remove --recursive flag from git submodule call in forge update (#2274)

* Add test that reproduces the issue with recursive updates

* remove --recursive flag from git submodule call in forge update

* Run rust-fmt

* test: use upstream foundry repro

Co-authored-by: Georgios Konstantopoulos <me@gakonst.com>

cli/src/forge.rs

@@ -72,7 +72,7 @@ fn main() -> eyre::Result<()> {
         Subcommands::Update { lib } => {
             let mut cmd = Command::new("git");
 
-            cmd.args(&["submodule", "update", "--remote", "--init", "--recursive"]);
+            cmd.args(&["submodule", "update", "--remote", "--init"]);
 
             // if a lib is specified, open it
             if let Some(lib) = lib {

cli/tests/it/cmd.rs

@@ -807,3 +807,51 @@ forgetest!(can_reinstall_after_manual_remove, |prj: TestProject, mut cmd: TestCo
     // install again
     install(&mut cmd);
 });
+
+// Tests that forge update doesn't break a working depencency by recursively updating nested
+// dependencies
+forgetest!(
+    can_update_library_with_outdated_nested_dependency,
+    |prj: TestProject, mut cmd: TestCommand| {
+        cmd.git_init();
+
+        let libs = prj.root().join("lib");
+        let git_mod = prj.root().join(".git/modules/lib");
+        let git_mod_file = prj.root().join(".gitmodules");
+
+        let package = libs.join("issue-2264-repro");
+        let package_mod = git_mod.join("issue-2264-repro");
+
+        let install = |cmd: &mut TestCommand| {
+            cmd.forge_fuse().args(["install", "foundry-rs/issue-2264-repro", "--no-commit"]);
+            cmd.assert_non_empty_stdout();
+            assert!(package.exists());
+            assert!(package_mod.exists());
+
+            let submods = read_string(&git_mod_file);
+            assert!(submods.contains("https://github.com/foundry-rs/issue-2264-repro"));
+        };
+
+        install(&mut cmd);
+        cmd.forge_fuse().args(["update", "lib/issue-2264-repro"]);
+        cmd.stdout_lossy();
+
+        prj.inner()
+            .add_source(
+                "MyTokenCopy",
+                r#"
+// SPDX-License-Identifier: UNLICENSED
+pragma solidity ^0.6.0;
+import "issue-2264-repro/MyToken.sol";
+contract MyTokenCopy is MyToken {
+}
+   "#,
+            )
+            .unwrap();
+
+        cmd.forge_fuse().args(["build"]);
+        let output = cmd.stdout_lossy();
+
+        assert!(output.contains("Compiler run successful",));
+    }
+);