diff --git a/CLAUDE.md b/CLAUDE.md
index 221bec7..9cdfa8a 100644
--- a/CLAUDE.md
+++ b/CLAUDE.md
@@ -223,7 +223,7 @@ The shim mappings are automatically registered via `Shims()`.
 ## Version Resolution
 
 **Priority order:**
-1. **Local**: Walk up from `pwd` looking for `.dtvem/runtimes.json` (stops at git root)
+1. **Local**: Walk up from `pwd` looking for `.dtvem/runtimes.json` (stops at filesystem root)
 2. **Global**: `~/.dtvem/config/runtimes.json`
 3. **Error**: No version configured
 
@@ -282,7 +282,7 @@ cd src && go test -cover ./...    # With coverage
 
 ### Test Coverage
 
-- `internal/config/` - Paths, version resolution, git root detection
+- `internal/config/` - Paths, version resolution, directory traversal
 - `internal/runtime/` - Registry, provider test harness
 - `internal/shim/` - Shim mapping, cache, file operations
 - `internal/ui/` - Output formatting functions
diff --git a/src/internal/config/version.go b/src/internal/config/version.go
index baea2ff..f82eea9 100644
--- a/src/internal/config/version.go
+++ b/src/internal/config/version.go
@@ -33,7 +33,7 @@ func ResolveVersion(runtimeName string) (string, error) {
 }
 
 // findLocalVersion walks up the directory tree looking for .dtvem/runtimes.json file
-// Stops at git repository root or filesystem root
+// Stops at filesystem root
 func findLocalVersion(runtimeName string) (string, error) {
 	// Start from current working directory
 	currentDir, err := os.Getwd()
@@ -54,13 +54,6 @@ func findLocalVersion(runtimeName string) (string, error) {
 			}
 		}
 
-		// Check if this directory contains a .git directory (repository root)
-		gitDir := filepath.Join(currentDir, ".git")
-		if _, err := os.Stat(gitDir); err == nil {
-			// We've reached the git repository root, stop here
-			break
-		}
-
 		// Move up one directory
 		parent := filepath.Dir(currentDir)
 
@@ -130,13 +123,6 @@ func FindLocalRuntimesFile() (string, error) {
 			return versionFile, nil
 		}
 
-		// Check if this directory contains a .git directory (repository root)
-		gitDir := filepath.Join(currentDir, ".git")
-		if _, err := os.Stat(gitDir); err == nil {
-			// We've reached the git repository root, stop here
-			break
-		}
-
 		// Move up one directory
 		parent := filepath.Dir(currentDir)
 
diff --git a/src/internal/config/version_test.go b/src/internal/config/version_test.go
index 8122731..57314f6 100644
--- a/src/internal/config/version_test.go
+++ b/src/internal/config/version_test.go
@@ -269,7 +269,7 @@ func TestFindLocalRuntimesFile_DirectoryWalking(t *testing.T) {
 	}
 }
 
-func TestFindLocalRuntimesFile_StopsAtGitRoot(t *testing.T) {
+func TestFindLocalRuntimesFile_TraversesThroughGitRoot(t *testing.T) {
 	// Create structure:
 	// temp/
 	//   └── outer/
@@ -277,7 +277,7 @@ func TestFindLocalRuntimesFile_StopsAtGitRoot(t *testing.T) {
 	//       └── repo/
 	//           └── .git/
 	//           └── subdir/
-	//               (run from here - should NOT find outer config)
+	//               (run from here - SHOULD find outer config)
 	tmpRoot := t.TempDir()
 	outerDir := filepath.Join(tmpRoot, "outer")
 	repoDir := filepath.Join(outerDir, "repo")
@@ -287,7 +287,7 @@ func TestFindLocalRuntimesFile_StopsAtGitRoot(t *testing.T) {
 		t.Fatalf("Failed to create directory structure: %v", err)
 	}
 
-	// Create outer config (should NOT be found)
+	// Create outer config (SHOULD be found)
 	outerConfigDir := filepath.Join(outerDir, ".dtvem")
 	if err := os.MkdirAll(outerConfigDir, 0755); err != nil {
 		t.Fatalf("Failed to create outer .dtvem: %v", err)
@@ -297,7 +297,7 @@ func TestFindLocalRuntimesFile_StopsAtGitRoot(t *testing.T) {
 		t.Fatalf("Failed to write outer config: %v", err)
 	}
 
-	// Create .git directory at repo level (marks git root)
+	// Create .git directory at repo level (should NOT stop traversal)
 	gitDir := filepath.Join(repoDir, ".git")
 	if err := os.MkdirAll(gitDir, 0755); err != nil {
 		t.Fatalf("Failed to create .git directory: %v", err)
@@ -311,10 +311,24 @@ func TestFindLocalRuntimesFile_StopsAtGitRoot(t *testing.T) {
 		t.Fatalf("Failed to change directory: %v", err)
 	}
 
-	// Should NOT find the outer config (stopped at git root)
-	_, err := FindLocalRuntimesFile()
-	if err == nil {
-		t.Error("FindLocalRuntimesFile() should not find config outside git root")
+	// SHOULD find the outer config (traverses through git root)
+	foundPath, err := FindLocalRuntimesFile()
+	if err != nil {
+		t.Fatalf("FindLocalRuntimesFile() error: %v", err)
+	}
+
+	// Resolve symlinks for comparison (macOS uses /var -> /private/var symlink)
+	foundPathResolved, err := filepath.EvalSymlinks(foundPath)
+	if err != nil {
+		t.Fatalf("Failed to resolve symlinks in found path: %v", err)
+	}
+	outerConfigPathResolved, err := filepath.EvalSymlinks(outerConfigPath)
+	if err != nil {
+		t.Fatalf("Failed to resolve symlinks in outer config path: %v", err)
+	}
+
+	if foundPathResolved != outerConfigPathResolved {
+		t.Errorf("FindLocalRuntimesFile() = %q, want %q", foundPathResolved, outerConfigPathResolved)
 	}
 }
 
diff --git a/src/internal/download/extract.go b/src/internal/download/extract.go
index 8c998b9..b37034c 100644
--- a/src/internal/download/extract.go
+++ b/src/internal/download/extract.go
@@ -10,8 +10,8 @@ import (
 	"path/filepath"
 	"strings"
 
-	"github.com/bodgit/sevenzip"
 	"github.com/CodingWithCalvin/dtvem.cli/src/internal/ui"
+	"github.com/bodgit/sevenzip"
 )
 
 // archiveFile is an interface for files within an archive (zip or 7z)