setup-project.py: family_folder_here reads the family's DISPLAY name, so the layout family.py init makes for a family created with --name is not detected as a family folder and the old display-name layout is #696

Goal: standing in the folder family.py init made for a family (<Family>/, the holder at <Family>/<Family>) is detected whatever name: the manifest carries, as AGENTS.md says.

Filed by lane openRepoShape-5 on Brett Heap's word of 2026-10-16T12:17:02Z ("#459's family lines (~38)"), from the checklist line on #459 (comment 6214512824, R454 O3). Lane 4 judged it OPEN on 95780dd (L4-110, cluster T15); re-read and probed on d4a7fab. It is #629's class (a family's folder is named after the holder's REPOSITORY, not name:), outside the family's own files, and predates #642.

Lane 3's #460 lines. Lane 3 now owns #460's lines, R605's template line among them; its fix of R605's template line may land first. It does not touch setup-project.py.

Lines (line numbers at d4a7fab)

• setup-project.py's family_folder_here reads the DISPLAY name. return name if str(data.get("name") or "") == name else "" (setup-project.py:1598, the function at :1568). Probed on main by calling it: Quill/ holding Quill/family.yaml with name: QuillWorks and repository: org/Quill gives ''; QuillWorks/ holding QuillWorks/family.yaml with the same manifest gives 'QuillWorks'. So the layout init makes (<Family>/<Family>, the folder after the repository, which README and the family siblings.py now name, siblings.py:854-872 family_folder_name) is NOT detected, and the old display-name layout is. For a family made with --name, AGENTS.md:78-81 ("Standing in a family FOLDER — <Family>/, holder cloned at <Family>/<Family> — is DETECTED and said in the plan with no flag") is false, and setup's plan line and its family.py add next-command go missing, and the nested-family refusal (setup-project.py:1649-1662) is not asked of it. Direction: compare the basename of the manifest's repository: (repo_basename, as family_folder_name does), falling back to name: where repository: is absent; a test row for the three layouts above (Quill/Quill with name: QuillWorks, QuillWorks/QuillWorks, and InkRouter/InkRouter with the two the same).

Overlaps: lane 5's #647 edits setup-project.py's family git switch -c line (about :2358, another function). #608 and #623 (landed) edited the same file's steps (3) and (4). No open PR edits family_folder_here. setup-project.py is not a pinned copy.

Mark the line → this issue on #459, and tick it there when this closes.

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