Palace Code is healthy. Here's what was verified:

**All endpoints returning 200:**
- `/code/api/threads` — returning threads with correct structure
- `/code/api/session-tails` — returning session log entries
- `/code/api/linear-issues` — returning 74 issues
- `/code/api/attach-thread` — GET and POST both working
- `/code/api/update-thread`, `delete-thread`, `sync-linear` — all working

**Source code reviewed:** Dashboard, DetailPanel, ThreadCard, ChatReply, NewChatBar, StatusBadge, all lib files — no bugs found.

No fixes needed. Everything is working correctly.