diff --git a/node-tools/go.mod b/node-tools/go.mod
index 5423126..69cda1a 100644
--- a/node-tools/go.mod
+++ b/node-tools/go.mod
@@ -8,7 +8,7 @@ require (
 )
 
 require (
-	git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030001116-2da0de75c3f0
+	git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030142317-46d4b4da5ebb
 	github.com/antithesishq/antithesis-sdk-go v0.7.0-default-no-op // indirect
 	github.com/google/go-tpm v0.9.8 // indirect
 	github.com/klauspost/compress v1.20.0 // indirect
diff --git a/node-tools/go.sum b/node-tools/go.sum
index a2b8e01..80f4477 100644
--- a/node-tools/go.sum
+++ b/node-tools/go.sum
@@ -1,5 +1,5 @@
-git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030001116-2da0de75c3f0 h1:lKU3HjNXGiVbLW2hUgFjU/TMTUYMlNnnmZxG5T7biQA=
-git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030001116-2da0de75c3f0/go.mod h1:ouERNpZizzwZ0HLEtAypsY9FR20FyUgUYRni6J7kVCY=
+git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030142317-46d4b4da5ebb h1:QvNKoCjW1cwKsaY/9iJO0srTFIBQQwEZMkjb664BAPg=
+git.novox.be/novox/mesh-sdk/go v0.1.14-0.20261030142317-46d4b4da5ebb/go.mod h1:ouERNpZizzwZ0HLEtAypsY9FR20FyUgUYRni6J7kVCY=
 github.com/antithesishq/antithesis-sdk-go v0.7.0-default-no-op h1:Z/MZK75wC/NSrkgqeNIa7jexam9uWzhLmFTSCPI/kn0=
 github.com/antithesishq/antithesis-sdk-go v0.7.0-default-no-op/go.mod h1:FQyySiasQQM8735Ddel3MRojmy4dA1IqCeyJ5jmPMbI=
 github.com/google/go-tpm v0.9.8 h1:slArAR9Ft+1ybZu0lBwpSmpwhRXaa85hWtMinMyRAWo=
diff --git a/node-tools/internal/bus/bus.go b/node-tools/internal/bus/bus.go
index 4051a80..fc4b508 100644
--- a/node-tools/internal/bus/bus.go
+++ b/node-tools/internal/bus/bus.go
@@ -19,6 +19,7 @@ import (
 	"errors"
 	"fmt"
 	"git.novox.be/novox/mesh-sdk/go/buscompose"
+	"git.novox.be/novox/mesh-sdk/go/membership"
 	"log"
 	"regexp"
 	"strings"
@@ -468,8 +469,15 @@ func (c *Conn) followGrants(module string) {
 		if e.Operation() != jetstream.KeyValuePut {
 			return // a membership withdrawn is the stream's, or the module's unassignment's, to say
 		}
+		// Read through mesh-sdk's one codec of this state, the grants part's writer's (issue 774): it takes the bare
+		// membership and the wrapper the part wrote before, and refuses a value naming no node or module, which then
+		// leaves the assignments stream's copy in force instead of an empty membership.
 		var m Membership
-		if err := json.Unmarshal(e.Value(), &m); err != nil {
+		body, err := membership.BareGrantsMembership(e.Value())
+		if err == nil {
+			err = json.Unmarshal(body, &m)
+		}
+		if err != nil {
 			c.Logf("[mesh-tools] the membership at %s is not one: %v", key, err)
 			return
 		}
diff --git a/node-tools/internal/bus/state_watch_test.go b/node-tools/internal/bus/state_watch_test.go
index 7e0e842..61166b4 100644
--- a/node-tools/internal/bus/state_watch_test.go
+++ b/node-tools/internal/bus/state_watch_test.go
@@ -116,6 +116,40 @@ func TestAWatchIsRefusedWhenNoCurrentValueIsTakenWithinTheBound(t *testing.T) {
 	}
 }
 
