fix: prevent infinite recursion when server throws 401 after successful authentication (#945)

Co-authored-by: Vinicius Costa <viniciuscsouza@yahoo.com.br>
Co-authored-by: Tyler James Leonhardt <2644648+TylerLeonhardt@users.noreply.github.com>
Co-authored-by: Blust.AI <159488814+blustAI@users.noreply.github.com>
Co-authored-by: Eugene <eugene@blust.ai>

src/client/streamableHttp.test.ts

@@ -1001,4 +1001,69 @@ describe("StreamableHTTPClientTransport", () => {
       expect(global.fetch).not.toHaveBeenCalled();
     });
   });
+
+  describe("prevent infinite recursion when server returns 401 after successful auth", () => {
+    it("should throw error when server returns 401 after successful auth", async () => {
+    const message: JSONRPCMessage = {
+      jsonrpc: "2.0",
+      method: "test",
+      params: {},
+      id: "test-id"
+    };
+
+    // Mock provider with refresh token to enable token refresh flow
+    mockAuthProvider.tokens.mockResolvedValue({
+      access_token: "test-token",
+      token_type: "Bearer",
+      refresh_token: "refresh-token",
+    });
+
+    const unauthedResponse = {
+      ok: false,
+      status: 401,
+      statusText: "Unauthorized",
+      headers: new Headers()
+    };
+
+    (global.fetch as jest.Mock)
+      // First request - 401, triggers auth flow
+      .mockResolvedValueOnce(unauthedResponse)
+      // Resource discovery, path aware
+      .mockResolvedValueOnce(unauthedResponse)
+      // Resource discovery, root
+      .mockResolvedValueOnce(unauthedResponse)
+      // OAuth metadata discovery
+      .mockResolvedValueOnce({
+        ok: true,
+        status: 200,
+        json: async () => ({
+          issuer: "http://localhost:1234",
+          authorization_endpoint: "http://localhost:1234/authorize",
+          token_endpoint: "http://localhost:1234/token",
+          response_types_supported: ["code"],
+          code_challenge_methods_supported: ["S256"],
+        }),
+      })
+      // Token refresh succeeds
+      .mockResolvedValueOnce({
+        ok: true,
+        status: 200,
+        json: async () => ({
+          access_token: "new-access-token",
+          token_type: "Bearer",
+          expires_in: 3600,
+        }),
+      })
+      // Retry the original request - still 401 (broken server)
+      .mockResolvedValueOnce(unauthedResponse);
+
+    await expect(transport.send(message)).rejects.toThrow("Server returned 401 after successful authentication");
+    expect(mockAuthProvider.saveTokens).toHaveBeenCalledWith({
+      access_token: "new-access-token",
+      token_type: "Bearer",
+      expires_in: 3600,
+      refresh_token: "refresh-token", // Refresh token is preserved
+    });
+  });
+  });
 });

src/client/streamableHttp.ts

@@ -131,6 +131,7 @@ export class StreamableHTTPClientTransport implements Transport {
   private _sessionId?: string;
   private _reconnectionOptions: StreamableHTTPReconnectionOptions;
   private _protocolVersion?: string;
+  private _hasCompletedAuthFlow = false; // Circuit breaker: detect auth success followed by immediate 401
 
   onclose?: () => void;
   onerror?: (error: Error) => void;
@@ -437,6 +438,10 @@ export class StreamableHTTPClientTransport implements Transport {
 
       if (!response.ok) {
         if (response.status === 401 && this._authProvider) {
+          // Prevent infinite recursion when server returns 401 after successful auth
+          if (this._hasCompletedAuthFlow) {
+            throw new StreamableHTTPError(401, "Server returned 401 after successful authentication");
+          }
 
           this._resourceMetadataUrl = extractResourceMetadataUrl(response);
 
@@ -445,6 +450,8 @@ export class StreamableHTTPClientTransport implements Transport {
             throw new UnauthorizedError();
           }
 
+          // Mark that we completed auth flow
+          this._hasCompletedAuthFlow = true;
           // Purposely _not_ awaited, so we don't call onerror twice
           return this.send(message);
         }
@@ -455,6 +462,9 @@ export class StreamableHTTPClientTransport implements Transport {
         );
       }
 
+      // Reset auth loop flag on successful response
+      this._hasCompletedAuthFlow = false;
+
       // If the response is 202 Accepted, there's no body to process
       if (response.status === 202) {
         // if the accepted notification is initialized, we start the SSE stream