LLMs Know the Constraint But Do Not Use It: Activation Bottlenecks in Pragmatic Constraint Reasoning

arXiv:2608.12321v1 Announce Type: new Abstract: When a salient surface cue competes with an implicit feasibility constraint, LLMs often fail -- but aggregate accuracy conflates genuine constraint inference with conservative defaulting. We formalize the distinction as conditional constraint activation: the constraint is internally encoded (Knowledge) symmetrically across constraint-present and -absent prompts (Symmetry), yet only sometimes routed into the decision (Routing) and repairable by a donor activation (Repair). A quartet diagnostic over 14 models reveals two failure modes; probes on two open weights decode the constraint above $88%$, yet activation patching repairs one ($+6.4$ nats) and not the other ($-0.07$). On a mitigation frontier, no prompted intervention reaches the repair corner: all inflate conservative bias through a single mediation pathway -- prerequisite mention. Hidden-constraint failure is a routing problem, not a knowledge problem.