diff --git a/app/server/modules/agents/agents-manager.ts b/app/server/modules/agents/agents-manager.ts
index 9ca619b2..72e900c2 100644
--- a/app/server/modules/agents/agents-manager.ts
+++ b/app/server/modules/agents/agents-manager.ts
@@ -43,6 +43,6 @@ export const stopLocalAgent = async () => {
 export const agentManager = getAgentManagerRuntime();
 
 export const stopAgentRuntime = async () => {
-	getAgentManagerRuntime().stop();
+	await getAgentManagerRuntime().stop();
 	await stopLocalAgent();
 };
diff --git a/app/server/modules/agents/controller/server.ts b/app/server/modules/agents/controller/server.ts
index 63b3f1d4..67a2e808 100644
--- a/app/server/modules/agents/controller/server.ts
+++ b/app/server/modules/agents/controller/server.ts
@@ -1,5 +1,6 @@
-import { Effect, Exit, Fiber, Scope } from "effect";
+import { Data, Effect, Exit, Fiber, Scope } from "effect";
 import { logger } from "@zerobyte/core/node";
+import { toMessage } from "@zerobyte/core/utils";
 import type {
 	BackupCancelPayload,
 	BackupCancelledPayload,
@@ -37,6 +38,10 @@ type ControllerAgentSessionHandle = {
 	scope: Scope.CloseableScope;
 };
 
+class StopAgentManagerServerError extends Data.TaggedError("StopAgentManagerServerError")<{
+	cause: unknown;
+}> {}
+
 export function createAgentManagerRuntime() {
 	let sessions = new Map<string, ControllerAgentSessionHandle>();
 	let backupHandlers: AgentBackupEventHandlers = {};
@@ -171,13 +176,22 @@ export function createAgentManagerRuntime() {
 			}),
 		),
 		(server) =>
-			Effect.sync(() => {
-				closeAllSessions();
-				void server.stop(true);
-			}),
+			Effect.sync(closeAllSessions).pipe(
+				Effect.andThen(
+					Effect.tryPromise({
+						try: () => server.stop(true),
+						catch: (error) => new StopAgentManagerServerError({ cause: error }),
+					}),
+				),
+				Effect.catchAll((error) =>
+					Effect.sync(() => {
+						logger.error(`Failed to stop Agent Manager server: ${toMessage(error.cause)}`);
+					}),
+				),
+			),
 	);
 
-	const stop = () => {
+	const stop = async () => {
 		if (!runtimeScope) {
 			return;
 		}
@@ -185,12 +199,12 @@ export function createAgentManagerRuntime() {
 		logger.info("Stopping Agent Manager...");
 		const scope = runtimeScope;
 		runtimeScope = null;
-		Effect.runSync(Scope.close(scope, Exit.succeed(undefined)));
+		await Effect.runPromise(Scope.close(scope, Exit.succeed(undefined)));
 	};
 
-	const start = () => {
+	const start = async () => {
 		if (runtimeScope) {
-			stop();
+			await stop();
 		}
 
 		logger.info("Starting Agent Manager...");
@@ -201,7 +215,7 @@ export function createAgentManagerRuntime() {
 			runtimeScope = scope;
 			logger.info(`Agent Manager listening on port ${server.port}`);
 		} catch (error) {
-			Effect.runSync(Scope.close(scope, Exit.fail(error)));
+			await Effect.runPromise(Scope.close(scope, Exit.fail(error)));
 			throw error;
 		}
 	};
@@ -221,7 +235,11 @@ export function createAgentManagerRuntime() {
 				return false;
 			}
 
-			Effect.runSync(session.sendBackup(payload));
+			if (!Effect.runSync(session.sendBackup(payload))) {
+				logger.warn(`Cannot send backup command. Agent ${agentId} is no longer accepting commands.`);
+				return false;
+			}
+
 			logger.info(`Sent backup command ${payload.jobId} to agent ${agentId} for schedule ${payload.scheduleId}`);
 			return true;
 		},
@@ -233,7 +251,11 @@ export function createAgentManagerRuntime() {
 				return false;
 			}
 
-			Effect.runSync(session.sendBackupCancel(payload));
+			if (!Effect.runSync(session.sendBackupCancel(payload))) {
+				logger.warn(`Cannot cancel backup command. Agent ${agentId} is no longer accepting commands.`);
+				return false;
+			}
+
 			logger.info(`Sent backup cancel for command ${payload.jobId} to agent ${agentId}`);
 			return true;
 		},
diff --git a/app/server/modules/agents/controller/session.ts b/app/server/modules/agents/controller/session.ts
index 19805aea..cae39436 100644
--- a/app/server/modules/agents/controller/session.ts
+++ b/app/server/modules/agents/controller/session.ts
@@ -46,8 +46,8 @@ type ControllerAgentSessionHandlers = {
 export type ControllerAgentSession = {
 	readonly connectionId: string;
 	handleMessage: (data: string) => Effect.Effect<void>;
-	sendBackup: (payload: BackupRunPayload) => Effect.Effect<void>;
-	sendBackupCancel: (payload: BackupCancelPayload) => Effect.Effect<void>;
+	sendBackup: (payload: BackupRunPayload) => Effect.Effect<boolean>;
+	sendBackupCancel: (payload: BackupCancelPayload) => Effect.Effect<boolean>;
 	isReady: () => Effect.Effect<boolean>;
 	run: Effect.Effect<void, never, Scope.Scope>;
 };
@@ -70,6 +70,7 @@ export const createControllerAgentSession = (
 				Effect.catchAllCause((cause) =>
 					Effect.sync(() => {
 						logger.error(`Failed to queue outbound message for agent ${socket.data.agentId}: ${toMessage(cause)}`);
+						return false;
 					}),
 				),
 			);
@@ -232,8 +233,13 @@ export const createControllerAgentSession = (
 			},
 			sendBackup: (payload) => {
 				return Effect.gen(function* () {
-					yield* setTrackedBackupJob(payload.jobId, { scheduleId: payload.scheduleId, state: "pending" });
-					yield* offerOutbound(createControllerMessage("backup.run", payload));
+					const queued = yield* offerOutbound(createControllerMessage("backup.run", payload));
+
+					if (queued) {
+						yield* setTrackedBackupJob(payload.jobId, { scheduleId: payload.scheduleId, state: "pending" });
+					}
+
+					return queued;
 				});
 			},
 			sendBackupCancel: (payload) => offerOutbound(createControllerMessage("backup.cancel", payload)),
diff --git a/app/server/modules/agents/local/process.ts b/app/server/modules/agents/local/process.ts
index d480cd14..c844a65d 100644
--- a/app/server/modules/agents/local/process.ts
+++ b/app/server/modules/agents/local/process.ts
@@ -24,7 +24,7 @@ export async function spawnLocalAgentProcess(runtime: LocalAgentState) {
 	const args = config.__prod__ ? ["run", agentEntryPoint] : ["run", "--watch", agentEntryPoint];
 	const agentProcess = spawn("bun", args, {
 		env: {
-			PATH: process.env.PATH,
+			...process.env,
 			ZEROBYTE_CONTROLLER_URL: "ws://localhost:3001",
 			ZEROBYTE_AGENT_TOKEN: agentToken,
 		},