If the output file path for a library project is inside the project folder, a stack overflow error can occur.

The reason for the error is because the above scenario will create a ciricular dependency of the library file. Any source or library file physically inside the project subfolder is automatically considered part of the build. The only exceptions would be if the path is inside one of the build configuration subfolders or if the path is explicitly excluded from the build.

Regardless of the root cause, CCS should handle this scenario instead of hitting an exception. It looks like it was properly handled in earlier CCS versions. CCS 7.4 provides the warning about a circular dependency and then correctly ignores it.

gmake: Circular ../libtest.lib <- ../libtest.lib dependency dropped.

CCS 8.3.1 (and greater) does not do this but simply hits the exception and cannot recover until the project is cleaned.