diff --git a/app/assets/js/main-legacy.js b/app/assets/js/main-legacy.js
index e19938c3..6002032c 100644
--- a/app/assets/js/main-legacy.js
+++ b/app/assets/js/main-legacy.js
@@ -26853,10 +26853,11 @@ ${info.features.map((f) => `   • ${f}`).join("\n")}
                     return;
                 }
             } else {
-                // Standard provider - check API key
+                // Standard provider - check API key (local Ollama/LM Studio need none)
+                const localCompat = ['local-openai', 'ollama', 'lmstudio', 'vllm'].includes(provider);
                 const hasApiKey = selectedOption?.dataset.apiKey && selectedOption.dataset.apiKey.length > 0;
                 
-                if (!hasApiKey) {
+                if (!hasApiKey && !localCompat) {
                     showToast('No API key configured for this provider. Please add in Settings.', 'error');
                     Logger.error('[AI] No API key for provider:', provider);
                     return;
@@ -27650,7 +27651,8 @@ ${info.features.map((f) => `   • ${f}`).join("\n")}
                     // Store full API config as data attribute
                     option.dataset.apiUrl = api.apiUrl;
                     option.dataset.model = api.model;
-                    option.dataset.apiKey = api.apiKey;
+                    option.dataset.apiKey = api.apiKey || (localCompat ? 'ollama' : '');
+                    option.dataset.apiKeyOptional = localCompat ? 'true' : 'false';
 
                     if (hasApiKey) {
                         hasUsableProvider = true;
diff --git a/app/assets/js/settings.js b/app/assets/js/settings.js
index 109ef27e..f9c67fd6 100644
--- a/app/assets/js/settings.js
+++ b/app/assets/js/settings.js
@@ -651,7 +651,7 @@ async function saveCurrentPreferences() {
         
         // Only update if field has value, otherwise keep existing (skip redaction markers)
         const existingKey = (existing?.apiKey && !existing.apiKey.startsWith('[REDACTED:')) ? existing.apiKey : '';
-        const apiKey = apiKeyField || existingKey || '';
+        const apiKey = apiKeyField || existingKey || (provider.apiKeyOptional ? 'ollama' : '');
         const apiUrl = apiUrlField || existing?.apiUrl || provider.defaultUrl;
         
         return {
diff --git a/app/index.html b/app/index.html
index 86c276c4..402f9b49 100644
--- a/app/index.html
+++ b/app/index.html
@@ -148,7 +148,7 @@
     <script type="module" src="assets/js/settings.js"></script>
     
     <!-- Legacy app code (temporary - will be modularized) -->
-    <script src="assets/js/main-legacy.js?v=debug_force_v1" defer></script>
+    <script src="assets/js/main-legacy.js?v=local-openai-nokey" defer></script>
 
 </head>