chore: validate layout size and positioning in backend (#11921)

* chore: validate layout size and positioning in backend

* test: add integratino test for layout validation

* test: use assert instead of require for non blocking check

* test: use assert instead of require for non blocking check

* fix: move require to assert for actual test checks

frontend/.oxlintrc.json

@@ -328,6 +328,11 @@
           {
             "name": "immer",
             "message": "[State mgmt] Direct immer usage is deprecated. Use Zustand (which integrates immer via the immer middleware) instead."
+          },
+          {
+            "name": "api/generated/services/dashboard",
+            "importNames": ["patchDashboardV2", "usePatchDashboardV2"],
+            "message": "[dashboard-v2] Don't call patchDashboardV2/usePatchDashboardV2 directly — use useOptimisticPatch().patchAsync so spec edits update the react-query cache optimistically and reconcile on settle."
           }
         ]
       }

frontend/src/container/PublicDashboardContainer/Panel.tsx

@@ -79,13 +79,11 @@ function Panel({
 		},
 		ENTITY_VERSION_V5,
 		{
-			queryKey: [
-				widget?.query,
-				widget?.panelTypes,
-				requestData,
-				startTime,
-				endTime,
-			],
+			// Public data is fetched by index and the payload redacts each widget's
+			// filters, so query bodies are identical across panels. Key on panel
+			// identity + time — the only inputs that determine the response — so
+			// panels don't collapse onto one cache entry.
+			queryKey: [widget?.id, index, startTime, endTime],
 			retry(failureCount, error): boolean {
 				if (
 					String(error).includes('status: error') &&

frontend/src/container/PublicDashboardContainer/__tests__/Panel.test.tsx

@@ -0,0 +1,79 @@
+import { PANEL_TYPES } from 'constants/queryBuilder';
+import { render } from 'tests/test-utils';
+import { Widgets } from 'types/api/dashboard/getAll';
+
+import Panel from '../Panel';
+
+const useGetQueryRangeMock = jest.fn();
+
+jest.mock('hooks/queryBuilder/useGetQueryRange', () => ({
+	useGetQueryRange: (...args: unknown[]): unknown => {
+		useGetQueryRangeMock(...args);
+		return {
+			data: undefined,
+			isFetching: false,
+			isLoading: false,
+			isSuccess: true,
+			isError: false,
+		};
+	},
+}));
+
+jest.mock('container/GridCardLayout/GridCard/WidgetGraphComponent', () => ({
+	__esModule: true,
+	default: (): JSX.Element => <div data-testid="widget-graph" />,
+}));
+
+const buildWidget = (id: string): Widgets =>
+	({
+		id,
+		panelTypes: PANEL_TYPES.LIST,
+		query: {
+			builder: {
+				queryData: [{ dataSource: 'logs', limit: 100, orderBy: [] }],
+			},
+		},
+		timePreferance: 'GLOBAL_TIME',
+	}) as unknown as Widgets;
+
+describe('Public dashboard Panel', () => {
+	beforeEach(() => {
+		useGetQueryRangeMock.mockClear();
+	});
+
+	it('keys each panel by widget id + index so identical queries do not collide (bug 5503)', () => {
+		render(
+			<>
+				<Panel
+					widget={buildWidget('widget-a')}
+					index={2}
+					dashboardId="dash-1"
+					startTime={100}
+					endTime={200}
+				/>
+				<Panel
+					widget={buildWidget('widget-b')}
+					index={62}
+					dashboardId="dash-1"
+					startTime={100}
+					endTime={200}
+				/>
+			</>,
+		);
+
+		const [callA, callB] = useGetQueryRangeMock.mock.calls;
+		const queryKeyA = callA[2].queryKey;
+		const metaA = callA[4];
+		const queryKeyB = callB[2].queryKey;
+		const metaB = callB[4];
+
+		// Key is panel identity + time only — the redacted query body is not part
+		// of it, so identical query bodies can't collapse two panels onto one key.
+		expect(queryKeyA).toStrictEqual(['widget-a', 2, 100, 200]);
+		expect(queryKeyB).toStrictEqual(['widget-b', 62, 100, 200]);
+		expect(queryKeyA).not.toStrictEqual(queryKeyB);
+
+		expect(metaA.widgetIndex).toBe(2);
+		expect(metaB.widgetIndex).toBe(62);
+	});
+});

frontend/src/pages/DashboardPageV2/DashboardContainer/DashboardPageToolbar/index.tsx

@@ -4,7 +4,6 @@ import { toast } from '@signozhq/ui/sonner';
 import logEvent from 'api/common/logEvent';
 import {
 	lockDashboardV2,
-	patchDashboardV2,
 	unlockDashboardV2,
 } from 'api/generated/services/dashboard';
 import type {
@@ -18,6 +17,7 @@ import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
 import { useCreatePanel } from '../hooks/useCreatePanel';
+import { useOptimisticPatch } from '../hooks/useOptimisticPatch';
 import PanelTypeSelectionModal from '../PanelsAndSectionsLayout/Panel/PanelTypeSelectionModal/PanelTypeSelectionModal';
 import DashboardActions from './DashboardActions/DashboardActions';
 import DashboardInfo from './DashboardInfo/DashboardInfo';
@@ -51,6 +51,7 @@ function DashboardPageToolbar(props: DashboardPageToolbarProps): JSX.Element {
 
 	const { user } = useAppContext();
 	const { showErrorModal } = useErrorModal();
+	const { patchAsync } = useOptimisticPatch();
 	const { isPickerOpen, openPicker, closePicker, createPanel } =
 		useCreatePanel();
 
@@ -88,14 +89,13 @@ function DashboardPageToolbar(props: DashboardPageToolbarProps): JSX.Element {
 						value: next,
 					},
 				];
-				await patchDashboardV2({ id }, patch);
+				await patchAsync(patch);
 				toast.success('Dashboard renamed successfully');
-				refetch();
 			} catch (error) {
 				showErrorModal(error as APIError);
 			}
 		},
-		[id, refetch, showErrorModal],
+		[id, patchAsync, showErrorModal],
 	);
 
 	const { isEditing, draft, setDraft, startEdit, cancel, commit } =

frontend/src/pages/DashboardPageV2/DashboardContainer/DashboardSettings/Overview/index.tsx

@@ -1,5 +1,4 @@
 import { useCallback, useEffect, useMemo, useState } from 'react';
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import type {
 	DashboardtypesGettableDashboardV2DTO,
 	DashboardtypesJSONPatchOperationDTO,
@@ -9,7 +8,7 @@ import { isEqual } from 'lodash-es';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
-import { useDashboardStore } from '../../store/useDashboardStore';
+import { useOptimisticPatch } from '../../hooks/useOptimisticPatch';
 import CrossPanelSync from './CrossPanelSync/CrossPanelSync';
 import DashboardInfoForm from './DashboardInfoForm/DashboardInfoForm';
 import UnsavedChangesFooter from './UnsavedChangesFooter/UnsavedChangesFooter';
@@ -23,7 +22,7 @@ interface OverviewProps {
 function Overview({ dashboard }: OverviewProps): JSX.Element {
 	const id = dashboard.id;
 
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 
 	const title = dashboard.spec.display.name;
 	const description = dashboard.spec.display.description ?? '';
@@ -96,15 +95,14 @@ function Overview({ dashboard }: OverviewProps): JSX.Element {
 
 		try {
 			setIsSaving(true);
-			await patchDashboardV2({ id }, ops);
+			await patchAsync(ops);
 			toast.success('Dashboard updated');
-			refetch();
 		} catch (error) {
 			showErrorModal(error as APIError);
 		} finally {
 			setIsSaving(false);
 		}
-	}, [id, buildPatch, refetch, showErrorModal]);
+	}, [buildPatch, patchAsync, showErrorModal]);
 
 	useEffect(() => {
 		let numberOfUnsavedChanges = 0;

frontend/src/pages/DashboardPageV2/DashboardContainer/DashboardSettings/Variables/useSaveVariables.ts

@@ -1,9 +1,9 @@
 import { useCallback, useState } from 'react';
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import { toast } from '@signozhq/ui/sonner';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../hooks/useOptimisticPatch';
 import { useDashboardStore } from '../../store/useDashboardStore';
 import { formModelToDto } from './variableAdapters';
 import type { VariableFormModel } from './variableFormModel';
@@ -14,14 +14,9 @@ interface UseSaveVariables {
 	isSaving: boolean;
 }
 
-/**
- * Persists the dashboard's variable list via a single `/spec/variables` patch,
- * then refetches. Mirrors the General-settings save flow (patch → toast →
- * refetch → surface errors).
- */
 export function useSaveVariables(): UseSaveVariables {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const { showErrorModal } = useErrorModal();
 	const [isSaving, setIsSaving] = useState(false);
 
@@ -33,9 +28,8 @@ export function useSaveVariables(): UseSaveVariables {
 			const dtos = variables.map(formModelToDto);
 			try {
 				setIsSaving(true);
-				await patchDashboardV2({ id: dashboardId }, buildVariablesPatch(dtos));
+				await patchAsync(buildVariablesPatch(dtos));
 				toast.success('Variables updated');
-				refetch();
 				return true;
 			} catch (error) {
 				showErrorModal(error as APIError);
@@ -44,7 +38,7 @@ export function useSaveVariables(): UseSaveVariables {
 				setIsSaving(false);
 			}
 		},
-		[dashboardId, refetch, showErrorModal],
+		[dashboardId, patchAsync, showErrorModal],
 	);
 
 	return { save, isSaving };

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelEditor/hooks/__tests__/usePanelEditorSave.test.ts

@@ -1,40 +1,36 @@
 import { renderHook } from '@testing-library/react';
-import {
-	getGetDashboardV2QueryKey,
-	usePatchDashboardV2,
-} from 'api/generated/services/dashboard';
 import type { DashboardtypesPanelSpecDTO } from 'api/generated/services/sigNoz.schemas';
 
 import { usePanelEditorSave } from '../usePanelEditorSave';
 
-const mockInvalidateQueries = jest.fn();
+const mockPatchAsync = jest.fn().mockResolvedValue(undefined);
+let mockIsPatching = false;
+jest.mock('../../../hooks/useOptimisticPatch', () => ({
+	useOptimisticPatch: (): {
+		patchAsync: jest.Mock;
+		isPatching: boolean;
+		error: Error | null;
+	} => ({ patchAsync: mockPatchAsync, isPatching: mockIsPatching, error: null }),
+}));
+
+// The hook reads getQueryData only for the isNew branch; a stub client is enough here.
 jest.mock('react-query', () => ({
-	useQueryClient: (): { invalidateQueries: jest.Mock } => ({
-		invalidateQueries: mockInvalidateQueries,
+	useQueryClient: (): { getQueryData: jest.Mock } => ({
+		getQueryData: jest.fn(),
 	}),
 }));
 
 jest.mock('api/generated/services/dashboard', () => ({
-	usePatchDashboardV2: jest.fn(),
 	getGetDashboardV2QueryKey: jest.fn(() => ['/api/v2/dashboards/dash-1']),
 }));
 
-const mockUsePatch = usePatchDashboardV2 as unknown as jest.Mock;
-const mockGetQueryKey = getGetDashboardV2QueryKey as unknown as jest.Mock;
-
 describe('usePanelEditorSave', () => {
-	const mutateAsync = jest.fn().mockResolvedValue(undefined);
-
 	beforeEach(() => {
 		jest.clearAllMocks();
-		mockUsePatch.mockReturnValue({
-			mutateAsync,
-			isLoading: false,
-			error: null,
-		});
+		mockIsPatching = false;
 	});
 
-	it('emits an add patch replacing the whole panel spec and invalidates the dashboard query', async () => {
+	it('optimistically patches an add replacing the whole panel spec', async () => {
 		const { result } = renderHook(() =>
 			usePanelEditorSave({ dashboardId: 'dash-1', panelId: 'panel-9' }),
 		);
@@ -50,28 +46,17 @@ describe('usePanelEditorSave', () => {
 
 		await result.current.save(spec);
 
-		expect(mutateAsync).toHaveBeenCalledWith({
-			pathParams: { id: 'dash-1' },
-			data: [
-				{
-					op: 'add',
-					path: '/spec/panels/panel-9/spec',
-					value: spec,
-				},
-			],
-		});
-		expect(mockGetQueryKey).toHaveBeenCalledWith({ id: 'dash-1' });
-		expect(mockInvalidateQueries).toHaveBeenCalledWith([
-			'/api/v2/dashboards/dash-1',
+		expect(mockPatchAsync).toHaveBeenCalledWith([
+			{
+				op: 'add',
+				path: '/spec/panels/panel-9/spec',
+				value: spec,
+			},
 		]);
 	});
 
-	it('surfaces the mutation loading state as isSaving', () => {
-		mockUsePatch.mockReturnValue({
-			mutateAsync,
-			isLoading: true,
-			error: null,
-		});
+	it('surfaces the patch in-flight state as isSaving', () => {
+		mockIsPatching = true;
 
 		const { result } = renderHook(() =>
 			usePanelEditorSave({ dashboardId: 'dash-1', panelId: 'panel-9' }),

