diff --git a/packages/cli/src/config/config.test.ts b/packages/cli/src/config/config.test.ts
index 995be3fc61..334236fd85 100644
--- a/packages/cli/src/config/config.test.ts
+++ b/packages/cli/src/config/config.test.ts
@@ -3632,6 +3632,8 @@ describe('loadCliConfig acpMode and clientName', () => {
   it('should set acpMode to true and detect clientName when --acp flag is used', async () => {
     process.argv = ['node', 'script.js', '--acp'];
     vi.stubEnv('TERM_PROGRAM', 'vscode');
+    vi.stubEnv('VSCODE_GIT_ASKPASS_MAIN', '');
+    vi.stubEnv('ANTIGRAVITY_CLI_ALIAS', '');
     const argv = await parseArguments(createTestMergedSettings());
     const config = await loadCliConfig(
       createTestMergedSettings(),
@@ -3645,6 +3647,8 @@ describe('loadCliConfig acpMode and clientName', () => {
   it('should set acpMode to true but leave clientName undefined for generic terminals', async () => {
     process.argv = ['node', 'script.js', '--acp'];
     vi.stubEnv('TERM_PROGRAM', 'iTerm.app'); // Generic terminal
+    vi.stubEnv('VSCODE_GIT_ASKPASS_MAIN', '');
+    vi.stubEnv('ANTIGRAVITY_CLI_ALIAS', '');
     const argv = await parseArguments(createTestMergedSettings());
     const config = await loadCliConfig(
       createTestMergedSettings(),
diff --git a/packages/core/src/agents/local-executor.test.ts b/packages/core/src/agents/local-executor.test.ts
index f8758cd935..d73428d50a 100644
--- a/packages/core/src/agents/local-executor.test.ts
+++ b/packages/core/src/agents/local-executor.test.ts
@@ -33,6 +33,7 @@ import {
   type PartListUnion,
   type Tool,
   type CallableTool,
+  type FunctionDeclaration,
 } from '@google/genai';
 import type { Config } from '../config/config.js';
 import { MockTool } from '../test-utils/mock-tool.js';
@@ -560,6 +561,34 @@ describe('LocalAgentExecutor', () => {
 
       getToolSpy.mockRestore();
     });
+
+    it('should not duplicate schemas when instantiated tools are provided in toolConfig', async () => {
+      // Create an instantiated mock tool
+      const instantiatedTool = new MockTool({ name: 'instantiated_tool' });
+
+      // Create an agent definition containing the instantiated tool
+      const definition = createTestDefinition([instantiatedTool]);
+
+      // Create the executor
+      const executor = await LocalAgentExecutor.create(
+        definition,
+        mockConfig,
+        onActivity,
+      );
+
+      // Extract the prepared tools list using the private method
+      const toolsList = (
+        executor as unknown as { prepareToolsList: () => FunctionDeclaration[] }
+      ).prepareToolsList();
+
+      // Filter for the specific tool schema
+      const foundSchemas = (
+        toolsList as unknown as FunctionDeclaration[]
+      ).filter((t: FunctionDeclaration) => t.name === 'instantiated_tool');
+
+      // Assert that there is exactly ONE schema for this tool
+      expect(foundSchemas).toHaveLength(1);
+    });
   });
 
   describe('run (Execution Loop and Logic)', () => {
diff --git a/packages/core/src/agents/local-executor.ts b/packages/core/src/agents/local-executor.ts
index 6a9dfe0151..fccd95aed6 100644
--- a/packages/core/src/agents/local-executor.ts
+++ b/packages/core/src/agents/local-executor.ts
@@ -1209,17 +1209,12 @@ export class LocalAgentExecutor<TOutput extends z.ZodTypeAny> {
 
     if (toolConfig) {
       for (const toolRef of toolConfig.tools) {
-        if (typeof toolRef === 'string') {
-          // The names were already expanded and loaded into the registry during creation.
-        } else if (typeof toolRef === 'object' && 'schema' in toolRef) {
-          // Tool instance with an explicit schema property.
-          toolsList.push(toolRef.schema);
-        } else {
+        if (typeof toolRef === 'object' && !('schema' in toolRef)) {
           // Raw `FunctionDeclaration` object.
           toolsList.push(toolRef);
         }
       }
-      // Add schemas from tools that were explicitly registered by name or wildcard.
+      // Add schemas from tools that were explicitly registered by name, wildcard, or instance.
       toolsList.push(...this.toolRegistry.getFunctionDeclarations());
     }