Use time.After again (before, I had just put back the use of sleep).

hooks/hookexecution/execution.go

@@ -105,11 +105,13 @@ func executeHook[H any, P any](
 	startTime := time.Now()
 	hookId := HookID{ModuleCode: hw.Module, HookImplCode: hw.Code}
 
-	ctx, cancel := context.WithTimeout(executionCtx.ctx, timeout)
-	defer cancel()
-
 	// Only execute the hook if it's not already canceled
+	ctx := executionCtx.ctx
 	if ctx.Err() == nil {
+		var cancel context.CancelCauseFunc
+		ctx, cancel = context.WithCancelCause(ctx)
+		defer cancel(context.Canceled)
+
 		// Execute the hook in the background
 		go func() {
 			defer func() {
@@ -140,16 +142,17 @@ func executeHook[H any, P any](
 			res.ExecutionTime = time.Since(startTime)
 			resp <- res
 			return
-		case <-ctx.Done():
-			// fall through to the error handler
+		case <-time.After(timeout):
+			cancel(context.DeadlineExceeded)
+			break
 		case <-rejected:
 			return
 		}
 	}
 
 	// Handle the context error case - either immediately, or after timeout.
 	theResp := hookResponse[P]{
-		Err:           ctx.Err(),
+		Err:           context.Cause(ctx),
 		ExecutionTime: time.Since(startTime),
 		HookID:        hookId,
 		Result:        hookstage.HookResult[P]{},