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelEditor/hooks/usePanelEditorSave.ts

@@ -1,10 +1,7 @@
 import { useCallback } from 'react';
 import { useQueryClient } from 'react-query';
 import { v4 as uuid } from 'uuid';
-import {
-	getGetDashboardV2QueryKey,
-	usePatchDashboardV2,
-} from 'api/generated/services/dashboard';
+import { getGetDashboardV2QueryKey } from 'api/generated/services/dashboard';
 import {
 	type DashboardtypesJSONPatchOperationDTO,
 	type DashboardtypesPanelSpecDTO,
@@ -13,6 +10,7 @@ import {
 	type GetDashboardV2200,
 } from 'api/generated/services/sigNoz.schemas';
 
+import { useOptimisticPatch } from '../../hooks/useOptimisticPatch';
 import { createPanelOps } from '../../patchOps';
 
 interface UsePanelEditorSaveArgs {
@@ -43,15 +41,14 @@ export function usePanelEditorSave({
 	layoutIndex,
 }: UsePanelEditorSaveArgs): UsePanelEditorSaveApi {
 	const queryClient = useQueryClient();
-	const { mutateAsync, isLoading, error } = usePatchDashboardV2();
+	const { patchAsync, isPatching, error } = useOptimisticPatch(dashboardId);
 
 	const save = useCallback(
 		async (spec: DashboardtypesPanelSpecDTO): Promise<void> => {
-			const dashboardQueryKey = getGetDashboardV2QueryKey({ id: dashboardId });
-
 			let ops: DashboardtypesJSONPatchOperationDTO[];
 			if (isNew) {
 				// Resolve the target section against the freshest dashboard we have.
+				const dashboardQueryKey = getGetDashboardV2QueryKey({ id: dashboardId });
 				const cached =
 					queryClient.getQueryData<GetDashboardV2200>(dashboardQueryKey);
 				ops = createPanelOps({
@@ -70,11 +67,11 @@ export function usePanelEditorSave({
 				];
 			}
 
-			await mutateAsync({ pathParams: { id: dashboardId }, data: ops });
-			await queryClient.invalidateQueries(dashboardQueryKey);
+			// Optimistic cache write + settle refetch (replaces the manual invalidate).
+			await patchAsync(ops);
 		},
-		[dashboardId, panelId, isNew, layoutIndex, mutateAsync, queryClient],
+		[dashboardId, panelId, isNew, layoutIndex, patchAsync, queryClient],
 	);
 
-	return { save, isSaving: isLoading, error: (error as Error) ?? null };
+	return { save, isSaving: isPatching, error };
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/__tests__/useClonePanel.test.ts

@@ -1,12 +1,15 @@
 import { renderHook } from '@testing-library/react';
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 
 import { useDashboardStore } from '../../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../../utils';
 import { useClonePanel } from '../useClonePanel';
 
-jest.mock('api/generated/services/dashboard', () => ({
-	patchDashboardV2: jest.fn().mockResolvedValue(undefined),
+const mockPatchAsync = jest.fn().mockResolvedValue(undefined);
+jest.mock('../../../../hooks/useOptimisticPatch', () => ({
+	useOptimisticPatch: (): { patchAsync: jest.Mock; isPatching: boolean } => ({
+		patchAsync: mockPatchAsync,
+		isPatching: false,
+	}),
 }));
 
 const mockToastPromise = jest.fn();
@@ -16,8 +19,6 @@ jest.mock('@signozhq/ui/sonner', () => ({
 
 jest.mock('uuid', () => ({ v4: (): string => 'cloned-id' }));
 
-const mockPatch = patchDashboardV2 as unknown as jest.Mock;
-
 const sourcePanel = {
 	kind: 'Panel',
 	spec: {
@@ -45,7 +46,7 @@ function sections(): DashboardSection[] {
 describe('useClonePanel', () => {
 	beforeEach(() => {
 		jest.clearAllMocks();
-		useDashboardStore.setState({ dashboardId: 'dash-1', refetch: jest.fn() });
+		useDashboardStore.setState({ dashboardId: 'dash-1' });
 	});
 
 	it('patches an add of the deep-copied spec + a new item under the same section', async () => {
@@ -53,7 +54,7 @@ describe('useClonePanel', () => {
 
 		await result.current({ panelId: 'p1', layoutIndex: 0 });
 
-		expect(mockPatch).toHaveBeenCalledWith({ id: 'dash-1' }, [
+		expect(mockPatchAsync).toHaveBeenCalledWith([
 			{
 				op: 'add',
 				path: '/spec/panels/cloned-id',
@@ -92,7 +93,7 @@ describe('useClonePanel', () => {
 
 		await result.current({ panelId: 'p1', layoutIndex: 0 });
 
-		const ops = mockPatch.mock.calls[0][1];
+		const ops = mockPatchAsync.mock.calls[0][0];
 		// Room in the last row (4 + 4 = 8 ≤ 12 cols) → sits to the right at y:0.
 		expect(ops[1].value).toMatchObject({ x: 4, y: 0, width: 4, height: 5 });
 	});
@@ -102,7 +103,7 @@ describe('useClonePanel', () => {
 
 		await result.current({ panelId: 'p1', layoutIndex: 0 });
 
-		const ops = mockPatch.mock.calls[0][1];
+		const ops = mockPatchAsync.mock.calls[0][0];
 		expect(ops[0].value).toStrictEqual(sourcePanel);
 		expect(ops[0].value).not.toBe(sourcePanel);
 	});
@@ -112,7 +113,7 @@ describe('useClonePanel', () => {
 
 		await result.current({ panelId: 'missing', layoutIndex: 0 });
 
-		expect(mockPatch).not.toHaveBeenCalled();
+		expect(mockPatchAsync).not.toHaveBeenCalled();
 		expect(mockToastPromise).not.toHaveBeenCalled();
 	});
 
@@ -132,7 +133,7 @@ describe('useClonePanel', () => {
 	});
 
 	it('swallows a patch rejection (toast owns the error UX) — does not throw', async () => {
-		mockPatch.mockRejectedValueOnce(new Error('boom'));
+		mockPatchAsync.mockRejectedValueOnce(new Error('boom'));
 		const { result } = renderHook(() => useClonePanel({ sections: sections() }));
 
 		await expect(

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/__tests__/useCreateAlertFromPanel.test.ts

@@ -1,6 +1,7 @@
 import { renderHook } from '@testing-library/react';
 import logEvent from 'api/common/logEvent';
 import type { DashboardtypesPanelDTO } from 'api/generated/services/sigNoz.schemas';
+import { Querybuildertypesv5VariableTypeDTO } from 'api/generated/services/sigNoz.schemas';
 import { PANEL_TYPES } from 'constants/queryBuilder';
 import { useDashboardStore } from 'pages/DashboardPageV2/DashboardContainer/store/useDashboardStore';
 
@@ -18,12 +19,55 @@ jest.mock('hooks/useSafeNavigate', () => ({
 	}),
 }));
 
-// The V5→V1 query→URL translation is covered by buildCreateAlertUrl's own tests;
-// stub it so this asserts only the hook's side effects (analytics + navigation).
-jest.mock('../../utils/buildCreateAlertUrl', () => ({
-	buildCreateAlertUrl: (): string => '/alerts/new?composite=1',
+const mockToastError = jest.fn();
+jest.mock('@signozhq/ui/sonner', () => ({
+	toast: { error: (...args: unknown[]): void => mockToastError(...args) },
 }));
 
+jest.mock('react-redux', () => ({
+	useSelector: (selector: (state: unknown) => unknown): unknown =>
+		selector({ globalTime: { minTime: 1_000_000, maxTime: 2_000_000 } }),
+}));
+
+const mockSubstituteVars = jest.fn();
+jest.mock('api/generated/services/querier', () => ({
+	useReplaceVariables: (): { mutate: jest.Mock } => ({
+		mutate: mockSubstituteVars,
+	}),
+}));
+
+// Stub the builders so this asserts only the hook's orchestration.
+jest.mock('../../utils/buildCreateAlertUrl', () => ({
+	buildCreateAlertUrl: (): string => '/alerts/new?composite=sync',
+	buildAlertUrl: (): string => '/alerts/new?composite=substituted',
+	readPanelUnit: (): string | undefined => undefined,
+}));
+
+// Keep the real exports (getPanelQueryType reads them); stub only the builder.
+const mockBuildQueryRangeRequest = jest.fn((_args?: unknown) => ({
+	request: 'payload',
+}));
+jest.mock(
+	'pages/DashboardPageV2/DashboardContainer/queryV5/buildQueryRangeRequest',
+	() => ({
+		...jest.requireActual(
+			'pages/DashboardPageV2/DashboardContainer/queryV5/buildQueryRangeRequest',
+		),
+		buildQueryRangeRequest: (args: unknown): unknown =>
+			mockBuildQueryRangeRequest(args),
+	}),
+);
+
+jest.mock(
+	'pages/DashboardPageV2/DashboardContainer/queryV5/persesQueryAdapters',
+	() => ({
+		...jest.requireActual(
+			'pages/DashboardPageV2/DashboardContainer/queryV5/persesQueryAdapters',
+		),
+		envelopesToQuery: (): unknown => ({ resolved: 'query' }),
+	}),
+);
+
 const mockLogEvent = logEvent as jest.Mock;
 
 const panel = {
@@ -38,17 +82,7 @@ const panel = {
 describe('useCreateAlertFromPanel', () => {
 	beforeEach(() => {
 		jest.clearAllMocks();
-		useDashboardStore.setState({ dashboardId: 'dash-1' });
-	});
-
-	it('opens the seeded alert builder in a new tab', () => {
-		const { result } = renderHook(() => useCreateAlertFromPanel());
-
-		result.current(panel, 'panel-1');
-
-		expect(mockSafeNavigate).toHaveBeenCalledWith('/alerts/new?composite=1', {
-			newTab: true,
-		});
+		useDashboardStore.setState({ dashboardId: 'dash-1', resolvedVariables: {} });
 	});
 
 	it('logs the create-alert action with panel and dashboard context (V1 parity)', () => {
@@ -66,4 +100,80 @@ describe('useCreateAlertFromPanel', () => {
 			}),
 		);
 	});
+
+	describe('with no variable selections', () => {
+		it('seeds the alert synchronously without a substitute round-trip', () => {
+			const { result } = renderHook(() => useCreateAlertFromPanel());
+
+			result.current(panel, 'panel-1');
+
+			expect(mockSubstituteVars).not.toHaveBeenCalled();
+			expect(mockSafeNavigate).toHaveBeenCalledWith('/alerts/new?composite=sync', {
+				newTab: true,
+			});
+		});
+	});
+
+	describe('with variable selections', () => {
+		beforeEach(() => {
+			useDashboardStore.setState({
+				dashboardId: 'dash-1',
+				resolvedVariables: {
+					'dash-1': {
+						service: {
+							type: Querybuildertypesv5VariableTypeDTO.query,
+							value: 'checkout',
+						},
+					},
+				},
+			});
+		});
+
+		it('substitutes variables before seeding, then opens the resolved alert', () => {
+			const { result } = renderHook(() => useCreateAlertFromPanel());
+
+			result.current(panel, 'panel-1');
+
+			// Round-trips the panel's queries + resolved variables.
+			expect(mockBuildQueryRangeRequest).toHaveBeenCalledWith(
+				expect.objectContaining({
+					queries: panel.spec.queries,
+					panelType: PANEL_TYPES.TIME_SERIES,
+					variables: { service: { type: 'query', value: 'checkout' } },
+				}),
+			);
+			expect(mockSubstituteVars).toHaveBeenCalledWith(
+				{ data: { request: 'payload' } },
+				expect.objectContaining({
+					onSuccess: expect.any(Function),
+					onError: expect.any(Function),
+				}),
+			);
+			// Nothing opens until the round-trip resolves.
+			expect(mockSafeNavigate).not.toHaveBeenCalled();
+
+			const { onSuccess } = mockSubstituteVars.mock.calls[0][1];
+			onSuccess({ data: { compositeQuery: { queries: [{ type: 'builder' }] } } });
+
+			expect(mockSafeNavigate).toHaveBeenCalledWith(
+				'/alerts/new?composite=substituted',
+				{ newTab: true },
+			);
+		});
+
+		it('notifies and does not navigate when substitution fails', () => {
+			const { result } = renderHook(() => useCreateAlertFromPanel());
+
+			result.current(panel, 'panel-1');
+
+			const { onError } = mockSubstituteVars.mock.calls[0][1];
+			onError();
+
+			expect(mockToastError).toHaveBeenCalledWith(
+				expect.any(String),
+				expect.objectContaining({ description: expect.any(String) }),
+			);
+			expect(mockSafeNavigate).not.toHaveBeenCalled();
+		});
+	});
 });