+// **A membership the grants part wrote in its old wrapper is served whole** (issue 774). Until 2026-10-30 the part wrote
+// its pass record, the membership inside, into its state memberships; the tool runner read the value as a bare
+// membership, took it over the assignments stream's copy, and served no tool and no state. This is what the live mesh
+// held: read through mesh-sdk's codec, its tools are answered where the membership says and its state is reached.
+func TestAMembershipTheGrantsPartWroteWrappedIsServed(t *testing.T) {
+	mesh := mt.New(t)
+	mesh.Bucket(t, "gitea_repos")
+	gitea := mt.MembershipOf("gitea", "anchor", false, nil)
+	gitea.State = []bus.StateIssued{{Name: "repos", Bucket: "gitea_repos", Writes: true}}
+	mesh.IssueInGrantsWrapped(t, gitea)
+	conn, err := bus.Connect(bus.Credential{URL: mt.URL(t), Module: "node-tools", Node: "anchor"})
+	if err != nil {
+		t.Fatal(err)
+	}
+	conn.Logf = func(string, ...any) {}
+	t.Cleanup(conn.Close)
+	conn.Follow("gitea")
+	mt.Until(t, func() error {
+		if m := conn.Membership("gitea"); m == nil || len(m.Serves) == 0 {
+			return fmt.Errorf("gitea's membership is %+v, want the one inside the wrapper", m)
+		}
+		return nil
+	})
+	if got, want := fmt.Sprint(conn.ServedOn("gitea", "gitea_list")), "[{mesh.mod.gitea.tool.gitea_list.anchor }]"; got != want {
+		t.Errorf("gitea_list is served on %s, want %s", got, want)
+	}
+	if _, err := conn.StatePut("gitea", "repos", "novox.hq", []byte(`{"v":1}`)); err != nil {
+		t.Fatalf("the state the membership issues is refused: %v", err)
+	}
+	if e, err := conn.StateGet("gitea", "repos", "novox.hq"); err != nil || e == nil || string(e.Value) != `{"v":1}` {
+		t.Errorf("the state reads back %+v, %v", e, err)
+	}
+}
+
 // owedWatcher is the gitea module's view of the checker's owed: the bucket, and a runtime connection
 // that serves gitea with the owed issued for reading.
 func owedWatcher(t *testing.T) (*bus.Conn, interface {
diff --git a/node-tools/internal/meshtest/meshtest.go b/node-tools/internal/meshtest/meshtest.go
index 1673a0d..a22fd93 100644
--- a/node-tools/internal/meshtest/meshtest.go
+++ b/node-tools/internal/meshtest/meshtest.go
@@ -15,6 +15,7 @@ import (
 	"encoding/json"
 	"git.novox.be/novox/mesh-sdk/go/buscompose"
 	"git.novox.be/novox/mesh-sdk/go/delivery"
+	"git.novox.be/novox/mesh-sdk/go/membership"
 	"os"
 	"path/filepath"
 	"runtime"
@@ -110,7 +111,23 @@ func (m *Mesh) Issue(t *testing.T, mem bus.Membership) {
 
 // IssueInGrants writes a membership where the grants part keeps it, its state memberships, key `<node>.<module>`
 // (novox/hq ADR 0571 clause 7; mesh-sdk buscompose.GrantsMembershipsBucket), making the bucket when it is not there.
+// It writes with mesh-sdk's encoder, the grants part's own, never json of this package's type: a value built here by
+// hand agreed with the reader's mistake and hid that the part wrote another shape (issue 774).
 func (m *Mesh) IssueInGrants(t *testing.T, mem bus.Membership) {
+	t.Helper()
+	m.putGrants(t, mem, membership.EncodeGrantsMembership(sdkMembership(t, mem)))
+}
+
+// IssueInGrantsWrapped writes a membership as the grants part wrote it before mesh-sdk's codec (until 2026-10-30, what
+// the live mesh holds until the part writes again): its pass record, the membership inside.
+func (m *Mesh) IssueInGrantsWrapped(t *testing.T, mem bus.Membership) {
+	t.Helper()
+	body, _ := json.Marshal(map[string]any{"node": mem.Node, "module": mem.Module, "digest": "sha256:0",
+		"membership": sdkMembership(t, mem), "published": "published"})
+	m.putGrants(t, mem, body)
+}
+
+func (m *Mesh) putGrants(t *testing.T, mem bus.Membership, body []byte) {
 	t.Helper()
 	kv, err := m.js.KeyValue(buscompose.GrantsMembershipsBucket)
 	if err != nil {
@@ -118,12 +135,22 @@ func (m *Mesh) IssueInGrants(t *testing.T, mem bus.Membership) {
 			t.Fatal(err)
 		}
 	}
-	body, _ := json.Marshal(mem)
 	if _, err := kv.Put(buscompose.MembershipKey(mem.Node, mem.Module), body); err != nil {
 		t.Fatal(err)
 	}
 }
 
+// sdkMembership is a membership of this package's type as mesh-sdk's, which the grants part composes and writes.
+func sdkMembership(t *testing.T, mem bus.Membership) membership.Membership {
+	t.Helper()
+	raw, _ := json.Marshal(mem)
+	var out membership.Membership
+	if err := json.Unmarshal(raw, &out); err != nil {
+		t.Fatal(err)
+	}
+	return out
+}
+
 // ConsoleReads are the states a console's runtime reads to say what the mesh holds (novox/hq ADR 0571 clauses 4, 5):
 // placement, the indexer's modules and manifests, and the seat holders.
 func ConsoleReads() []bus.StateIssued {