diff --git a/plugins/memory/__init__.py b/plugins/memory/__init__.py
index 7a9fae23f1..bf2c6dab50 100644
--- a/plugins/memory/__init__.py
+++ b/plugins/memory/__init__.py
@@ -62,12 +62,13 @@ def _get_project_plugins_dir() -> Optional[Path]:
 def _is_memory_provider_dir(path: Path) -> bool:
     """Cheap text heuristic (no import): ``__init__.py`` mentions the memory provider contract."""
     init_file = path / "__init__.py"
-    if not init_file.exists():
-        return False
     try:
+        if not init_file.exists():
+            return False
         source = init_file.read_text(errors="replace", encoding="utf-8")[:8192]
         return "register_memory_provider" in source or "MemoryProvider" in source
-    except Exception:
+    except OSError as exc:  # one mode-000 / ACL-denied child must not abort discovery
+        logger.warning("Skipping unreadable plugin directory %s: %s", path, exc)
         return False
 
 
diff --git a/plugins/plugin_loader.py b/plugins/plugin_loader.py
index 279b277c9d..84111d6704 100644
--- a/plugins/plugin_loader.py
+++ b/plugins/plugin_loader.py
@@ -13,6 +13,8 @@ import sys
 from pathlib import Path
 from typing import Any, Callable, List, Optional, Tuple
 
+_log = logging.getLogger(__name__)
+
 _PLUGINS_ROOT = Path(__file__).parent
 
 
@@ -39,8 +41,16 @@ def iter_plugin_dirs(root: Path) -> List[Path]:
     """Sorted child dirs of *root* that have an ``__init__.py`` (skips ``_``/``.`` names)."""
     if not root.is_dir():
         return []
-    return [child for child in sorted(root.iterdir())
-            if child.is_dir() and not child.name.startswith(("_", ".")) and (child / "__init__.py").exists()]
+    dirs: List[Path] = []
+    for child in sorted(root.iterdir()):
+        if child.name.startswith(("_", ".")):
+            continue
+        try:
+            if child.is_dir() and (child / "__init__.py").exists():
+                dirs.append(child)
+        except OSError as exc:  # one mode-000 / ACL-denied child must not abort the listing
+            _log.warning("Skipping unreadable plugin directory %s: %s", child, exc)
+    return dirs
 
 
 def read_plugin_description(plugin_dir: Path) -> str:
diff --git a/tests/plugins/memory/test_discovery_sources.py b/tests/plugins/memory/test_discovery_sources.py
index 1384083a6c..f19f411922 100644
--- a/tests/plugins/memory/test_discovery_sources.py
+++ b/tests/plugins/memory/test_discovery_sources.py
@@ -219,3 +219,27 @@ def test_activation_is_not_gated_on_plugins_enabled(tmp_path, monkeypatch):
     monkeypatch.setenv("HERMES_HOME", str(tmp_path))
 
     assert memory_plugins.load_memory_provider("gatedmem") is not None
+
+
+def test_unreadable_user_plugin_does_not_abort_memory_discovery(tmp_path, monkeypatch):
+    """One mode-000 / ACL-denied ``$HERMES_HOME/plugins/<x>`` must not hide the bundled
+    providers or its readable siblings from the dashboard / ``hermes memory`` pickers (#111804)."""
+    plugins_root = tmp_path / "plugins"
+    _write_provider_dir(plugins_root, "goodmem")
+    denied = plugins_root / "denied"
+    denied.mkdir()
+    (denied / "__init__.py").write_text("", encoding="utf-8")
+    monkeypatch.setenv("HERMES_HOME", str(tmp_path))
+    real_stat = Path.stat  # chmod 000 does not bite as root; fail the child's stat instead
+
+    def stat(self, *args, **kwargs):
+        if self.parent == denied:
+            raise PermissionError(13, "Permission denied", str(self))
+        return real_stat(self, *args, **kwargs)
+
+    monkeypatch.setattr(Path, "stat", stat)
+
+    names = memory_plugins.list_memory_provider_names()
+    assert "goodmem" in names
+    assert "denied" not in names
+    assert memory_plugins.find_provider_dir("denied") is None
diff --git a/tests/plugins/test_plugin_loader_unreadable.py b/tests/plugins/test_plugin_loader_unreadable.py
new file mode 100644
index 0000000000..e813987db6
--- /dev/null
+++ b/tests/plugins/test_plugin_loader_unreadable.py
@@ -0,0 +1,30 @@
+"""One mode-000 / ACL-denied child under a plugin root must not abort the listing (#111804)."""
+
+from __future__ import annotations
+
+from pathlib import Path
+
+from plugins import plugin_loader
+
+
+def _deny(monkeypatch, denied: Path) -> None:
+    """chmod 000 does not bite as root, so fail the stat of the denied child's ``__init__.py``."""
+    real_stat = Path.stat
+
+    def stat(self, *args, **kwargs):
+        if self.parent == denied:
+            raise PermissionError(13, "Permission denied", str(self))
+        return real_stat(self, *args, **kwargs)
+
+    monkeypatch.setattr(Path, "stat", stat)
+
+
+def test_iter_plugin_dirs_skips_unreadable_child(tmp_path, monkeypatch, caplog):
+    for name in ("denied", "good"):
+        (tmp_path / name).mkdir()
+        (tmp_path / name / "__init__.py").write_text("", encoding="utf-8")
+    _deny(monkeypatch, tmp_path / "denied")
+
+    with caplog.at_level("WARNING", logger="plugins.plugin_loader"):
+        assert plugin_loader.iter_plugin_dirs(tmp_path) == [tmp_path / "good"]
+    assert "Skipping unreadable plugin directory" in caplog.text