diff --git a/desktop/src/features/agents/lib/liveSwitchOutcome.test.mjs b/desktop/src/features/agents/lib/liveSwitchOutcome.test.mjs
index 737d84b862..6024aa1a42 100644
--- a/desktop/src/features/agents/lib/liveSwitchOutcome.test.mjs
+++ b/desktop/src/features/agents/lib/liveSwitchOutcome.test.mjs
@@ -113,6 +113,24 @@ test("awaitLiveSwitchOutcome rejects on unsupported immediately and unsubscribes
   assert.equal(h.unsubscribeCalls, 1, "no double-unsubscribe on a late frame");
 });
 
+test("awaitLiveSwitchOutcome settles failed immediately on an adapter-refused frame without waiting for other channels or the timeout", async () => {
+  const h = harness(3);
+  // channelCount 3, so a success-path impl would need three acks. A single
+  // `failure` frame must fail-fast to "failed" (not "unsupported", not "ok")
+  // before the other two channels reply — proving it never traverses the
+  // success-count path.
+  h.push(frame("failure"));
+  assert.equal(await h.outcome, "failed");
+  // The timeout was cancelled (no 8s wait) and the listener detached exactly
+  // once — the frame settled synchronously, not via the fallback.
+  assert.equal(h.cancelTimeoutCalls, 1, "timeout cancelled, not awaited");
+  assert.equal(h.unsubscribeCalls, 1);
+
+  // A later frame must not re-resolve or re-unsubscribe.
+  h.push(frame("switched"));
+  assert.equal(h.unsubscribeCalls, 1, "no double-unsubscribe on a late frame");
+});
+
 test("awaitLiveSwitchOutcome ignores frames for a different model or control type", async () => {
   const h = harness(1);
   h.push(frame("sent", { modelId: "some-other-model" }));
diff --git a/desktop/src/features/agents/lib/liveSwitchOutcome.ts b/desktop/src/features/agents/lib/liveSwitchOutcome.ts
index d12261e596..efb3006385 100644
--- a/desktop/src/features/agents/lib/liveSwitchOutcome.ts
+++ b/desktop/src/features/agents/lib/liveSwitchOutcome.ts
@@ -4,12 +4,18 @@ import type { ControlResultFrame } from "@/shared/api/types";
  * Resolve the outcome of a live `switch_model` across one or more channels.
  *
  * A live switch fires a `switch_model` frame per active channel and learns each
- * channel's result asynchronously over the observer relay. The fail-fast rule:
- * any single `unsupported_model` result rejects the whole pick immediately;
- * every other status must arrive from every channel before resolving success.
- * If the harness never replies, the fallback timeout resolves `"ok"` — the
- * override still rides the requeued/next session, we just can't confirm it
- * synchronously.
+ * channel's result asynchronously over the observer relay. Two statuses
+ * fail-fast — any single frame rejects the whole pick immediately, without
+ * waiting for the other channels or the timeout:
+ *   - `unsupported_model` → the target model isn't available for this agent.
+ *   - `failure`           → the adapter refused the switch (the session stays
+ *                           on its current model).
+ * The causes differ, so they resolve to distinct outcomes (`"unsupported"` vs
+ * `"failed"`) the caller can message separately. Every other status
+ * (`sent` / `switched` / `turn_ending`) must arrive from every channel before
+ * resolving success. If the harness never replies, the fallback timeout
+ * resolves `"ok"` — the override still rides the requeued/next session, we just
+ * can't confirm it synchronously.
  *
  * The counting lives here, isolated from React and the relay so it can be unit
  * tested with synthetic frames and a fake clock. The caller injects the
@@ -32,12 +38,12 @@ export async function awaitLiveSwitchOutcome({
   sendSwitches: () => Promise<void>;
   /** Schedule the no-reply fallback; returns a cancel function. */
   scheduleTimeout: (onTimeout: () => void) => () => void;
-}): Promise<"ok" | "unsupported"> {
-  const settled = new Promise<"ok" | "unsupported">((resolve) => {
+}): Promise<"ok" | "unsupported" | "failed"> {
+  const settled = new Promise<"ok" | "unsupported" | "failed">((resolve) => {
     let unsubscribe = () => {};
     let cancelTimeout = () => {};
     let remaining = channelCount;
-    const finish = (outcome: "ok" | "unsupported") => {
+    const finish = (outcome: "ok" | "unsupported" | "failed") => {
       cancelTimeout();
       unsubscribe();
       resolve(outcome);
@@ -48,10 +54,16 @@ export async function awaitLiveSwitchOutcome({
         return;
       }
       if (frame.status === "unsupported_model") {
-        // Any single failure rejects the whole pick immediately.
+        // Model unavailable — reject the whole pick immediately.
         finish("unsupported");
         return;
       }
+      if (frame.status === "failure") {
+        // Adapter refused the switch — reject immediately. The session stays
+        // on its current model; distinct outcome so the caller can say why.
+        finish("failed");
+        return;
+      }
       // sent / switched / turn_ending — count as success for this channel.
       remaining -= 1;
       if (remaining <= 0) {
diff --git a/desktop/src/features/agents/ui/ModelPicker.tsx b/desktop/src/features/agents/ui/ModelPicker.tsx
index f7bafde99b..6fda3be4df 100644
--- a/desktop/src/features/agents/ui/ModelPicker.tsx
+++ b/desktop/src/features/agents/ui/ModelPicker.tsx
@@ -108,9 +108,10 @@ export function ModelPicker({
   }, [configSurface]);
 
   // Send a live `switch_model` frame to each channel the agent is working in
-  // and wait for the harness to acknowledge. Any single `unsupported_model`
-  // result rejects the whole pick immediately; all other statuses must arrive
-  // from every channel before resolving success.
+  // and wait for the harness to acknowledge. A single `unsupported_model`
+  // (model unavailable) or `failure` (adapter refused) result rejects the whole
+  // pick immediately; all other statuses must arrive from every channel before
+  // resolving success.
   const sendLiveSwitch = React.useCallback(
     (modelId: string) => {
       const channelIds = activeTurns.map((turn) => turn.channelId);
@@ -147,6 +148,12 @@ export function ModelPicker({
           toast.error("That model isn't available for this agent.");
           return;
         }
+        if (outcome === "failed") {
+          toast.error(
+            "Couldn't switch models — the agent kept its current model.",
+          );
+          return;
+        }
         toast.success("Model switched for this session.");
         onModelChanged?.();
         return;