Hi @smutek - thanks for using Local! Welcome to the community.
Looks like we need to do some cleaning/combining on our end - there is an active thread in the support category for this issue. It is an issue specific to macOS Ventura. macOS 13 Ventura and Open Site Shell
I’ll merge the threads to keep convo in the same place, but our engineering team just spoke about this one again today actually. We believe it is an underlying bug in macOS 13 as it has popped up in a few other online communities that interact with terminal, not related to Local or WordPress. We’re seeing if there is a workaround and trying to follow updates from a bug report submitted with Apple.
In the short-term, a TL;DR of the linked forum post - install iTerm on your machine and then open Preferences > Appearance & Behavior and set your default Terminal to iTerm. Since this is specific to Terminal on macOS 13, this workaround has resolved the issue for other users.