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/useClonePanel.ts

@@ -3,8 +3,7 @@ import { toast } from '@signozhq/ui/sonner';
 import { cloneDeep } from 'lodash-es';
 import { v4 as uuid } from 'uuid';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
-
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import {
 	addPanelToSectionOps,
 	findFreeSlot,
@@ -32,7 +31,7 @@ export function useClonePanel({
 	sections,
 }: Params): (args: ClonePanelArgs) => Promise<void> {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 
 	return useCallback(
 		async ({ panelId, layoutIndex }: ClonePanelArgs): Promise<void> => {
@@ -45,8 +44,7 @@ export function useClonePanel({
 			const newPanelId = uuid();
 			const { x, y } = findFreeSlot(section.items, source.width);
 
-			const clone = patchDashboardV2(
-				{ id: dashboardId },
+			const clone = patchAsync(
 				addPanelToSectionOps({
 					panelId: newPanelId,
 					panel: cloneDeep(source.panel),
@@ -68,15 +66,14 @@ export function useClonePanel({
 				position: 'top-center',
 			});
 
-			// Refetch only on success; toast.promise owns the error UX, so swallow
-			// the rejection to avoid an unhandled rejection.
+			// toast.promise owns the error UX; swallow here to avoid an unhandled
+			// rejection (the optimistic cache write + settle refetch handle state).
 			try {
 				await clone;
-				refetch();
 			} catch {
 				// no-op
 			}
 		},
-		[sections, dashboardId, refetch],
+		[sections, dashboardId, patchAsync],
 	);
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/useCreateAlertFromPanel.ts

@@ -1,18 +1,32 @@
 import { useCallback } from 'react';
+// eslint-disable-next-line no-restricted-imports -- global time still lives in redux
+import { useSelector } from 'react-redux';
+import { toast } from '@signozhq/ui/sonner';
 import logEvent from 'api/common/logEvent';
+import { useReplaceVariables } from 'api/generated/services/querier';
 import type { DashboardtypesPanelDTO } from 'api/generated/services/sigNoz.schemas';
+import { SOMETHING_WENT_WRONG } from 'constants/api';
 import { useSafeNavigate } from 'hooks/useSafeNavigate';
 import { PANEL_KIND_TO_PANEL_TYPE } from 'pages/DashboardPageV2/DashboardContainer/Panels/types/panelKind';
 import { getPanelQueryType } from 'pages/DashboardPageV2/DashboardContainer/Panels/utils/getPanelQueryType';
+import { buildQueryRangeRequest } from 'pages/DashboardPageV2/DashboardContainer/queryV5/buildQueryRangeRequest';
+import { envelopesToQuery } from 'pages/DashboardPageV2/DashboardContainer/queryV5/persesQueryAdapters';
+import { selectResolvedVariables } from 'pages/DashboardPageV2/DashboardContainer/store/slices/variableSelectionSlice';
 import { useDashboardStore } from 'pages/DashboardPageV2/DashboardContainer/store/useDashboardStore';
+import { AppState } from 'store/reducers';
+import { GlobalReducer } from 'types/reducer/globalTime';
 
-import { buildCreateAlertUrl } from '../utils/buildCreateAlertUrl';
+import {
+	buildAlertUrl,
+	buildCreateAlertUrl,
+	readPanelUnit,
+} from '../utils/buildCreateAlertUrl';
 
 /**
- * Returns a callback that opens the alert builder in a new tab, seeded from a
- * panel's query, and logs the action — mirroring V1's `useCreateAlerts`
- * ('dashboardView' caller). The panel is supplied at call time so the callback
- * stays stable across panels (and the dashboard's react-query refetches).
+ * Callback that seeds the alert builder from a panel's query in a new tab (V1 parity
+ * with `useCreateAlerts`; panel supplied at call time so the callback stays stable).
+ * With variable selections, resolves them via `/substitute_vars` first; otherwise
+ * seeds synchronously (the round-trip would be a no-op).
  */
 export function useCreateAlertFromPanel(): (
 	panel: DashboardtypesPanelDTO,
@@ -20,18 +34,61 @@ export function useCreateAlertFromPanel(): (
 ) => void {
 	const { safeNavigate } = useSafeNavigate();
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
+	const variables = useDashboardStore(selectResolvedVariables(dashboardId));
+	const { maxTime, minTime } = useSelector<AppState, GlobalReducer>(
+		(state) => state.globalTime,
+	);
+	const { mutate: substituteVars } = useReplaceVariables();
 
 	return useCallback(
 		(panel: DashboardtypesPanelDTO, panelId: string): void => {
+			const panelType = PANEL_KIND_TO_PANEL_TYPE[panel.spec.plugin.kind];
+
 			void logEvent('Dashboard Detail: Panel action', {
 				action: 'createAlerts',
-				panelType: PANEL_KIND_TO_PANEL_TYPE[panel.spec.plugin.kind],
+				panelType,
 				dashboardId,
 				widgetId: panelId,
 				queryType: getPanelQueryType(panel),
 			});
-			safeNavigate(buildCreateAlertUrl(panel), { newTab: true });
+
+			if (Object.keys(variables).length === 0) {
+				safeNavigate(buildCreateAlertUrl(panel), { newTab: true });
+				return;
+			}
+
+			// Redux global time is nanoseconds; the request DTO takes epoch ms.
+			const request = buildQueryRangeRequest({
+				queries: panel.spec.queries,
+				panelType,
+				startMs: minTime / 1e6,
+				endMs: maxTime / 1e6,
+				variables,
+			});
+
+			substituteVars(
+				{ data: request },
+				{
+					onSuccess: (response) => {
+						const query = envelopesToQuery(
+							response.data.compositeQuery?.queries ?? [],
+							panelType,
+						);
+						const url = buildAlertUrl(
+							query,
+							panelType,
+							readPanelUnit(panel.spec.plugin),
+						);
+						safeNavigate(url, { newTab: true });
+					},
+					onError: () => {
+						toast.error(SOMETHING_WENT_WRONG, {
+							description: 'Failed to create alert from panel',
+						});
+					},
+				},
+			);
 		},
-		[dashboardId, safeNavigate],
+		[dashboardId, variables, minTime, maxTime, substituteVars, safeNavigate],
 	);
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/useDeletePanel.ts

@@ -1,9 +1,9 @@
 import { useCallback } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { removePanelOp, replaceSectionItemsOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../utils';
@@ -25,7 +25,7 @@ export function useDeletePanel({
 	sections,
 }: Params): (args: DeletePanelArgs) => Promise<void> {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const { showErrorModal } = useErrorModal();
 
 	return useCallback(
@@ -40,15 +40,14 @@ export function useDeletePanel({
 
 			const nextItems = section.items.filter((i) => i.id !== panelId);
 			try {
-				await patchDashboardV2({ id: dashboardId }, [
+				await patchAsync([
 					replaceSectionItemsOp(layoutIndex, nextItems),
 					removePanelOp(panelId),
 				]);
-				refetch();
 			} catch (error) {
 				showErrorModal(error as APIError);
 			}
 		},
-		[sections, dashboardId, refetch, showErrorModal],
+		[sections, dashboardId, patchAsync, showErrorModal],
 	);
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/hooks/useMovePanelToSection.ts

@@ -1,9 +1,9 @@
 import { useCallback } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { movePanelBetweenSectionsOps } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../utils';
@@ -27,7 +27,7 @@ export function useMovePanelToSection({
 	sections,
 }: Params): (args: MovePanelArgs) => Promise<void> {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const { showErrorModal } = useErrorModal();
 
 	return useCallback(
@@ -60,8 +60,7 @@ export function useMovePanelToSection({
 			const targetItems = [...target.items, { ...moved, x: 0, y: nextY }];
 
 			try {
-				await patchDashboardV2(
-					{ id: dashboardId },
+				await patchAsync(
 					movePanelBetweenSectionsOps({
 						sourceIndex: fromLayoutIndex,
 						sourceItems,
@@ -69,11 +68,10 @@ export function useMovePanelToSection({
 						targetItems,
 					}),
 				);
-				refetch();
 			} catch (error) {
 				showErrorModal(error as APIError);
 			}
 		},
-		[sections, dashboardId, refetch, showErrorModal],
+		[sections, dashboardId, patchAsync, showErrorModal],
 	);
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Panel/utils/buildCreateAlertUrl.ts

@@ -5,11 +5,14 @@ import type {
 import { YAxisSource } from 'components/YAxisUnitSelector/types';
 import { ENTITY_VERSION_V5 } from 'constants/app';
 import { QueryParams } from 'constants/query';
+import { PANEL_TYPES } from 'constants/queryBuilder';
 import ROUTES from 'constants/routes';
 import { PANEL_KIND_TO_PANEL_TYPE } from 'pages/DashboardPageV2/DashboardContainer/Panels/types/panelKind';
 import { fromPerses } from 'pages/DashboardPageV2/DashboardContainer/queryV5/persesQueryAdapters';
+import type { Query } from 'types/api/queryBuilder/queryBuilderData';
 
-function readPanelUnit(
+/** The panel's configured y-axis unit, for the kinds that carry one. */
+export function readPanelUnit(
 	plugin: DashboardtypesPanelPluginDTO,
 ): string | undefined {
 	switch (plugin.kind) {
@@ -24,20 +27,17 @@ function readPanelUnit(
 }
 
 /**
- * Builds the `/alerts/new` URL that seeds the alert builder from a panel's query,
- * mirroring V1's `useCreateAlerts`: the panel's V5 queries are translated to the
- * V1 `Query` the alert page reads from `compositeQuery`, tagged with the panel
- * type, entity version, and a `dashboards` source.
- *
- * Unlike V1 there is no `/substitute_vars` round-trip — V2 has no query-variable
- * plumbing yet, so any dashboard-variable references travel through verbatim.
+ * Assembles the `/alerts/new` URL from a ready V1 `Query`: the alert page reads it
+ * from `compositeQuery`, tagged with the panel type, entity version, and a
+ * `dashboards` source.
  */
-export function buildCreateAlertUrl(panel: DashboardtypesPanelDTO): string {
-	const panelType = PANEL_KIND_TO_PANEL_TYPE[panel.spec.plugin.kind];
-	const query = fromPerses(panel.spec.queries, panelType);
-
-	const unit = readPanelUnit(panel.spec.plugin);
+export function buildAlertUrl(
+	query: Query,
+	panelType: PANEL_TYPES,
+	unit?: string,
+): string {
 	if (unit) {
+		// eslint-disable-next-line no-param-reassign
 		query.unit = unit;
 	}
 
@@ -52,3 +52,15 @@ export function buildCreateAlertUrl(panel: DashboardtypesPanelDTO): string {
 
 	return `${ROUTES.ALERTS_NEW}?${params.toString()}`;
 }
+
+/**
+ * Seeds the alert builder from a panel's query — the no-variable path, so any
+ * dashboard-variable references travel through verbatim. When the dashboard has
+ * selections, `useCreateAlertFromPanel` runs a `/substitute_vars` round-trip first
+ * and assembles the URL from the resolved queries via {@link buildAlertUrl}.
+ */
+export function buildCreateAlertUrl(panel: DashboardtypesPanelDTO): string {
+	const panelType = PANEL_KIND_TO_PANEL_TYPE[panel.spec.plugin.kind];
+	const query = fromPerses(panel.spec.queries, panelType);
+	return buildAlertUrl(query, panelType, readPanelUnit(panel.spec.plugin));
+}

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/useAddSection.ts

@@ -1,10 +1,10 @@
 import { useCallback, useState } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import type { DashboardtypesLayoutDTO } from 'api/generated/services/sigNoz.schemas';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import {
 	addSectionOp,
 	newGridLayout,
@@ -15,9 +15,9 @@ import { useDashboardStore } from '../../../store/useDashboardStore';
 const SECTION_SELECTOR = '[data-testid^="dashboard-section-"]';
 
 /**
- * Waits (via rAF) for the refetch to render the appended section, then scrolls
- * it into view. Polls because `refetch` resolves before React commits the new
- * section to the DOM; bails after ~40 frames.
+ * Waits (via rAF) for the appended section to render, then scrolls it into view.
+ * Polls because the optimistic cache write commits to the DOM a frame or two after
+ * the patch call; bails after ~40 frames.
  */
 function scrollToNewSection(prevCount: number, attempts = 40): void {
 	const sections = document.querySelectorAll(SECTION_SELECTOR);
@@ -49,7 +49,7 @@ interface Result {
  */
 export function useAddSection({ layouts }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [isSaving, setIsSaving] = useState(false);
 	const { showErrorModal } = useErrorModal();
 
@@ -66,8 +66,7 @@ export function useAddSection({ layouts }: Params): Result {
 			const prevSectionCount = document.querySelectorAll(SECTION_SELECTOR).length;
 			try {
 				setIsSaving(true);
-				await patchDashboardV2({ id: dashboardId }, [op]);
-				refetch();
+				await patchAsync([op]);
 				scrollToNewSection(prevSectionCount);
 			} catch (error) {
 				showErrorModal(error as APIError);
@@ -75,7 +74,7 @@ export function useAddSection({ layouts }: Params): Result {
 				setIsSaving(false);
 			}
 		},
-		[layouts, dashboardId, refetch, showErrorModal],
+		[layouts, dashboardId, patchAsync, showErrorModal],
 	);
 
 	return { addSection, isSaving };

