diff --git a/packages/app/src/app/agent/[serverId]/[agentId].tsx b/packages/app/src/app/agent/[serverId]/[agentId].tsx
index ef597b93a..54af17062 100644
--- a/packages/app/src/app/agent/[serverId]/[agentId].tsx
+++ b/packages/app/src/app/agent/[serverId]/[agentId].tsx
@@ -1,4 +1,5 @@
 import { useEffect, useMemo, useRef, useCallback, useState } from "react";
+import { useShallow } from "zustand/shallow";
 import {
   View,
   Text,
@@ -154,18 +155,21 @@ function AgentScreenContent({ serverId, agentId, onBack }: AgentScreenContentPro
   );
 
   // Select child agents (agents where parentAgentId === current agentId)
-  const childAgents = useSessionStore((state) => {
-    if (!resolvedAgentId) return [];
-    const agents = state.sessions[serverId]?.agents;
-    if (!agents) return [];
-    const children: Array<{ id: string; title: string | null }> = [];
-    for (const [id, a] of agents) {
-      if (a.parentAgentId === resolvedAgentId) {
-        children.push({ id, title: a.title });
+  // Use useShallow to avoid creating new array references on every render
+  const childAgents = useSessionStore(
+    useShallow((state) => {
+      if (!resolvedAgentId) return [];
+      const agents = state.sessions[serverId]?.agents;
+      if (!agents) return [];
+      const children: Array<{ id: string; title: string | null }> = [];
+      for (const [id, a] of agents) {
+        if (a.parentAgentId === resolvedAgentId) {
+          children.push({ id, title: a.title });
+        }
       }
-    }
-    return children;
-  });
+      return children;
+    })
+  );
 
   // Select only the specific stream state - use stable empty array to avoid infinite loop
   const streamItemsRaw = useSessionStore((state) =>
diff --git a/plan.md b/plan.md
index 5d1da8309..c38a29bb7 100644
--- a/plan.md
+++ b/plan.md
@@ -334,7 +334,7 @@ Files requiring modification:
   - Run typecheck after changes.
   - **Done (2025-12-21 22:00)**: Added Sub-Agents section to agent info menu in `[agentId].tsx`. Added `childAgents` selector to query agents with matching `parentAgentId`. Added `handleNavigateToChildAgent` callback for navigation. UI shows "No sub-agents" when empty, or clickable list of child agents with chevron icons. Typecheck passes.
 
-- [ ] **Test**: Verify parent/child hierarchy end-to-end.
+- [x] **Test**: Verify parent/child hierarchy end-to-end.
 
   - Create a root agent via the UI
   - Use MCP to spawn a child agent from within the root agent
@@ -343,6 +343,24 @@ Files requiring modification:
   - Click child agent in menu, verify navigation works
   - Verify back button returns to parent agent screen
   - If issues found: add fix tasks + re-test task.
+  - **Done (2025-12-21 22:30)**: PARTIAL PASS with issues found. Fixed infinite loop bug (added `useShallow` to `childAgents` selector). Agent screen loads correctly. Sub-Agents menu section shows "No sub-agents". Parent agent successfully created child via MCP `create_agent`. However, child appears on homepage because `parentAgentId` not set - MCP server doesn't auto-inject calling agent's ID. Fix task added.
+
+- [ ] **Fix**: Auto-inject parentAgentId in MCP create_agent tool.
+
+  - The MCP server needs to know which agent is calling it
+  - Explore passing agent ID context when MCP transport is created
+  - Or: Have each agent's MCP session be scoped to that agent
+  - Update `create_agent` handler to automatically set `parentAgentId`
+  - Run typecheck after changes.
+
+- [ ] **Test**: Re-verify parent/child hierarchy after MCP fix.
+
+  - Create a root agent via the UI
+  - Use MCP to spawn a child agent from within the root agent
+  - Verify child agent has `parentAgentId` set automatically
+  - Verify homepage only shows the root agent (not the child)
+  - Verify root agent's menu shows the child in "Sub-Agents" section
+  - Click child agent in menu, verify navigation works
 
 - [ ] **Plan**: Re-audit agent hierarchy after initial implementation.