Fix variable shadowing in is_within_directory inner function parameter

[Copilot]

The directory parameter of the inner function is_within_directory shadowed the outer retrieve function's directory parameter, creating ambiguity and potential for subtle bugs.

Change

Renamed the inner function's parameter from directory to base_dir:

# Before
def is_within_directory(directory, target):
    abs_directory = os.path.abspath(directory)

# After
def is_within_directory(base_dir, target):
    abs_directory = os.path.abspath(base_dir)

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