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/useDeleteSection.ts

@@ -1,10 +1,10 @@
 import { useCallback, useState } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import type { DashboardtypesJSONPatchOperationDTO } from 'api/generated/services/sigNoz.schemas';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { removePanelOp, removeSectionOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../utils';
@@ -24,7 +24,7 @@ interface Result {
  */
 export function useDeleteSection({ section }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [isSaving, setIsSaving] = useState(false);
 	const { showErrorModal } = useErrorModal();
 
@@ -38,14 +38,13 @@ export function useDeleteSection({ section }: Params): Result {
 		ops.push(removeSectionOp(section.layoutIndex));
 		try {
 			setIsSaving(true);
-			await patchDashboardV2({ id: dashboardId }, ops);
-			refetch();
+			await patchAsync(ops);
 		} catch (error) {
 			showErrorModal(error as APIError);
 		} finally {
 			setIsSaving(false);
 		}
-	}, [section, dashboardId, refetch, showErrorModal]);
+	}, [section, dashboardId, patchAsync, showErrorModal]);
 
 	return { deleteSection, isSaving };
 }

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/useFirstSectionMigration.ts

@@ -1,10 +1,10 @@
 import { useCallback, useState } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import type { DashboardtypesJSONPatchOperationDTO } from 'api/generated/services/sigNoz.schemas';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { addSectionOp, titleUntitledSectionOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../utils';
@@ -26,7 +26,7 @@ interface Result {
  */
 export function useFirstSectionMigration({ sections }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [isSaving, setIsSaving] = useState(false);
 	const { showErrorModal } = useErrorModal();
 
@@ -49,15 +49,14 @@ export function useFirstSectionMigration({ sections }: Params): Result {
 
 			try {
 				setIsSaving(true);
-				await patchDashboardV2({ id: dashboardId }, ops);
-				refetch();
+				await patchAsync(ops);
 			} catch (error) {
 				showErrorModal(error as APIError);
 			} finally {
 				setIsSaving(false);
 			}
 		},
-		[sections, dashboardId, refetch, showErrorModal],
+		[sections, dashboardId, patchAsync, showErrorModal],
 	);
 
 	return { migrate, isSaving };

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/usePersistLayout.ts

@@ -1,10 +1,10 @@
 import { useCallback, useState } from 'react';
 import type { Layout } from 'react-grid-layout';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { replaceSectionItemsOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { GridItem } from '../../../utils';
@@ -65,7 +65,7 @@ function hasGeometryChanged(next: GridItem[], prev: GridItem[]): boolean {
  */
 export function usePersistLayout({ layoutIndex, items }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [isSaving, setIsSaving] = useState(false);
 	const { showErrorModal } = useErrorModal();
 
@@ -80,17 +80,14 @@ export function usePersistLayout({ layoutIndex, items }: Params): Result {
 			}
 			try {
 				setIsSaving(true);
-				await patchDashboardV2({ id: dashboardId }, [
-					replaceSectionItemsOp(layoutIndex, nextItems),
-				]);
-				refetch();
+				await patchAsync([replaceSectionItemsOp(layoutIndex, nextItems)]);
 			} catch (error) {
 				showErrorModal(error as APIError);
 			} finally {
 				setIsSaving(false);
 			}
 		},
-		[dashboardId, items, layoutIndex, refetch, showErrorModal],
+		[dashboardId, items, layoutIndex, patchAsync, showErrorModal],
 	);
 
 	return { handleLayoutChange, isSaving };

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/useRenameSection.ts

@@ -1,9 +1,9 @@
 import { useCallback, useState } from 'react';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { renameSectionOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 
@@ -19,7 +19,7 @@ interface Result {
 /** Renames a section's title via `replace /spec/layouts/<i>/spec/display/title`. */
 export function useRenameSection({ layoutIndex }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [isSaving, setIsSaving] = useState(false);
 	const { showErrorModal } = useErrorModal();
 
@@ -31,10 +31,7 @@ export function useRenameSection({ layoutIndex }: Params): Result {
 			}
 			try {
 				setIsSaving(true);
-				await patchDashboardV2({ id: dashboardId }, [
-					renameSectionOp(layoutIndex, trimmed),
-				]);
-				refetch();
+				await patchAsync([renameSectionOp(layoutIndex, trimmed)]);
 				return true;
 			} catch (error) {
 				showErrorModal(error as APIError);
@@ -43,7 +40,7 @@ export function useRenameSection({ layoutIndex }: Params): Result {
 				setIsSaving(false);
 			}
 		},
-		[dashboardId, layoutIndex, refetch, showErrorModal],
+		[dashboardId, layoutIndex, patchAsync, showErrorModal],
 	);
 
 	return { rename, isSaving };

frontend/src/pages/DashboardPageV2/DashboardContainer/PanelsAndSectionsLayout/Section/hooks/useSectionDragReorder.ts

@@ -9,11 +9,11 @@ import {
 } from '@dnd-kit/core';
 import { arrayMove, sortableKeyboardCoordinates } from '@dnd-kit/sortable';
 
-import { patchDashboardV2 } from 'api/generated/services/dashboard';
 import type { DashboardtypesLayoutDTO } from 'api/generated/services/sigNoz.schemas';
 import { useErrorModal } from 'providers/ErrorModalProvider';
 import APIError from 'types/api/error';
 
+import { useOptimisticPatch } from '../../../hooks/useOptimisticPatch';
 import { reorderLayoutsOp } from '../../../patchOps';
 import { useDashboardStore } from '../../../store/useDashboardStore';
 import type { DashboardSection } from '../../../utils';
@@ -43,7 +43,7 @@ interface Result {
  */
 export function useSectionDragReorder({ sections, layouts }: Params): Result {
 	const dashboardId = useDashboardStore((s) => s.dashboardId);
-	const refetch = useDashboardStore((s) => s.refetch);
+	const { patchAsync } = useOptimisticPatch();
 	const [activeId, setActiveId] = useState<string | null>(null);
 	const [localOrderIds, setLocalOrderIds] = useState<string[] | null>(null);
 	const { showErrorModal } = useErrorModal();
@@ -99,14 +99,13 @@ export function useSectionDragReorder({ sections, layouts }: Params): Result {
 				.filter((l): l is DashboardtypesLayoutDTO => l !== undefined);
 
 			try {
-				await patchDashboardV2({ id: dashboardId }, [reorderLayoutsOp(newLayouts)]);
-				refetch();
+				await patchAsync([reorderLayoutsOp(newLayouts)]);
 			} catch (error) {
 				setLocalOrderIds(null); // revert optimistic order on failure
 				showErrorModal(error as APIError);
 			}
 		},
-		[orderedSections, layouts, dashboardId, refetch, showErrorModal],
+		[orderedSections, layouts, dashboardId, patchAsync, showErrorModal],
 	);
 
 	const activeSection = useMemo(

frontend/src/pages/DashboardPageV2/DashboardContainer/hooks/__tests__/useOptimisticPatch.test.ts

@@ -0,0 +1,107 @@
+import { renderHook } from '@testing-library/react';
+import { useMutation, useQueryClient } from 'react-query';
+// eslint-disable-next-line no-restricted-imports -- the hook's own test mocks and asserts the underlying patchDashboardV2 call.
+import { patchDashboardV2 } from 'api/generated/services/dashboard';
+import type { GetDashboardV2200 } from 'api/generated/services/sigNoz.schemas';
+import { DashboardtypesPatchOpDTO } from 'api/generated/services/sigNoz.schemas';
+
+import { useOptimisticPatch } from '../useOptimisticPatch';
+
+const QUERY_KEY = ['/api/v2/dashboards/dash-1'];
+
+jest.mock('react-query', () => ({
+	useMutation: jest.fn(),
+	useQueryClient: jest.fn(),
+}));
+
+jest.mock('api/generated/services/dashboard', () => ({
+	patchDashboardV2: jest.fn(),
+	getGetDashboardV2QueryKey: jest.fn(() => ['/api/v2/dashboards/dash-1']),
+}));
+
+jest.mock('../../store/useDashboardStore', () => ({
+	useDashboardStore: jest.fn(
+		(selector: (s: { dashboardId: string }) => unknown) =>
+			selector({ dashboardId: 'dash-1' }),
+	),
+}));
+
+const queryClient = {
+	cancelQueries: jest.fn().mockResolvedValue(undefined),
+	getQueryData: jest.fn(),
+	setQueryData: jest.fn(),
+	invalidateQueries: jest.fn().mockResolvedValue(undefined),
+};
+
+// eslint-disable-next-line @typescript-eslint/no-explicit-any
+let captured: { fn: (ops: any) => unknown; options: any };
+
+function dashboardEnvelope(name: string): GetDashboardV2200 {
+	return {
+		data: { spec: { display: { name } } },
+	} as unknown as GetDashboardV2200;
+}
+
+const replaceNameOp = {
+	op: DashboardtypesPatchOpDTO.replace,
+	path: '/spec/display/name',
+	value: 'B',
+};
+
+beforeEach(() => {
+	jest.clearAllMocks();
+	(useQueryClient as jest.Mock).mockReturnValue(queryClient);
+	(useMutation as jest.Mock).mockImplementation((fn, options) => {
+		captured = { fn, options };
+		return { mutateAsync: jest.fn(), isLoading: false };
+	});
+	renderHook(() => useOptimisticPatch());
+});
+
+describe('useOptimisticPatch', () => {
+	it('mutationFn sends the ops to patchDashboardV2 for the current dashboard', () => {
+		captured.fn([replaceNameOp]);
+		expect(patchDashboardV2).toHaveBeenCalledWith({ id: 'dash-1' }, [
+			replaceNameOp,
+		]);
+	});
+
+	it('onMutate cancels fetches, snapshots, and writes the patched dashboard to the cache', async () => {
+		const previous = dashboardEnvelope('A');
+		queryClient.getQueryData.mockReturnValue(previous);
+
+		const context = await captured.options.onMutate([replaceNameOp]);
+
+		expect(queryClient.cancelQueries).toHaveBeenCalledWith(QUERY_KEY);
+		// Optimistic write reflects the op immediately.
+		expect(queryClient.setQueryData).toHaveBeenCalledWith(QUERY_KEY, {
+			data: { spec: { display: { name: 'B' } } },
+		});
+		// Snapshot returned for rollback; original left untouched.
+		expect(context).toStrictEqual({ previous });
+		expect(previous.data).toStrictEqual({ spec: { display: { name: 'A' } } });
+	});
+
+	it('onMutate is a no-op write when there is no cached dashboard', async () => {
+		queryClient.getQueryData.mockReturnValue(undefined);
+		const context = await captured.options.onMutate([replaceNameOp]);
+		expect(queryClient.setQueryData).not.toHaveBeenCalled();
+		expect(context).toStrictEqual({ previous: undefined });
+	});
+
+	it('onError rolls the cache back to the snapshot', () => {
+		const previous = dashboardEnvelope('A');
+		captured.options.onError(new Error('boom'), [replaceNameOp], { previous });
+		expect(queryClient.setQueryData).toHaveBeenCalledWith(QUERY_KEY, previous);
+	});
+
+	it('onError without a snapshot does not touch the cache', () => {
+		captured.options.onError(new Error('boom'), [replaceNameOp], {});
+		expect(queryClient.setQueryData).not.toHaveBeenCalled();
+	});
+
+	it('onSettled invalidates the dashboard query to reconcile', () => {
+		captured.options.onSettled();
+		expect(queryClient.invalidateQueries).toHaveBeenCalledWith(QUERY_KEY);
+	});
+});

frontend/src/pages/DashboardPageV2/DashboardContainer/hooks/useOptimisticPatch.ts

