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+---
+name: "Update mergemaster prompt to allow conflict resolution and code fixes"
+---
+
+# Story 135: Update mergemaster prompt to allow conflict resolution and code fixes
+
+## User Story
+
+As a user, I want the mergemaster agent to be able to resolve simple conflicts and fix minor gate failures itself, instead of being told to never write code and looping infinitely on failures.
+
+## Acceptance Criteria
+
+- [ ] The mergemaster prompt in project.toml no longer says "Do NOT implement code yourself" or "Do not write code"
+- [ ] The mergemaster prompt instructs the agent to resolve simple additive conflicts (both branches adding code at the same location) automatically
+- [ ] The mergemaster prompt instructs the agent to attempt minor fixes when quality gates fail (e.g. syntax errors, missing semicolons) rather than just reporting and looping
+- [ ] For complex conflicts or non-trivial gate failures, the mergemaster prompt instructs the agent to report clearly to the human rather than attempting a fix
+- [ ] The system_prompt field is updated to match the new prompt behaviour
+- [ ] The mergemaster prompt includes a max retry limit instruction — if gates fail after 2 fix attempts, stop and report to the human instead of retrying
+
+## Out of Scope
+
+- TBD