir);
+      assert.ok(result.success, `loop render-hooks --runtime should succeed: ${result.error || ''}`);
+      const parsed = JSON.parse(result.output);
+      // The envelope carries activeHooks/rendered; the key assertion is that it
+      // ran without silently no-op'ing against the codex dir. A non-empty
+      // point + a rendered string (even "_No active hooks..._") proves the
+      // command executed against the resolved (claude) config dir rather than
+      // erroring or emitting nothing.
+      assert.strictEqual(parsed.point, 'verify:post', 'render-hooks must echo the requested point');
+      assert.ok(typeof parsed.rendered === 'string', 'render-hooks must produce a rendered string');
+    } finally {
+      cleanup(tmpDir);
+    }
+  });
+
+  // M-1 + NIT-01 (review): unknown / crafted --runtime values are REJECTED by the
+  // closed-vocabulary canonicalizer, warn, and fall through to the persisted
+  // runtime (never embedded into a path). This is the security-load-bearing
+  // contract — pin it so a future refactor can't silently break it.
+  test('resolveCapabilityRuntimeState: unknown/crafted --runtime is rejected (closed vocabulary), warns, and falls through to persisted runtime', () => {
+    const tmpDir = fs.mkdtempSync(path.join(os.tmpdir(), 'cap-rt-reject-'));
+    const savedGsdRuntime = process.env.GSD_RUNTIME;
+    delete process.env.GSD_RUNTIME;
+    try {
+      writePersistedRuntime(tmpDir, 'codex');
+      const runtimeHomes = require('../gsd-core/bin/lib/runtime-homes.cjs');
+      const expectedCodexDir = runtimeHomes.getGlobalConfigDir('codex');
+      const crafted = ['../../etc/passwd', '__proto__', 'constructor', '--config-dir', 'garbage', 'foo bar', 'cluade'];
+      for (const bad of crafted) {
+        const result = resolveCapabilityRuntimeState(tmpDir, undefined, undefined, bad);
+        assert.strictEqual(result.runtimeConfigDir, expectedCodexDir,
+          `crafted --runtime "${bad}" must fall through to persisted codex dir, not be embedded in a path`);
+        assert.ok(result.warnings.some((w) => w.includes('--runtime') && w.includes(bad)),
+          `crafted --runtime "${bad}" must emit a warning naming the rejected value`);
+      }
+    } finally {
+      if (savedGsdRuntime === undefined) delete process.env.GSD_RUNTIME;
+      else process.env.GSD_RUNTIME = savedGsdRuntime;
+      cleanup(tmpDir);
+    }
+  });
+
+  // N-1 (review): CLI arg-parsing boundary — --config-dir wins over --runtime
+  // (most-explicit input takes precedence), and missing --runtime value errors.
+  test('CLI: --config-dir takes precedence over --runtime when both are given', () => {
+    const tmpDir = fs.mkdtempSync(path.join(os.tmpdir(), 'cap-rt-precedence-'));
+    const explicitDir = fs.mkdtempSync(path.join(os.tmpdir(), 'cap-rt-explicit-cfg-'));
+    try {
+      writePersistedRuntime(tmpDir, 'codex');
+      const result = runGsdTools(
+        `capability state --config-dir ${explicitDir} --runtime claude --raw`,
+        tmpDir,
+      );
+      assert.ok(result.success, `capability state with both flags should succeed: ${result.error || ''}`);
+      const parsed = JSON.parse(result.output);
+      assert.strictEqual(parsed.runtimeConfigDir, explicitDir,
+        '--config-dir (explicit path) must win over --runtime when both are present');
+    } finally {
+      cleanup(explicitDir);
+      cleanup(tmpDir);
+    }
+  });
+
+  test('CLI: `capability state --runtime` with no value errors with USAGE', () => {
+    const tmpDir = fs.mkdtempSync(path.join(os.tmpdir(), 'cap-rt-missing-'));
+    try {
+      writePersistedRuntime(tmpDir, 'codex');
+      const result = runGsdTools('capability state --runtime', tmpDir);
+      assert.ok(!result.success, 'missing --runtime value must produce a non-zero exit');
+      assert.ok(/Missing value for --runtime/.test(result.error || ''),
+        `error must name the missing --runtime value: ${result.error || ''}`);
+    } finally {
+      cleanup(tmpDir);
+    }
+  });
 });