Workspace is loaded with fallback config then user config is partially loaded

How are you using the lua-language-server?

Visual Studio Code Extension (sumneko.lua)

Which OS are you using?

Linux

What is the issue affecting?

Other

Expected Behaviour

Upon opening a project when LuaLS is loading if the user have a .luarc.json with content :

{
  "$schema": "https://raw.githubusercontent.com/LuaLS/vscode-lua/master/setting/schema.json",
  "runtime": {
    "version": "Lua 5.1",
    "fileEncoding": "utf8",
    "builtin": {
      "basic": "disable",
      "bit": "disable",
      "bit32": "disable",
      "builtin": "disable",
      "coroutine": "disable",
      "debug": "disable",
      "ffi": "disable",
      "io": "disable",
      "jit": "disable",
      "math": "disable",
      "os": "disable",
      "package": "disable",
      "string": "disable",
      "table": "disable",
      "table.clear": "disable",
      "table.new": "disable",
      "utf8": "disable"
    }
  },
  "workspace": {
    "maxPreload": 2048,
    "library": ["Annotations"]
  }
}

The language server should :

• Not prepare any hover documentation for any standard lua library
• Preload files that exceed 500kb
• Read definitions files from Annotations folder create entries for hover documentations.

Actual Behaviour

Upon opening the project LuaLS will :

In the case of hover documentations :
LuaLS will prepare all lua 5.4 documentation and start serving them. When definitions files in Annotations if one define for example table.foreach the documentation will be added to the current context

(first documentation block come from Annotations, second come from LuaLS embedded definitions files for the standard libraries for lua 5.4)

In the case there is an 500+ kb file display directly :
Too large file: Lua/bigfile.lua skipped. The currently set size limit is: 500 KB, and the file size is: 627.979 KB.
(Upon opening Lua/bigfile.lua the file will be treated correctly without any error)

Reproduction steps

1. Create a project folder with content as follow :

root-directory/
  - Annotations/
    - table.d.lua
  - Lua/
    - main.lua
    - bigfile.lua
  - .luarc.json

---

table.d.lua content :

---@meta table

---@class tablelib
table = {}

---
---Deprecated in favor of pairs
---@see pairs
---
---[View documents](http://www.lua.org/manual/5.4/manual.html#pdf-table.foreach)
---
---@generic T
---@param list any
---@param callback fun(key: string, value: any):T|nil
---@return T|nil
---@deprecated
function table.foreach(list, callback) end

---

main.lua content:

local t = {}
table.foreach(t, function ()
    
end)

---

bigfile.lua content : Anything to make the file be bigger than 500kb

.luarc.json content

{
  "$schema": "https://raw.githubusercontent.com/LuaLS/vscode-lua/master/setting/schema.json",
  "runtime": {
    "version": "Lua 5.1",
    "fileEncoding": "utf8",
    "builtin": {
      "basic": "disable",
      "bit": "disable",
      "bit32": "disable",
      "builtin": "disable",
      "coroutine": "disable",
      "debug": "disable",
      "ffi": "disable",
      "io": "disable",
      "jit": "disable",
      "math": "disable",
      "os": "disable",
      "package": "disable",
      "string": "disable",
      "table": "disable",
      "table.clear": "disable",
      "table.new": "disable",
      "utf8": "disable"
    }
  },
  "workspace": {
    "maxPreload": 2048,
    "library": ["Annotations"]
  }
}

2. Open project with vscode
3. See warning notification appear directly or upon opening main.lua file
4. Hover above striked table.foreach and see both documentation aggregated together

Additional Notes

This behavior can also be reproduced in current zed stable version 0.174.6
In both editor I only installed the extension and run the default provided configuration. I only configured misc.parameters : [ "--loglevel=trace" ] in vscode settings only for the following logs as misc.parameters in .luarc.json was not picked-up.

Log File

file_home_skyy_Workspace_issue.log
service.log

Reproduce the behavior with .luarc.json, Annotations/table.d.lua, Lua/main.lua, and Lua/bigfile.lua in VS Code, then review the attached log files for the loading sequence. Check why the fallback Lua 5.4 definitions and 500 KB limit remain active after the user configuration loads. Done means Lua 5.1 settings are applied, Annotations definitions remain available, and the larger file is preloaded.