@@ -0,0 +1,73 @@
+import { useMutation, useQueryClient } from 'react-query';
+import {
+	getGetDashboardV2QueryKey,
+	// eslint-disable-next-line no-restricted-imports -- this hook is the one sanctioned caller of patchDashboardV2; everything else goes through patchAsync.
+	patchDashboardV2,
+} from 'api/generated/services/dashboard';
+import type {
+	DashboardtypesJSONPatchOperationDTO,
+	GetDashboardV2200,
+} from 'api/generated/services/sigNoz.schemas';
+import APIError from 'types/api/error';
+
+import { applyJsonPatch } from '../optimistic/applyJsonPatch';
+import { useDashboardStore } from '../store/useDashboardStore';
+
+/** Cached dashboard snapshot, kept for rollback on error. */
+interface OptimisticPatchContext {
+	previous?: GetDashboardV2200;
+}
+
+export interface UseOptimisticPatch {
+	patchAsync: (ops: DashboardtypesJSONPatchOperationDTO[]) => Promise<unknown>;
+	isPatching: boolean;
+	error: Error | null;
+}
+
+/**
+ * Central optimistic mutation for V2 dashboard spec edits: writes the ops to the
+ * cached dashboard immediately, rolls back on error, reconciles on settle.
+ * `dashboardId` defaults to the edit-context store; the panel editor passes its own.
+ */
+export function useOptimisticPatch(
+	dashboardIdOverride?: string,
+): UseOptimisticPatch {
+	const storeDashboardId = useDashboardStore((s) => s.dashboardId);
+	const dashboardId = dashboardIdOverride ?? storeDashboardId;
+	const queryClient = useQueryClient();
+	const queryKey = getGetDashboardV2QueryKey({ id: dashboardId });
+
+	const mutation = useMutation<
+		Awaited<ReturnType<typeof patchDashboardV2>>,
+		APIError,
+		DashboardtypesJSONPatchOperationDTO[],
+		OptimisticPatchContext
+	>((ops) => patchDashboardV2({ id: dashboardId }, ops), {
+		onMutate: async (ops) => {
+			await queryClient.cancelQueries(queryKey);
+			const previous = queryClient.getQueryData<GetDashboardV2200>(queryKey);
+			if (previous?.data) {
+				// Ops are rooted at the DTO's `/spec`, so patch `.data`, keep the envelope.
+				queryClient.setQueryData<GetDashboardV2200>(queryKey, {
+					...previous,
+					data: applyJsonPatch(previous.data, ops),
+				});
+			}
+			return { previous };
+		},
+		onError: (_error, _ops, context) => {
+			if (context?.previous) {
+				queryClient.setQueryData(queryKey, context.previous);
+			}
+		},
+		onSettled: () => {
+			void queryClient.invalidateQueries(queryKey);
+		},
+	});
+
+	return {
+		patchAsync: mutation.mutateAsync,
+		isPatching: mutation.isLoading,
+		error: mutation.error ?? null,
+	};
+}

frontend/src/pages/DashboardPageV2/DashboardContainer/optimistic/__tests__/applyJsonPatch.test.ts

@@ -0,0 +1,138 @@
+import type { DashboardtypesJSONPatchOperationDTO } from 'api/generated/services/sigNoz.schemas';
+import { DashboardtypesPatchOpDTO } from 'api/generated/services/sigNoz.schemas';
+
+import { applyJsonPatch } from '../applyJsonPatch';
+
+const { add, replace, remove, move, test: testOp } = DashboardtypesPatchOpDTO;
+
+function op(
+	o: DashboardtypesPatchOpDTO,
+	path: string,
+	value?: unknown,
+): DashboardtypesJSONPatchOperationDTO {
+	return { op: o, path, value };
+}
+
+// A trimmed dashboard-spec shape; the applier is structural, so this stands in
+// for the full DTO.
+function spec(): Record<string, unknown> {
+	return {
+		spec: {
+			display: { name: 'dash' },
+			panels: { p1: { spec: { display: { name: 'A' } } } },
+			layouts: [
+				{ spec: { display: { title: 'S1' }, items: [{ x: 0 }] } },
+				{ spec: { items: [] } },
+			],
+			variables: [{ name: 'env' }],
+		},
+	};
+}
+
+describe('applyJsonPatch', () => {
+	it('does not mutate the input document', () => {
+		const doc = spec();
+		const snapshot = JSON.stringify(doc);
+		applyJsonPatch(doc, [op(replace, '/spec/display/name', 'renamed')]);
+		expect(JSON.stringify(doc)).toBe(snapshot);
+	});
+
+	it('replaces a leaf string', () => {
+		const next = applyJsonPatch(spec(), [
+			op(replace, '/spec/layouts/0/spec/display/title', 'S1-renamed'),
+		]);
+		const layouts = (next.spec as any).layouts;
+		expect(layouts[0].spec.display.title).toBe('S1-renamed');
+	});
+
+	it('adds a new object member (panel by id)', () => {
+		const next = applyJsonPatch(spec(), [
+			op(add, '/spec/panels/p2', { spec: { display: { name: 'B' } } }),
+		]);
+		expect((next.spec as any).panels.p2.spec.display.name).toBe('B');
+		// existing member untouched
+		expect((next.spec as any).panels.p1.spec.display.name).toBe('A');
+	});
+
+	it('appends to an array with the "-" token', () => {
+		const next = applyJsonPatch(spec(), [
+			op(add, '/spec/layouts/-', { spec: { items: [] } }),
+		]);
+		expect((next.spec as any).layouts).toHaveLength(3);
+	});
+
+	it('appends an item into a nested section array', () => {
+		const next = applyJsonPatch(spec(), [
+			op(add, '/spec/layouts/1/spec/items/-', { x: 5 }),
+		]);
+		expect((next.spec as any).layouts[1].spec.items).toStrictEqual([{ x: 5 }]);
+	});
+
+	it('replaces a whole array', () => {
+		const next = applyJsonPatch(spec(), [
+			op(replace, '/spec/variables', [{ name: 'region' }, { name: 'pod' }]),
+		]);
+		expect((next.spec as any).variables).toStrictEqual([
+			{ name: 'region' },
+			{ name: 'pod' },
+		]);
+	});
+
+	it('removes an array element by index (section)', () => {
+		const next = applyJsonPatch(spec(), [op(remove, '/spec/layouts/0')]);
+		const layouts = (next.spec as any).layouts;
+		expect(layouts).toHaveLength(1);
+		expect(layouts[0].spec.items).toStrictEqual([]);
+	});
+
+	it('removes an object member (panel by id)', () => {
+		const next = applyJsonPatch(spec(), [op(remove, '/spec/panels/p1')]);
+		expect((next.spec as any).panels).toStrictEqual({});
+	});
+
+	it('adds a missing object parent for an add op (title untitled section)', () => {
+		const next = applyJsonPatch(spec(), [
+			op(add, '/spec/layouts/1/spec/display', { title: 'S2' }),
+		]);
+		expect((next.spec as any).layouts[1].spec.display).toStrictEqual({
+			title: 'S2',
+		});
+	});
+
+	it('is lenient: remove on a missing path is a no-op', () => {
+		const next = applyJsonPatch(spec(), [op(remove, '/spec/panels/ghost')]);
+		expect((next.spec as any).panels.p1).toBeDefined();
+	});
+
+	it('is lenient: a path through a missing node is skipped', () => {
+		const next = applyJsonPatch(spec(), [op(replace, '/spec/nope/deep/leaf', 1)]);
+		expect(next).toStrictEqual(spec());
+	});
+
+	it('unescapes ~1 and ~0 in reference tokens', () => {
+		const doc = { spec: { m: { 'a/b': 1, 'c~d': 2 } } };
+		const next = applyJsonPatch(doc, [
+			op(replace, '/spec/m/a~1b', 9),
+			op(replace, '/spec/m/c~0d', 8),
+		]);
+		expect(next.spec.m).toStrictEqual({ 'a/b': 9, 'c~d': 8 });
+	});
+
+	it('applies multiple ops in order', () => {
+		const next = applyJsonPatch(spec(), [
+			op(add, '/spec/panels/p2', { spec: {} }),
+			op(remove, '/spec/panels/p1'),
+			op(replace, '/spec/display/name', 'z'),
+		]);
+		expect(Object.keys((next.spec as any).panels)).toStrictEqual(['p2']);
+		expect((next.spec as any).display.name).toBe('z');
+	});
+
+	it('treats move/copy/test as no-ops', () => {
+		const next = applyJsonPatch(spec(), [
+			op(move, '/spec/display/name'),
+			op(testOp, '/spec/display/name', 'dash'),
+		]);
+		expect(next).toStrictEqual(spec());
+	});
+});

frontend/src/pages/DashboardPageV2/DashboardContainer/optimistic/applyJsonPatch.ts

@@ -0,0 +1,146 @@
+import type { DashboardtypesJSONPatchOperationDTO } from 'api/generated/services/sigNoz.schemas';
+import { DashboardtypesPatchOpDTO } from 'api/generated/services/sigNoz.schemas';
+import { cloneDeep } from 'lodash-es';
+
+/**
+ * Applies the RFC-6902 ops our `patchOps` builders emit to a document, so a
+ * dashboard edit can be reflected in the react-query cache optimistically before
+ * the server responds. Pure: deep-clones and returns a new document, never
+ * mutating the input.
+ *
+ * Deliberately lenient — mirrors the backend's apply (a `remove`/`replace` on a
+ * missing path is a no-op, `add` creates missing object parents) rather than
+ * throwing as strict RFC-6902 would. This is safe because the mutation always
+ * refetches on settle, so any mis-applied edge op self-corrects; the applier only
+ * needs to be right for the common case to kill the perceived lag.
+ *
+ * Scope: `add` / `replace` / `remove` (the only ops the builders produce).
+ * `move` / `copy` / `test` are never emitted, so they are treated as no-ops.
+ */
+export function applyJsonPatch<T>(
+	doc: T,
+	ops: DashboardtypesJSONPatchOperationDTO[],
+): T {
+	const next = cloneDeep(doc);
+	ops.forEach((op) => applyOperation(next as unknown, op));
+	return next;
+}
+
+type JsonRecord = Record<string, unknown>;
+
+function isArray(value: unknown): value is unknown[] {
+	return Array.isArray(value);
+}
+
+function isRecord(value: unknown): value is JsonRecord {
+	return typeof value === 'object' && value !== null && !Array.isArray(value);
+}
+
+/** Unescape one JSON-Pointer reference token (RFC-6901): `~1`→`/`, `~0`→`~`. */
+function unescapeToken(token: string): string {
+	return token.replace(/~1/g, '/').replace(/~0/g, '~');
+}
+
+/** Parse a JSON Pointer into its reference tokens (`""`/`"/"` → root, `[]`). */
+function parsePointer(path: string): string[] {
+	if (!path || path === '/') {
+		return [];
+	}
+	return path.slice(1).split('/').map(unescapeToken);
+}
+
+/**
+ * Walks to the container that holds the pointer's last token. Returns `undefined`
+ * when the path can't be resolved (lenient skip). For `add`, missing intermediate
+ * object nodes are created (backend parity); array steps are never auto-created.
+ */
+function navigateToParent(
+	root: unknown,
+	tokens: string[],
+	createMissing: boolean,
+): unknown {
+	let current: unknown = root;
+	for (let i = 0; i < tokens.length - 1; i += 1) {
+		const token = tokens[i];
+		if (isArray(current)) {
+			const index = token === '-' ? current.length : Number(token);
+			current = current[index];
+		} else if (isRecord(current)) {
+			if (current[token] === undefined && createMissing) {
+				current[token] = {};
+			}
+			current = current[token];
+		} else {
+			return undefined;
+		}
+		if (current === undefined || current === null) {
+			return undefined;
+		}
+	}
+	return current;
+}
+
+/** `add`: array-insert (`-` = append) or object-set. */
+function addAt(parent: unknown, key: string, value: unknown): void {
+	if (isArray(parent)) {
+		const index = key === '-' ? parent.length : Number(key);
+		parent.splice(index, 0, value);
+	} else if (isRecord(parent)) {
+		parent[key] = value;
+	}
+}
+
+/** `replace`: overwrite an in-range array index or an object key. */
+function replaceAt(parent: unknown, key: string, value: unknown): void {
+	if (isArray(parent)) {
+		const index = Number(key);
+		if (index >= 0 && index < parent.length) {
+			parent[index] = value;
+		}
+	} else if (isRecord(parent)) {
+		parent[key] = value;
+	}
+}
+
+/** `remove`: splice an in-range array index or delete an object key (lenient). */
+function removeAt(parent: unknown, key: string): void {
+	if (isArray(parent)) {
+		const index = Number(key);
+		if (index >= 0 && index < parent.length) {
+			parent.splice(index, 1);
+		}
+	} else if (isRecord(parent)) {
+		delete parent[key];
+	}
+}
+
+function applyOperation(
+	root: unknown,
+	op: DashboardtypesJSONPatchOperationDTO,
+): void {
+	const tokens = parsePointer(op.path);
+	// Whole-document ops would need to reassign the root reference — our builders
+	// never target root, so skip rather than complicate the contract.
+	if (tokens.length === 0) {
+		return;
+	}
+
+	const parent = navigateToParent(
+		root,
+		tokens,
+		op.op === DashboardtypesPatchOpDTO.add,
+	);
+	if (parent === undefined || parent === null) {
+		return;
+	}
+	const key = tokens[tokens.length - 1];
+
+	// move / copy / test are never emitted by our builders → no-op (reconciled by refetch).
+	if (op.op === DashboardtypesPatchOpDTO.add) {
+		addAt(parent, key, op.value);
+	} else if (op.op === DashboardtypesPatchOpDTO.replace) {
+		replaceAt(parent, key, op.value);
+	} else if (op.op === DashboardtypesPatchOpDTO.remove) {
+		removeAt(parent, key);
+	}
+}

frontend/src/pages/DashboardPageV2/DashboardContainer/queryV5/__tests__/persesQueryAdapters.test.ts

