diff --git a/development/BUGS.md b/development/BUGS.md
index 63ff8ee..c59c317 100644
--- a/development/BUGS.md
+++ b/development/BUGS.md
@@ -35,3 +35,32 @@ Active bugs detected during development. Do not fix until noted otherwise.
 **Root cause:** `sqlmodel>=0.0.16` was added to `pyproject.toml` but `pip install -e .` had not been re-run in the dev environment.
 
 **Fix:** Run `pip install -e ".[dev]"`. Already applied.
+
+---
+
+## BUG-003 — SSE `/api/v1/stream` proxy BrokenPipe storm
+
+**Detected:** 2026-04-17
+**Status:** Open — do not fix, testing first
+
+**Symptom:** The web-dashboard CLI proxy hammers `BrokenPipeError: [Errno 32] Broken pipe` on `GET /api/v1/stream` and answers with 502s. The SSE client reconnects, a handful succeed (200), then the next chunk write fails again:
+
+```
+decnet.cli - web proxy error GET /api/v1/stream?token=...: [Errno 32] Broken pipe
+decnet.cli - web code 502, message API proxy error: [Errno 32] Broken pipe
+...
+File "/home/anti/Tools/DECNET/decnet/cli.py", line 790, in _proxy
+    self.wfile.write(chunk)
+BrokenPipeError: [Errno 32] Broken pipe
+```
+
+During the failure the proxy also tries to `send_error(502, ...)` on the already-closed socket, producing a second BrokenPipe and a noisy traceback.
+
+**Root cause (suspected, unconfirmed):** the stdlib `http.server`-based proxy in `decnet/cli.py:_proxy` doesn't handle the browser closing the SSE socket cleanly — any `wfile.write(chunk)` after the client disconnects raises `BrokenPipe`, and then the error path itself writes to the dead socket. Upstream uvicorn SSE generator is probably fine; the proxy layer is the fragile piece.
+
+**Fix:** Deferred. Likely options when we get back to it:
+- Catch `BrokenPipeError` / `ConnectionResetError` inside `_proxy` and silently close instead of `send_error` (writing headers to a dead socket is always going to fail).
+- Replace the threaded stdlib proxy with something that understands streaming and disconnect signals properly.
+- Or bypass the proxy for `/api/v1/stream` specifically and let the browser hit the API directly (CORS permitting).
+
+**Impact:** Dashboard SSE is unusable under any real load; the API itself is unaffected.