diff --git a/internal/util-logging/src/main/scala/sbt/internal/util/ConsoleAppender.scala b/internal/util-logging/src/main/scala/sbt/internal/util/ConsoleAppender.scala
index 55b0fe5d8..7cfed50e6 100644
--- a/internal/util-logging/src/main/scala/sbt/internal/util/ConsoleAppender.scala
+++ b/internal/util-logging/src/main/scala/sbt/internal/util/ConsoleAppender.scala
@@ -460,8 +460,7 @@ trait Appender extends AutoCloseable {
       // according to https://github.com/sbt/sbt/issues/5608, sometimes we get a null message
       if (message == null) ()
       else {
-        val len =
-          labelColor.length + label.length + messageColor.length + reset.length * 3 + ClearScreenAfterCursor.length
+        val len = labelColor.length + label.length + messageColor.length + reset.length * 3
         val builder: StringBuilder = new StringBuilder(len)
         message.linesIterator.foreach { line =>
           builder.ensureCapacity(len + line.length + 4)
@@ -477,7 +476,6 @@ trait Appender extends AutoCloseable {
           fmted(labelColor, label)
           builder.append("] ")
           fmted(messageColor, line)
-          if (ansiCodesSupported) builder.append(ClearScreenAfterCursor)
           write(builder.toString)
         }
       }
@@ -495,7 +493,7 @@ trait Appender extends AutoCloseable {
     // the output may have unwanted colors but it would still be legible. This should
     // only be relevant if the log message string itself contains ansi escape sequences
     // other than color codes which is very unlikely.
-    val toWrite = if (!ansiCodesSupported || !useFormat && msg.getBytes.contains(27.toByte)) {
+    val toWrite = if ((!ansiCodesSupported || !useFormat) && msg.getBytes.contains(27.toByte)) {
       val (bytes, len) =
         EscHelpers.strip(msg.getBytes, stripAnsi = !ansiCodesSupported, stripColor = !useFormat)
       new String(bytes, 0, len)
diff --git a/internal/util-logging/src/main/scala/sbt/internal/util/Terminal.scala b/internal/util-logging/src/main/scala/sbt/internal/util/Terminal.scala
index e037be9f1..9d9d0cc2e 100644
--- a/internal/util-logging/src/main/scala/sbt/internal/util/Terminal.scala
+++ b/internal/util-logging/src/main/scala/sbt/internal/util/Terminal.scala
@@ -306,10 +306,10 @@ object Terminal {
       case _       => sys.props.get("sbt.log.format").flatMap(parseLogOption)
     }
   }
-  private[this] lazy val superShellEnabled = sys.props.get("sbt.supershell").map(_ == "true")
-  private[sbt] lazy val isAnsiSupported: Boolean =
-    logFormatEnabled.orElse(superShellEnabled).getOrElse(useColorDefault && !isCI)
-  private[this] val isDumbTerminal = "dumb" == System.getenv("TERM")
+  private[sbt] lazy val isAnsiSupported: Boolean = logFormatEnabled.getOrElse(useColorDefault)
+
+  private[this] val isDumb = "dumb" == System.getenv("TERM")
+  private[this] def isDumbTerminal = isDumb || System.getProperty("jline.terminal", "") == "none"
   private[this] val hasConsole = Option(java.lang.System.console).isDefined
   private[this] def useColorDefault: Boolean = {
     // This approximates that both stdin and stdio are connected,
@@ -338,7 +338,7 @@ object Terminal {
     // In ci environments, don't touch the io streams unless run with -Dsbt.io.virtual=true
     if (System.getProperty("sbt.io.virtual", "") == "true" || !isCI) {
       hasProgress.set(isServer && isAnsiSupported)
-      consoleTerminalHolder.set(newConsoleTerminal())
+      if (hasConsole && !isDumbTerminal) consoleTerminalHolder.set(newConsoleTerminal())
       activeTerminal.set(consoleTerminalHolder.get)
       try withOut(withIn(f))
       finally {
@@ -746,7 +746,7 @@ object Terminal {
   private[sbt] def reset(): Unit = {
     jline.TerminalFactory.reset()
     console.close()
-    consoleTerminalHolder.set(newConsoleTerminal())
+    if (hasConsole && !isDumbTerminal) consoleTerminalHolder.set(newConsoleTerminal())
   }
 
   // translate explicit class names to type in order to support
@@ -754,7 +754,7 @@ object Terminal {
   private[this] def fixTerminalProperty(): Unit = {
     val terminalProperty = "jline.terminal"
     val newValue =
-      if (!isAnsiSupported) "none"
+      if (!isAnsiSupported && System.getProperty("sbt.io.virtual", "") == "false") "none"
       else
         System.getProperty(terminalProperty) match {
           case "jline.UnixTerminal"                             => "unix"
@@ -762,7 +762,7 @@ object Terminal {
           case "jline.WindowsTerminal"                          => "windows"
           case "jline.AnsiWindowsTerminal"                      => "windows"
           case "jline.UnsupportedTerminal"                      => "none"
-          case null if isDumbTerminal                           => "none"
+          case null if isDumb                                   => "none"
           case x                                                => x
         }
     if (newValue != null) {
diff --git a/server-test/src/test/scala/testpkg/TestServer.scala b/server-test/src/test/scala/testpkg/TestServer.scala
index a5595c09e..b2c6a2f62 100644
--- a/server-test/src/test/scala/testpkg/TestServer.scala
+++ b/server-test/src/test/scala/testpkg/TestServer.scala
@@ -163,7 +163,7 @@ case class TestServer(
   val forkOptions =
     ForkOptions()
       .withOutputStrategy(OutputStrategy.StdoutOutput)
-      .withRunJVMOptions(Vector("-Dsbt.ci=true", "-Dsbt.io.virtual=false"))
+      .withRunJVMOptions(Vector("-Djline.terminal=none", "-Dsbt.io.virtual=false"))
   val process =
     RunFromSourceMain.fork(forkOptions, baseDirectory, scalaVersion, sbtVersion, classpath)