@@ -1,10 +1,13 @@
-import type { DashboardtypesQueryDTO } from 'api/generated/services/sigNoz.schemas';
+import type {
+	DashboardtypesQueryDTO,
+	Querybuildertypesv5QueryEnvelopeDTO,
+} from 'api/generated/services/sigNoz.schemas';
 import { initialQueriesMap, PANEL_TYPES } from 'constants/queryBuilder';
 import type { Query } from 'types/api/queryBuilder/queryBuilderData';
 import { EQueryType } from 'types/common/dashboard';
 import { DataSource } from 'types/common/queryBuilder';
 
-import { fromPerses, toPerses } from '../persesQueryAdapters';
+import { envelopesToQuery, fromPerses, toPerses } from '../persesQueryAdapters';
 
 /** A bare perses query (single plugin, not wrapped in a CompositeQuery). */
 function bareQuery(
@@ -58,6 +61,26 @@ describe('persesQueryAdapters', () => {
 		});
 	});
 
+	describe('envelopesToQuery', () => {
+		it('returns the metrics default for an empty envelope list', () => {
+			expect(envelopesToQuery([], PANEL_TYPES.TIME_SERIES)).toStrictEqual(
+				initialQueriesMap[DataSource.METRICS],
+			);
+		});
+
+		it('maps a promql envelope to a PromQL query', () => {
+			const envelopes: Querybuildertypesv5QueryEnvelopeDTO[] = [
+				{
+					type: 'promql',
+					spec: { name: 'A', query: 'up', disabled: false },
+				} as unknown as Querybuildertypesv5QueryEnvelopeDTO,
+			];
+			expect(envelopesToQuery(envelopes, PANEL_TYPES.TIME_SERIES).queryType).toBe(
+				EQueryType.PROM,
+			);
+		});
+	});
+
 	describe('toPerses', () => {
 		it('wraps the query in a single signoz/CompositeQuery keyed to the panel request type', () => {
 			const result = toPerses(

frontend/src/pages/DashboardPageV2/DashboardContainer/queryV5/persesQueryAdapters.ts

@@ -74,14 +74,14 @@ export function deriveQueryType(
 }
 
 /**
- * Perses panel queries → V1 `Query` (to seed the query builder), via the V5 envelope
- * list + `mapQueryDataFromApi`. An empty panel opens on a fresh metrics builder query.
+ * V5 query-envelope list → V1 `Query`, via `mapQueryDataFromApi`. An empty list opens
+ * on a fresh metrics builder query. Used by `fromPerses` and by the envelopes a
+ * `/substitute_vars` round-trip returns with dashboard variables resolved.
  */
-export function fromPerses(
-	queries: DashboardtypesQueryDTO[],
+export function envelopesToQuery(
+	envelopes: Querybuildertypesv5QueryEnvelopeDTO[],
 	panelType: PANEL_TYPES,
 ): Query {
-	const envelopes = toQueryEnvelopes(queries);
 	if (envelopes.length === 0) {
 		return initialQueriesMap[DataSource.METRICS];
 	}
@@ -99,6 +99,17 @@ export function fromPerses(
 	return mapQueryDataFromApi(composite);
 }
 
+/**
+ * Perses panel queries → V1 `Query` (to seed the query builder), via the V5 envelope
+ * list + `mapQueryDataFromApi`. An empty panel opens on a fresh metrics builder query.
+ */
+export function fromPerses(
+	queries: DashboardtypesQueryDTO[],
+	panelType: PANEL_TYPES,
+): Query {
+	return envelopesToQuery(toQueryEnvelopes(queries), panelType);
+}
+
 /**
  * V1 `Query` → perses panel queries (to write the builder result back to the editor
  * draft). Wrapped in a single `signoz/CompositeQuery` to satisfy the

pkg/types/dashboardtypes/perses_dashboard_data.go

@@ -138,14 +138,33 @@ func validateQueryAllowedForPanel(plugin QueryPlugin, allowed []QueryPluginKind,
 	return nil
 }
 
-// validateLayouts rejects grid items referencing a panel that doesn't exist.
+const maxLayoutsPerDashboard = 500
+
+// validateLayouts validates the dashboard's layouts: bounded section count,
+// per-item geometry, resolvable panel references, and no panel placed twice.
+// Geometry (validateGridLayoutGeometry) needs only each layout's own data but
+// runs here so its errors can name the layout by index.
 func (d *DashboardSpec) validateLayouts() error {
+	if len(d.Layouts) > maxLayoutsPerDashboard {
+		return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts: dashboard has %d layouts; maximum is %d", len(d.Layouts), maxLayoutsPerDashboard)
+	}
+
+	// Could enforce this but skipping for now: panels in no grid item (orphans)
+	// are allowed.
+
+	// The frontend keys each grid item by its panel id, so placing one panel in
+	// two grid items collides; reject duplicate references dashboard-wide. Maps
+	// each referenced panel key to the path of the item that first placed it.
+	referencedPanels := make(map[string]string, len(d.Panels))
 	for li, layout := range d.Layouts {
 		grid, ok := layout.Spec.(*dashboard.GridLayoutSpec)
 		if !ok {
 			// Unreachable via UnmarshalJSON; reaching here means a Go caller broke the Kind/Spec pairing.
 			return errors.NewInternalf(errors.CodeInternal, "spec.layouts[%d].spec: unexpected layout spec type %T", li, layout.Spec)
 		}
+		if err := validateGridLayoutGeometry(grid, li); err != nil {
+			return err
+		}
 		for ii, item := range grid.Items {
 			path := fmt.Sprintf("spec.layouts[%d].spec.items[%d].content", li, ii)
 			if item.Content == nil {
@@ -158,6 +177,10 @@ func (d *DashboardSpec) validateLayouts() error {
 			if _, ok := d.Panels[key]; !ok {
 				return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "%s: references unknown panel %q", path, key)
 			}
+			if firstPath, dup := referencedPanels[key]; dup {
+				return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "%s: panel %q is already placed by %s", path, key, firstPath)
+			}
+			referencedPanels[key] = path
 		}
 	}
 	return nil

pkg/types/dashboardtypes/perses_dashboard_patch_test.go

@@ -299,19 +299,22 @@ func TestPatchableDashboardV2_Apply(t *testing.T) {
 	// Layout edits
 	// ─────────────────────────────────────────────────────────────────
 
-	t.Run("move panel by editing layout x coordinate", func(t *testing.T) {
-		out, err := decode(t, `[{"op": "replace", "path": "/spec/layouts/0/spec/items/0/x", "value": 6}]`).Apply(base)
+	t.Run("move panel by editing layout y coordinate", func(t *testing.T) {
+		// p2 fills the right half of row 0, so p1 can only move to a fresh row
+		// without tripping overlap validation.
+		out, err := decode(t, `[{"op": "replace", "path": "/spec/layouts/0/spec/items/0/y", "value": 6}]`).Apply(base)
 		require.NoError(t, err)
 		raw := jsonOf(t, out)
-		// The first item used to live at x=0, now lives at x=6.
-		assert.Contains(t, raw, `"x":6,"y":0,"width":6,"height":6,"content":{"$ref":"#/spec/panels/p1"}`)
+		// The first item used to live at y=0, now lives at y=6.
+		assert.Contains(t, raw, `"x":0,"y":6,"width":6,"height":6,"content":{"$ref":"#/spec/panels/p1"}`)
 	})
 
 	t.Run("resize panel by editing layout width", func(t *testing.T) {
-		out, err := decode(t, `[{"op": "replace", "path": "/spec/layouts/0/spec/items/0/width", "value": 12}]`).Apply(base)
+		// p2 sits at x=6, so p1 (at x=0) can only shrink; widening it would overlap.
+		out, err := decode(t, `[{"op": "replace", "path": "/spec/layouts/0/spec/items/0/width", "value": 3}]`).Apply(base)
 		require.NoError(t, err)
 		raw := jsonOf(t, out)
-		assert.Contains(t, raw, `"width":12`)
+		assert.Contains(t, raw, `"width":3`)
 	})
 
 	t.Run("rename layout row title", func(t *testing.T) {
@@ -321,11 +324,12 @@ func TestPatchableDashboardV2_Apply(t *testing.T) {
 	})
 
 	t.Run("append layout item", func(t *testing.T) {
-		out, err := decode(t, `[{
-			"op": "add",
-			"path": "/spec/layouts/0/spec/items/-",
-			"value": {"x": 0, "y": 6, "width": 12, "height": 6, "content": {"$ref": "#/spec/panels/p1"}}
-		}]`).Apply(base)
+		// Appending needs a not-yet-placed panel, so add one in the same patch;
+		// re-placing p1 or p2 would be a duplicate reference.
+		out, err := decode(t, `[
+			{"op": "add", "path": "/spec/panels/p3", "value": {"kind": "Panel", "spec": {"plugin": {"kind": "signoz/TablePanel", "spec": {}}, "queries": [{"kind": "time_series", "spec": {"plugin": {"kind": "signoz/BuilderQuery", "spec": {"name": "A", "signal": "logs", "aggregations": [{"expression": "count()"}]}}}}]}}},
+			{"op": "add", "path": "/spec/layouts/0/spec/items/-", "value": {"x": 0, "y": 6, "width": 12, "height": 6, "content": {"$ref": "#/spec/panels/p3"}}}
+		]`).Apply(base)
 		require.NoError(t, err)
 		// Item count went 2 → 3.
 		raw := jsonOf(t, out)

pkg/types/dashboardtypes/perses_dashboard_test.go

@@ -8,6 +8,7 @@ import (
 	"time"
 
 	"github.com/SigNoz/signoz/pkg/errors"
+	"github.com/perses/spec/go/dashboard"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 	"k8s.io/apimachinery/pkg/util/validation"
@@ -25,19 +26,19 @@ func TestValidateBigExample(t *testing.T) {
 	data, err := os.ReadFile("testdata/perses.json")
 	require.NoError(t, err, "reading example file")
 	_, err = unmarshalDashboard(data)
-	require.NoError(t, err, "expected valid dashboard")
+	assert.NoError(t, err, "expected valid dashboard")
 }
 
 func TestValidateDashboardWithSections(t *testing.T) {
 	data, err := os.ReadFile("testdata/perses_with_sections.json")
 	require.NoError(t, err, "reading example file")
 	_, err = unmarshalDashboard(data)
-	require.NoError(t, err, "expected valid dashboard")
+	assert.NoError(t, err, "expected valid dashboard")
 }
 
 func TestInvalidateNotAJSON(t *testing.T) {
 	_, err := unmarshalDashboard([]byte("not json"))
-	require.Error(t, err, "expected error for invalid JSON")
+	assert.Error(t, err, "expected error for invalid JSON")
 }
 
 // TestUnmarshalErrorPreservesNestedMessage guards the wrap on dec.Decode in
@@ -60,11 +61,11 @@ func TestUnmarshalErrorPreservesNestedMessage(t *testing.T) {
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err)
 
-	require.Contains(t, err.Error(), "unknown panel plugin kind",
+	assert.Contains(t, err.Error(), "unknown panel plugin kind",
 		"outer wrap should not smother the inner UnmarshalJSON message")
-	require.Contains(t, err.Error(), `"NonExistentPanel"`,
+	assert.Contains(t, err.Error(), `"NonExistentPanel"`,
 		"the offending value should still appear in the error")
-	require.Contains(t, err.Error(), "allowed values:",
+	assert.Contains(t, err.Error(), "allowed values:",
 		"the allowed-values hint should still appear in the error")
 
 	assert.True(t, errors.Ast(err, errors.TypeInvalidInput),
@@ -77,7 +78,7 @@ func TestValidateEmptySpec(t *testing.T) {
 	// no variables no panels
 	data := []byte(`{}`)
 	_, err := unmarshalDashboard(data)
-	require.NoError(t, err, "expected valid")
+	assert.NoError(t, err, "expected valid")
 }
 
 func TestValidateOnlyVariables(t *testing.T) {
@@ -109,7 +110,7 @@ func TestValidateOnlyVariables(t *testing.T) {
 		"layouts": []
 	}`)
 	_, err := unmarshalDashboard(data)
-	require.NoError(t, err, "expected valid")
+	assert.NoError(t, err, "expected valid")
 }
 
 func TestInvalidateDuplicateVariableNames(t *testing.T) {
@@ -136,7 +137,7 @@ func TestInvalidateDuplicateVariableNames(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected error for duplicate variable name")
-	require.Contains(t, err.Error(), `duplicate variable name "env"`)
+	assert.Contains(t, err.Error(), `duplicate variable name "env"`)
 }
 
 func TestInvalidateVariableNameWithInvalidChars(t *testing.T) {
@@ -163,19 +164,19 @@ func TestInvalidateVariableNameWithInvalidChars(t *testing.T) {
 		t.Run(name, func(t *testing.T) {
 			_, err := unmarshalDashboard(listVarWithName(name))
 			require.Error(t, err, "expected error for invalid variable name %q", name)
-			require.Contains(t, err.Error(), "is not a correct name")
+			assert.Contains(t, err.Error(), "is not a correct name")
 		})
 	}
 	for _, name := range []string{"service", "my_var", "MY_VAR", "MixedCase9", "with-hyphen", "with.dot"} {
 		t.Run(name, func(t *testing.T) {
 			_, err := unmarshalDashboard(listVarWithName(name))
-			require.NoError(t, err, "expected valid variable name %q", name)
+			assert.NoError(t, err, "expected valid variable name %q", name)
 		})
 	}
 	t.Run("digits only", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVarWithName("123"))
 		require.Error(t, err)
-		require.Contains(t, err.Error(), "cannot contain only digits")
+		assert.Contains(t, err.Error(), "cannot contain only digits")
 	})
 }
 
