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FunctionBundlingUserError: ‘___netlify-entry-point’ is a reserved word error on macOS with Netlify CLI 21.4.0 #7309

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@GeneralE2022

Description

@GeneralE2022

Describe the bug

When running netlify dev or deploying functions, I encounter this error preventing the functions from bundling:

FunctionBundlingUserError: '___netlify-entry-point' is a reserved word and cannot be used as a file or directory name.
at .../@netlify/zip-it-and-ship-it/dist/runtimes/node/utils/entry_file.js:69:19
at ...

Steps to reproduce

Steps to reproduce:
1. Use Netlify CLI version 21.4.0 on macOS 15.4.1 (Apple M1).
2. Run netlify dev or build functions with any function present.
3. Error appears during bundling.

Configuration

System Info:
• OS: macOS 15.4.1 (Apple M1)
• Node: 18.20.8
• npm: 10.8.2
• netlify-cli: 21.4.0
• Browsers: Chrome 136, Safari 18.4

Environment

Additional Notes:
• I have verified no file or directory named ___netlify-entry-point exists in my functions folder or project.
• The error happens immediately on function bundling.
• Reinstalling or downgrading netlify-cli to 21.3.x did not help.
• Clearing Netlify function cache has no effect.

Please advise if there is a workaround or patch planned.

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