diff --git a/.claude-plugin/marketplace.json b/.claude-plugin/marketplace.json
index 3cddabae..6ab5a7cf 100644
--- a/.claude-plugin/marketplace.json
+++ b/.claude-plugin/marketplace.json
@@ -7,13 +7,10 @@
     "name": "Microsoft",
     "email": "opensource@microsoft.com"
   },
-  "metadata": {
-    "pluginRoot": "./plugins"
-  },
   "plugins": [
     {
       "name": "conductor",
-      "source": "./conductor",
+      "source": "./plugins/conductor",
       "description": "Validate, run, and execute Conductor multi-agent YAML workflows. Adds the conductor skill that knows the workflow schema, CLI commands, and execution model.",
       "author": { "name": "Microsoft" },
       "homepage": "https://github.com/microsoft/conductor",
diff --git a/changelog.d/587.fixed.md b/changelog.d/587.fixed.md
new file mode 100644
index 00000000..21c587af
--- /dev/null
+++ b/changelog.d/587.fixed.md
@@ -0,0 +1,4 @@
+**Claude Code plugin marketplace**: `/plugin install conductor@conductor` no
+longer fails with `Source path does not exist`. The marketplace entry now points
+at `./plugins/conductor`, relative to the repository root as Claude Code
+resolves it, and the unused `metadata.pluginRoot` is removed.
diff --git a/tests/test_plugins/test_marketplace.py b/tests/test_plugins/test_marketplace.py
index 2cc4f192..1fb676a0 100644
--- a/tests/test_plugins/test_marketplace.py
+++ b/tests/test_plugins/test_marketplace.py
@@ -9,6 +9,7 @@
 import pytest
 
 from conductor.plugins.errors import PluginNotFoundError, PluginSourceError
+from conductor.plugins.manifest import is_plugin_root
 from conductor.plugins.marketplace import find_marketplace_manifest, read_marketplace
 
 from .conftest import make_marketplace, make_plugin
@@ -430,3 +431,24 @@ def test_plugin_key_narrowing_finds_a_plugin_published_only_in_the_secondary_cat
         marketplace = read_marketplace(tmp_path, name="acme", plugin="solo")
 
         assert marketplace.plugins == {"solo": tmp_path / "dist" / "copilot" / "solo"}
+
+
+class TestShippedMarketplace:
+    """The marketplace this repository ships to Claude Code must install."""
+
+    def test_claude_catalog_sources_exist_under_the_repo_root(self) -> None:
+        # Claude Code resolves a relative `source` from the marketplace root
+        # (the directory holding `.claude-plugin/`) and ignores
+        # `metadata.pluginRoot` for a `./` path, so a source written relative
+        # to `pluginRoot` fails at install time with "Source path does not
+        # exist" (issue #587).
+        repo_root = Path(__file__).resolve().parents[2]
+        catalog = json.loads(
+            (repo_root / ".claude-plugin" / "marketplace.json").read_text(encoding="utf-8")
+        )
+
+        assert catalog["plugins"]
+        for entry in catalog["plugins"]:
+            source = entry["source"]
+            assert isinstance(source, str) and source.startswith("./"), entry["name"]
+            assert is_plugin_root(repo_root / source), f"{entry['name']}: {source}"