diff --git a/update.sh b/update.sh
index 15b812c..d88d02d 100755
--- a/update.sh
+++ b/update.sh
@@ -587,7 +587,11 @@ update_signal() {
         return 0
     fi
 
-    distrobox-upgrade signal
+    # Capture failure to prevent script exit due to set -e
+    # Known issue: distrobox-upgrade may throw a stat error at the end despite success
+    if ! distrobox-upgrade signal; then
+        log_message "WARN" "Signal update reported an error (likely benign 'stat' issue). Continuing..."
+    fi
 }
 
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