diff --git a/terraform/30-locals.tf b/terraform/30-locals.tf
index d9b8070..c252411 100644
--- a/terraform/30-locals.tf
+++ b/terraform/30-locals.tf
@@ -35,16 +35,18 @@ locals {
   # outside this set indicates a typo or schema drift and is rejected by
   # terraform_data.framework_validation.
   #
-  # NOTE: `allow_forking` is intentionally absent. The setting is org-only
-  # in the GitHub API and this framework does not currently manage it via a
-  # provider-backed resource (github_repository_setting / org-level config).
-  # Accepting the key would be a silent no-op, so it is rejected at the
-  # unknown-key stage with a clear error pointing at the offending repo.
+  # NOTE: `allow_forking` is opt-in. The GitHub API rejects PATCH calls
+  # that include the field on personal-account private repositories, so
+  # this framework treats the field as null-by-default. A repo YAML may
+  # explicitly opt in by setting `allow_forking: true|false` — the
+  # provider includes the field in PATCH only when non-null, so opt-in
+  # repos manage the setting normally and opt-out (default) repos never
+  # trip the API rejection.
   allowed_repo_keys = toset([
     "description", "homepage_url", "topics",
     "fork", "source_owner", "source_repo",
     "visibility", "has_discussions", "has_issues", "has_projects", "has_wiki", "is_template",
-    "allow_auto_merge", "allow_merge_commit", "allow_rebase_merge",
+    "allow_auto_merge", "allow_forking", "allow_merge_commit", "allow_rebase_merge",
     "allow_squash_merge", "allow_update_branch", "delete_branch_on_merge",
     "merge_commit_message", "merge_commit_title",
     "squash_merge_commit_message", "squash_merge_commit_title",
@@ -433,6 +435,29 @@ locals {
         local.repo_setting_defaults.allow_auto_merge
       )
 
+      # Default policy (ownership-aware):
+      #   1. YAML explicitly sets true/false → honor it.
+      #   2. YAML omits the key + visibility == "private"
+      #         + github_is_organization == false → null.
+      #         (Personal-account private: the API rejects any PATCH
+      #         containing allow_forks regardless of value, so the
+      #         provider must omit the field entirely.)
+      #   3. Every other case → false (secure-by-default; forks disabled
+      #         unless YAML opts in via `allow_forking: true`).
+      #         Covers public, internal, AND org-owned private —
+      #         GitHub's API accepts the field for all three, so the
+      #         framework enforces the policy.
+      allow_forking = (
+        try(repository.allow_forking, null) != null
+        ? repository.allow_forking
+        : (
+          coalesce(try(repository.visibility, null), "private") == "private"
+          && !var.github_is_organization
+          ? null
+          : false
+        )
+      )
+
       allow_merge_commit = coalesce(
         try(repository.allow_merge_commit, null),
         local.repo_setting_defaults.allow_merge_commit
diff --git a/terraform/41-resources-github.tf b/terraform/41-resources-github.tf
index c76eccc..190161b 100644
--- a/terraform/41-resources-github.tf
+++ b/terraform/41-resources-github.tf
@@ -49,6 +49,7 @@ resource "github_repository" "repo" {
   is_template     = each.value.is_template
 
   # Merge Behavior
+  allow_forking               = each.value.allow_forking
   allow_merge_commit          = each.value.allow_merge_commit
   allow_squash_merge          = each.value.allow_squash_merge
   allow_rebase_merge          = each.value.allow_rebase_merge
@@ -153,11 +154,13 @@ resource "github_repository" "repo" {
   # check repo-scoped invariants so their errors point at the specific
   # github_repository.repo[<name>] address.
   lifecycle {
-    # `allow_forking` is an org-owned private/internal repository setting in
-    # GitHub's API. The provider may observe it during refresh, but this
-    # framework does not expose it in repo YAML and must not PATCH it for
-    # personal-account repositories.
-    ignore_changes = [auto_init, license_template, allow_forking]
+    # `auto_init` and `license_template` are CREATE-time only; ignoring
+    # them prevents spurious diff after the initial create. `allow_forking`
+    # is now explicitly managed in YAML (default null for private repos so
+    # the provider omits it from PATCH; default false for public/internal;
+    # YAML may override either). It is NOT ignored anymore — drift in
+    # YAML-managed values should surface as a real diff.
+    ignore_changes = [auto_init, license_template]
 
     precondition {
       condition     = contains(["public", "private", "internal"], each.value.visibility)
diff --git a/terraform/tests/COVERAGE.md b/terraform/tests/COVERAGE.md
index ff65618..9b5ed01 100644
--- a/terraform/tests/COVERAGE.md
+++ b/terraform/tests/COVERAGE.md
@@ -36,7 +36,7 @@ terraform test
 |---|---|---|---|
 | G01 | Duplicate repo keys across `public/` and `private/` | ✅ | `validation.tftest.hcl::rejects_duplicate_repo_keys` |
 | G02 | Unknown top-level YAML key | ✅ | `validation.tftest.hcl::rejects_unknown_top_level_key` |
-| G03 | `allow_forking` rejected as unknown key | ✅ | `validation.tftest.hcl::rejects_allow_forking` |
+| G03 | `allow_forking` accepted and applied with visibility-aware default (private→null, else false; YAML may override) | ⚠️ | needs apply-time test against synthetic provider |
 | G04 | Unknown nested: `actions.*` (top) | ✅ | `validation.tftest.hcl::rejects_unknown_nested_key` + multi-typo |
 | G05 | Unknown nested: `actions.allowed_actions_config.*` | ✅ | `validation.tftest.hcl::rejects_multiple_nested_typos_in_one_repo` |
 | G06 | Unknown nested: `pages.*` | ✅ | `validation.tftest.hcl::rejects_multiple_nested_typos_in_one_repo` |
diff --git a/terraform/tests/fixtures/bad-allow-forking/private/.gitkeep b/terraform/tests/fixtures/bad-allow-forking/private/.gitkeep
deleted file mode 100644
index e69de29..0000000
diff --git a/terraform/tests/fixtures/bad-allow-forking/public/bad.yml b/terraform/tests/fixtures/bad-allow-forking/public/bad.yml
deleted file mode 100644
index c1e6fe4..0000000
--- a/terraform/tests/fixtures/bad-allow-forking/public/bad.yml
+++ /dev/null
@@ -1,8 +0,0 @@
-bad-allow-forking-repo:
-  description: "allow_forking fixture"
-  visibility: private
-  # allow_forking is intentionally absent from local.allowed_repo_keys
-  # because the framework does not currently manage the setting. Accepting
-  # it would be a silent no-op, so it is rejected at the unknown-top-level
-  # key validation stage.
-  allow_forking: true
diff --git a/terraform/tests/validation.tftest.hcl b/terraform/tests/validation.tftest.hcl
index 7564f05..ec846ae 100644
--- a/terraform/tests/validation.tftest.hcl
+++ b/terraform/tests/validation.tftest.hcl
@@ -73,18 +73,6 @@ run "rejects_unknown_nested_key" {
   ]
 }
 
-run "rejects_allow_forking" {
-  command = plan
-
-  variables {
-    repo_yaml_path = "tests/fixtures/bad-allow-forking"
-  }
-
-  expect_failures = [
-    terraform_data.framework_validation,
-  ]
-}
-
 run "rejects_duplicate_repo_keys" {
   command = plan