@@ -199,7 +200,7 @@ func TestInvalidatePanelKey(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected error for invalid panel key")
-	require.Contains(t, err.Error(), "is not a correct name")
+	assert.Contains(t, err.Error(), "is not a correct name")
 }
 
 func TestInvalidateListVariableCrossFields(t *testing.T) {
@@ -225,30 +226,30 @@ func TestInvalidateListVariableCrossFields(t *testing.T) {
 	t.Run("customAllValue without allowAllValue", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVar(`"allowAllValue": false, "allowMultiple": false, "customAllValue": "*",`))
 		require.Error(t, err)
-		require.Contains(t, err.Error(), "customAllValue cannot be set")
+		assert.Contains(t, err.Error(), "customAllValue cannot be set")
 	})
 
 	t.Run("list defaultValue without allowMultiple", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVar(`"allowAllValue": false, "allowMultiple": false, "defaultValue": ["a", "b"],`))
 		require.Error(t, err)
-		require.Contains(t, err.Error(), "allowMultiple")
+		assert.Contains(t, err.Error(), "allowMultiple")
 	})
 
 	t.Run("single-element list default without allowMultiple", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVar(`"allowAllValue": false, "allowMultiple": false, "defaultValue": ["only"],`))
 		require.Error(t, err)
-		require.Contains(t, err.Error(), "allowMultiple")
+		assert.Contains(t, err.Error(), "allowMultiple")
 	})
 
 	t.Run("valid sort is accepted", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVar(`"sort": "alphabetical-asc",`))
-		require.NoError(t, err)
+		assert.NoError(t, err)
 	})
 
 	t.Run("unknown sort is rejected", func(t *testing.T) {
 		_, err := unmarshalDashboard(listVar(`"sort": "bogus",`))
 		require.Error(t, err)
-		require.Contains(t, err.Error(), "unknown sort")
+		assert.Contains(t, err.Error(), "unknown sort")
 	})
 }
 
@@ -275,7 +276,7 @@ func TestInvalidateEmptyVariableName(t *testing.T) {
 		t.Run(name, func(t *testing.T) {
 			_, err := unmarshalDashboard(data)
 			require.Error(t, err, "expected error for empty variable name")
-			require.Contains(t, err.Error(), "name cannot be empty")
+			assert.Contains(t, err.Error(), "name cannot be empty")
 		})
 	}
 }
@@ -414,7 +415,7 @@ func TestInvalidateUnknownPluginKind(t *testing.T) {
 		t.Run(tt.name, func(t *testing.T) {
 			_, err := unmarshalDashboard([]byte(tt.data))
 			require.Error(t, err, "expected error containing %q, got nil", tt.wantContain)
-			require.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
+			assert.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
 		})
 	}
 }
@@ -435,7 +436,7 @@ func TestInvalidateOneInvalidPanel(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected error for invalid panel plugin kind")
-	require.Contains(t, err.Error(), "FakePanel", "error should mention FakePanel")
+	assert.Contains(t, err.Error(), "FakePanel", "error should mention FakePanel")
 }
 
 func TestInvalidateLayoutPanelReferences(t *testing.T) {
@@ -488,11 +489,11 @@ func TestInvalidateLayoutPanelReferences(t *testing.T) {
 		t.Run(tt.name, func(t *testing.T) {
 			_, err := unmarshalDashboard(tt.data)
 			if tt.wantContain == "" {
-				require.NoError(t, err)
+				assert.NoError(t, err)
 				return
 			}
 			require.Error(t, err)
-			require.Contains(t, err.Error(), tt.wantContain)
+			assert.Contains(t, err.Error(), tt.wantContain)
 		})
 	}
 }
@@ -570,7 +571,7 @@ func TestRejectUnknownFieldsInPluginSpec(t *testing.T) {
 		t.Run(tt.name, func(t *testing.T) {
 			_, err := unmarshalDashboard([]byte(tt.data))
 			require.Error(t, err, "expected error for unknown field")
-			require.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
+			assert.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
 		})
 	}
 }
@@ -649,7 +650,7 @@ func TestInvalidateWrongFieldTypeInPluginSpec(t *testing.T) {
 			_, err := unmarshalDashboard([]byte(tt.data))
 			require.Error(t, err, "expected validation error")
 			if tt.wantContain != "" {
-				require.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
+				assert.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
 			}
 		})
 	}
@@ -874,7 +875,7 @@ func TestInvalidateBadPanelSpecValues(t *testing.T) {
 		t.Run(tt.name, func(t *testing.T) {
 			_, err := unmarshalDashboard([]byte(tt.data))
 			require.Error(t, err, "expected error containing %q, got nil", tt.wantContain)
-			require.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
+			assert.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
 		})
 	}
 }
@@ -907,7 +908,7 @@ func TestThresholdLabelOptional(t *testing.T) {
 
 			spec := d.Panels["p1"].Spec.Plugin.Spec.(*TimeSeriesPanelSpec)
 			require.Len(t, spec.Thresholds, 1)
-			require.Empty(t, spec.Thresholds[0].Label, "label should remain empty")
+			assert.Empty(t, spec.Thresholds[0].Label, "label should remain empty")
 		})
 	}
 }
@@ -924,7 +925,7 @@ func TestInvalidatePanelWithoutQueries(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected panel-without-queries to be rejected")
-	require.Contains(t, err.Error(), "panel must have one query")
+	assert.Contains(t, err.Error(), "panel must have one query")
 }
 
 func TestInvalidatePanelWithEmptyQueriesArray(t *testing.T) {
@@ -942,7 +943,7 @@ func TestInvalidatePanelWithEmptyQueriesArray(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected panel with explicit empty queries array to be rejected")
-	require.Contains(t, err.Error(), "panel must have one query")
+	assert.Contains(t, err.Error(), "panel must have one query")
 }
 
 // Rendering multiple data sources in a single panel is supported via
@@ -965,7 +966,7 @@ func TestInvalidatePanelWithMultipleDirectQueries(t *testing.T) {
 	}`)
 	_, err := unmarshalDashboard(data)
 	require.Error(t, err, "expected panel with two top-level queries to be rejected")
-	require.Contains(t, err.Error(), "panel must have one query")
+	assert.Contains(t, err.Error(), "panel must have one query")
 }
 
 func TestValidateRequiredFields(t *testing.T) {
@@ -1053,7 +1054,7 @@ func TestValidateRequiredFields(t *testing.T) {
 		t.Run(tt.name, func(t *testing.T) {
 			_, err := unmarshalDashboard([]byte(tt.data))
 			require.Error(t, err, "expected error containing %q, got nil", tt.wantContain)
-			require.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
+			assert.Contains(t, err.Error(), tt.wantContain, "error should mention %q", tt.wantContain)
 		})
 	}
 }
@@ -1081,14 +1082,14 @@ func TestTimeSeriesPanelDefaults(t *testing.T) {
 	require.IsType(t, &TimeSeriesPanelSpec{}, d.Panels["p1"].Spec.Plugin.Spec)
 	spec := d.Panels["p1"].Spec.Plugin.Spec.(*TimeSeriesPanelSpec)
 
-	require.Equal(t, "2", spec.Formatting.DecimalPrecision.ValueOrDefault(), "expected DecimalPrecision default 2")
-	require.Equal(t, "spline", spec.ChartAppearance.LineInterpolation.ValueOrDefault(), "expected LineInterpolation default spline")
-	require.Equal(t, "solid", spec.ChartAppearance.LineStyle.ValueOrDefault(), "expected LineStyle default solid")
-	require.Equal(t, "none", spec.ChartAppearance.FillMode.ValueOrDefault(), "expected FillMode default none")
-	require.False(t, spec.ChartAppearance.SpanGaps.FillOnlyBelow, "expected SpanGaps.FillOnlyBelow default false")
-	require.Equal(t, "global_time", spec.Visualization.TimePreference.ValueOrDefault(), "expected TimePreference default global_time")
-	require.Equal(t, "bottom", spec.Legend.Position.ValueOrDefault(), "expected LegendPosition default bottom")
-	require.Equal(t, "list", spec.Legend.Mode.ValueOrDefault(), "expected LegendMode default list")
+	assert.Equal(t, "2", spec.Formatting.DecimalPrecision.ValueOrDefault(), "expected DecimalPrecision default 2")
+	assert.Equal(t, "spline", spec.ChartAppearance.LineInterpolation.ValueOrDefault(), "expected LineInterpolation default spline")
+	assert.Equal(t, "solid", spec.ChartAppearance.LineStyle.ValueOrDefault(), "expected LineStyle default solid")
+	assert.Equal(t, "none", spec.ChartAppearance.FillMode.ValueOrDefault(), "expected FillMode default none")
+	assert.False(t, spec.ChartAppearance.SpanGaps.FillOnlyBelow, "expected SpanGaps.FillOnlyBelow default false")
+	assert.Equal(t, "global_time", spec.Visualization.TimePreference.ValueOrDefault(), "expected TimePreference default global_time")
+	assert.Equal(t, "bottom", spec.Legend.Position.ValueOrDefault(), "expected LegendPosition default bottom")
+	assert.Equal(t, "list", spec.Legend.Mode.ValueOrDefault(), "expected LegendMode default list")
 
 	// Re-marshal the full dashboard (what we'd store in DB / return in API response)
 	// and verify the output contains the default values.
@@ -1131,8 +1132,8 @@ func TestNumberPanelDefaults(t *testing.T) {
 	spec := d.Panels["p1"].Spec.Plugin.Spec.(*NumberPanelSpec)
 
 	require.Len(t, spec.Thresholds, 1, "expected 1 threshold")
-	require.Equal(t, "above", spec.Thresholds[0].Operator.ValueOrDefault(), "expected ComparisonOperator default above")
-	require.Equal(t, "text", spec.Thresholds[0].Format.ValueOrDefault(), "expected ThresholdFormat default text")
+	assert.Equal(t, "above", spec.Thresholds[0].Operator.ValueOrDefault(), "expected ComparisonOperator default above")
+	assert.Equal(t, "text", spec.Thresholds[0].Format.ValueOrDefault(), "expected ThresholdFormat default text")
 
 	// Marshal back and verify defaults in JSON output.
 	output, err := json.Marshal(d)
@@ -1163,7 +1164,7 @@ func TestPersesFixtureStorageRoundTrip(t *testing.T) {
 	require.NoError(t, err, "map → JSON (read-back shape)")
 
 	var roundtripped DashboardSpec
-	require.NoError(t, json.Unmarshal(remarshaled, &roundtripped), "JSON → typed (the failure mode)")
+	assert.NoError(t, json.Unmarshal(remarshaled, &roundtripped), "JSON → typed (the failure mode)")
 }
 
 // TestStorageRoundTrip simulates the future DB store/load cycle:
@@ -1329,9 +1330,9 @@ func TestGenerateDashboardName(t *testing.T) {
 	for _, tt := range tests {
 		t.Run(tt.scenario, func(t *testing.T) {
 			got := generateDashboardName(tt.input)
-			require.NotEmpty(t, got)
-			require.LessOrEqual(t, len(got), 63)
-			require.Empty(t, validation.IsDNS1123Label(got), "result must be a valid DNS-1123 label")
+			assert.NotEmpty(t, got)
+			assert.LessOrEqual(t, len(got), 63)
+			assert.Empty(t, validation.IsDNS1123Label(got), "result must be a valid DNS-1123 label")
 
 			if tt.wantPrefix == "" {
 				assert.Len(t, got, dashboardNameSuffixLen, "expected the bare random suffix")
@@ -1346,8 +1347,8 @@ func TestGenerateDashboardName(t *testing.T) {
 	t.Run("prefix is truncated to leave room for the suffix", func(t *testing.T) {
 		input := strings.Repeat("a", 100)
 		got := generateDashboardName(input)
-		require.LessOrEqual(t, len(got), 63)
-		require.Empty(t, validation.IsDNS1123Label(got))
+		assert.LessOrEqual(t, len(got), 63)
+		assert.Empty(t, validation.IsDNS1123Label(got))
 		assert.Equal(t, len(got), 63, "expected the result to be padded to the max DNS-1123 length")
 	})
 
@@ -1435,10 +1436,130 @@ func TestPanelTypeQueryTypeCompatibility(t *testing.T) {
 		t.Run(tc.name, func(t *testing.T) {
 			_, err := unmarshalDashboard(tc.data)
 			if tc.wantErr {
-				require.Error(t, err)
+				assert.Error(t, err)
 			} else {
-				require.NoError(t, err)
+				assert.NoError(t, err)
 			}
 		})
 	}
 }
+
+func TestValidateGridGeometry(t *testing.T) {
+	tests := []struct {
+		scenario         string
+		items            []dashboard.GridItem
+		expectErrContain string
+	}{
+		{
+			scenario:         "valid side-by-side items",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 6, Height: 6}, {X: 6, Y: 0, Width: 6, Height: 6}},
+			expectErrContain: "",
+		},
+		{
+			scenario:         "valid full-width item",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 12, Height: 6}},
+			expectErrContain: "",
+		},
+		{
+			scenario:         "stacked items do not overlap",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 6, Height: 6}, {X: 0, Y: 6, Width: 6, Height: 6}},
+			expectErrContain: "",
+		},
+		{
+			scenario:         "zero width",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 0, Height: 6}},
+			expectErrContain: "width must be at least 1",
+		},
+		{
+			scenario:         "zero height",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 6, Height: 0}},
+			expectErrContain: "height must be at least 1",
+		},
+		{
+			scenario:         "negative x",
+			items:            []dashboard.GridItem{{X: -1, Y: 0, Width: 6, Height: 6}},
+			expectErrContain: "x must not be negative",
+		},
+		{
+			scenario:         "negative y",
+			items:            []dashboard.GridItem{{X: 0, Y: -1, Width: 6, Height: 6}},
+			expectErrContain: "y must not be negative",
+		},
+		{
+			scenario:         "width wider than grid",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 13, Height: 6}},
+			expectErrContain: "width (13) exceeds grid width 12",
+		},
+		{
+			scenario:         "x at grid width",
+			items:            []dashboard.GridItem{{X: 12, Y: 0, Width: 1, Height: 6}},
+			expectErrContain: "x (12) must be less than grid width 12",
+		},
+		{
+			scenario:         "x plus width overflows grid",
+			items:            []dashboard.GridItem{{X: 8, Y: 0, Width: 6, Height: 6}},
+			expectErrContain: "x (8) + width (6) exceeds grid width 12",
+		},
+		{
+			scenario:         "overlapping items",
+			items:            []dashboard.GridItem{{X: 0, Y: 0, Width: 6, Height: 6}, {X: 3, Y: 3, Width: 6, Height: 6}},
+			expectErrContain: "items[0] and items[1] overlap",
+		},
+	}
+	for _, test := range tests {
+		t.Run(test.scenario, func(t *testing.T) {
+			err := validateGridLayoutGeometry(&dashboard.GridLayoutSpec{Items: test.items}, 0)
+			if test.expectErrContain == "" {
+				assert.NoError(t, err)
+				return
+			}
+			require.Error(t, err)
+			assert.Contains(t, err.Error(), test.expectErrContain)
+		})
+	}
+}
+
+func TestValidateGridItemLimit(t *testing.T) {
+	err := validateGridLayoutGeometry(&dashboard.GridLayoutSpec{Items: make([]dashboard.GridItem, maxItemsPerGridLayout+1)}, 0)
+	require.Error(t, err)
+	assert.Contains(t, err.Error(), "maximum is")
+}
+
+// Both panel refs are valid, so this errors only if geometry validation runs on
+// the unmarshal path — it does, via DashboardSpec.Validate -> validateLayouts.
+func TestInvalidateLayoutOverlapViaUnmarshal(t *testing.T) {
+	data := []byte(`{
+		"panels": {
+			"p1": {"kind": "Panel", "spec": {"plugin": {"kind": "signoz/TablePanel", "spec": {}}, "queries": [{"kind": "time_series", "spec": {"plugin": {"kind": "signoz/BuilderQuery", "spec": {"name": "A", "signal": "logs", "aggregations": [{"expression": "count()"}]}}}}]}},
+			"p2": {"kind": "Panel", "spec": {"plugin": {"kind": "signoz/TablePanel", "spec": {}}, "queries": [{"kind": "time_series", "spec": {"plugin": {"kind": "signoz/BuilderQuery", "spec": {"name": "A", "signal": "logs", "aggregations": [{"expression": "count()"}]}}}}]}}
+		},
+		"layouts": [{"kind": "Grid", "spec": {"items": [
+			{"x": 0, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}},
+			{"x": 3, "y": 3, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p2"}}
+		]}}]
+	}`)
+	_, err := unmarshalDashboard(data)
+	require.Error(t, err)
+	assert.Contains(t, err.Error(), "overlap")
+}
+
+// The frontend keys each grid item by its panel id, so the same panel placed by
+// two grid items crashes the section; the backend rejects it dashboard-wide. The
+// two items are side by side so they clear the overlap check first.
+func TestInvalidateDuplicatePanelReference(t *testing.T) {
+	data := []byte(`{
+		"panels": {
+			"p1": {"kind": "Panel", "spec": {"plugin": {"kind": "signoz/TablePanel", "spec": {}}, "queries": [{"kind": "time_series", "spec": {"plugin": {"kind": "signoz/BuilderQuery", "spec": {"name": "A", "signal": "logs", "aggregations": [{"expression": "count()"}]}}}}]}}
+		},
+		"layouts": [{"kind": "Grid", "spec": {"items": [
+			{"x": 0, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}},
+			{"x": 6, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}}
+		]}}]
+	}`)
+	_, err := unmarshalDashboard(data)
+	require.Error(t, err)
+	assert.Contains(t, err.Error(), "already placed")
+	// Both offending grid items are named.
+	assert.Contains(t, err.Error(), "spec.layouts[0].spec.items[0].content")
+	assert.Contains(t, err.Error(), "spec.layouts[0].spec.items[1].content")
+}

pkg/types/dashboardtypes/perses_replicas.go

@@ -322,6 +322,55 @@ func (l *Layout) UnmarshalJSON(data []byte) error {
 	return nil
 }
 
+const (
+	gridColumnCount       = 12
+	maxItemsPerGridLayout = 100
+)
+
+// validateGridLayoutGeometry checks a single grid layout's item geometry (size,
+// position, and intra-section overlap), which Perses does not. It reads only the
+// layout's own items; layoutIndex is supplied by the caller (validateLayouts)
+// solely to name the layout in error paths.
+func validateGridLayoutGeometry(spec *dashboard.GridLayoutSpec, layoutIndex int) error {
+	if len(spec.Items) > maxItemsPerGridLayout {
+		return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items: has %d items; maximum is %d", layoutIndex, len(spec.Items), maxItemsPerGridLayout)
+	}
+	for i, item := range spec.Items {
+		// The width/x bounds keep x+width small enough not to overflow.
+		switch {
+		case item.Width < 1:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: width must be at least 1, got %d", layoutIndex, i, item.Width)
+		case item.Height < 1:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: height must be at least 1, got %d", layoutIndex, i, item.Height)
+		case item.X < 0:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: x must not be negative, got %d", layoutIndex, i, item.X)
+		case item.Y < 0:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: y must not be negative, got %d", layoutIndex, i, item.Y)
+		case item.Width > gridColumnCount:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: width (%d) exceeds grid width %d", layoutIndex, i, item.Width, gridColumnCount)
+		case item.X >= gridColumnCount:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: x (%d) must be less than grid width %d", layoutIndex, i, item.X, gridColumnCount)
+		case item.X+item.Width > gridColumnCount:
+			return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d]: x (%d) + width (%d) exceeds grid width %d", layoutIndex, i, item.X, item.Width, gridColumnCount)
+		}
+		// Could cap y/height but skipping for now: the grid grows vertically
+		// without limit (frontend autoSize), so "too big" has no natural bound.
+	}
+	// Two items overlap iff their rectangles intersect on both axes.
+	overlap := func(a, b dashboard.GridItem) bool {
+		return a.X < b.X+b.Width && b.X < a.X+a.Width &&
+			a.Y < b.Y+b.Height && b.Y < a.Y+a.Height
+	}
+	for i := 0; i < len(spec.Items); i++ {
+		for j := i + 1; j < len(spec.Items); j++ {
+			if overlap(spec.Items[i], spec.Items[j]) {
+				return errors.NewInvalidInputf(ErrCodeDashboardInvalidInput, "spec.layouts[%d].spec.items[%d] and items[%d] overlap", layoutIndex, i, j)
+			}
+		}
+	}
+	return nil
+}
+
 func (Layout) JSONSchemaOneOf() []any {
 	return []any{
 		LayoutEnvelope[dashboard.GridLayoutSpec]{Kind: string(dashboard.KindGridLayout)},

tests/integration/tests/dashboard/03_v2_dashboard.py

@@ -173,6 +173,125 @@ def test_create_rejects_too_many_tags(
     assert response.json()["error"]["code"] == "dashboard_invalid_input"
 
 
+def test_create_rejects_invalid_grid_layout(
+    signoz: SigNoz,
+    create_user_admin: Operation,  # pylint: disable=unused-argument
+    get_token: Callable[[str, str], str],
+):
+    token = get_token(USER_ADMIN_EMAIL, USER_ADMIN_PASSWORD)
+
+    def panel(name: str) -> dict:
+        return {
+            "kind": "Panel",
+            "spec": {
+                "display": {"name": name},
+                "plugin": {"kind": "signoz/TablePanel", "spec": {}},
+                "queries": [
+                    {
+                        "kind": "time_series",
+                        "spec": {
+                            "plugin": {
+                                "kind": "signoz/BuilderQuery",
+                                "spec": {
+                                    "name": "A",
+                                    "signal": "logs",
+                                    "aggregations": [{"expression": "count()"}],
+                                },
+                            }
+                        },
+                    }
+                ],
+            },
+        }
+
+    # Two grid items reference valid, distinct panels but share cells, so the
+    # overlap is the only violation.
+    response = requests.post(
+        signoz.self.host_configs["8080"].get(BASE_URL),
+        json={
+            "schemaVersion": "v6",
+            "name": "rejects-overlap",
+            "spec": {
+                "display": {"name": "Rejects Overlap"},
+                "panels": {"p1": panel("P1"), "p2": panel("P2")},
+                "layouts": [
+                    {
+                        "kind": "Grid",
+                        "spec": {
+                            "items": [
+                                {"x": 0, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}},
+                                {"x": 3, "y": 3, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p2"}},
+                            ]
+                        },
+                    }
+                ],
+            },
+            "tags": [],
+        },
+        headers={"Authorization": f"Bearer {token}"},
+        timeout=5,
+    )
+    assert response.status_code == HTTPStatus.BAD_REQUEST
+    assert response.json()["error"]["code"] == "dashboard_invalid_input"
+    assert "overlap" in response.json()["error"]["message"]
+
+    # One panel placed by two grid items (side by side, so they clear the overlap
+    # check first). The frontend keys grid items by panel id, so this is rejected.
+    response = requests.post(
+        signoz.self.host_configs["8080"].get(BASE_URL),
+        json={
+            "schemaVersion": "v6",
+            "name": "rejects-multiref",
+            "spec": {
+                "display": {"name": "Rejects Multiref"},
+                "panels": {"p1": panel("P1")},
+                "layouts": [
+                    {
+                        "kind": "Grid",
+                        "spec": {
+                            "items": [
+                                {"x": 0, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}},
+                                {"x": 6, "y": 0, "width": 6, "height": 6, "content": {"$ref": "#/spec/panels/p1"}},
+                            ]
+                        },
+                    }
+                ],
+            },
+            "tags": [],
+        },
+        headers={"Authorization": f"Bearer {token}"},
+        timeout=5,
+    )
+    assert response.status_code == HTTPStatus.BAD_REQUEST
+    assert response.json()["error"]["code"] == "dashboard_invalid_input"
+    assert "already placed" in response.json()["error"]["message"]
+
+    # More grid items than allowed. The item-count check runs before the
+    # panel-ref check, so content-less items suffice here.
+    response = requests.post(
+        signoz.self.host_configs["8080"].get(BASE_URL),
+        json={
+            "schemaVersion": "v6",
+            "name": "rejects-too-many-items",
+            "spec": {
+                "display": {"name": "Rejects Too Many"},
+                "layouts": [
+                    {
+                        "kind": "Grid",
+                        "spec": {"items": [{"x": 0, "y": 0, "width": 1, "height": 1} for _ in range(101)]},
+                    }
+                ],
+            },
+            "tags": [],
+        },
+        headers={"Authorization": f"Bearer {token}"},
+        timeout=5,
+    )
+    assert response.status_code == HTTPStatus.BAD_REQUEST
+    assert response.json()["error"]["code"] == "dashboard_invalid_input"
+    assert "maximum" in response.json()["error"]["message"]
+
+
 @pytest.mark.parametrize(
     "params",
     [