diff --git a/repos/os/src/server/chroot/README b/repos/os/src/server/chroot/README
index df8bd9754..18af1bfe1 100644
--- a/repos/os/src/server/chroot/README
+++ b/repos/os/src/server/chroot/README
@@ -1,37 +1,14 @@
 This component intercepts File_system requests and changes
-the root directory of the request using the session label.
+the root directory attached to requests as defined by
+policy or by converting session label elements to a
+hierarchy of directories.
 
-In this example if cli_monitor had a child named "X", every
-file system session from "X" would be rooted to the directory
-"/cli_monitor/X" at "fs_server".
+Sessions matching policies with _path_ attributes will be "chrooted" to the
+configured policy path, sessions not matching policies with _path_ attributes
+will be chrooted into paths formed from each session label element. Sessions
+requests are downgraded to read-only requests unless matched by polices
+with an affirmative _writeable_ attribute. Sessions not matching any
+policy are rejected.
 
-! <start name="fs_server">
-!   <provides> <service name="File_system"/> </provides>
-!   ...
-! </start>
-!
-! <start name="chroot">
-!   <provides> <service name="File_system"/> </provides>
-!   <config>
-!     <policy label_prefix="cli_monitor ->" merge="yes"/>
-!   </config>
-!   <route>
-!     <any-service>
-!       <child name="fs_server"/> <parent/>
-!     </any-service>
-!   </route>
-!   ...
-! </start>
-!
-! <start name="cli_monitior">
-!   <route>
-!     <any-service>
-!       <child name="chroot"/> <parent/>
-!     </any-service>
-!   </route>
-!   ...
-! </start>
-
-In addition, the 'chroot' component will intercept the 'writeable' session
-argument and only if its own policy allows it (i.e. the 'writeable' attribute
-is to 'yes') the child is permitted to create a writeable connection.
+Please note that this server is only effective for File_system servers that
+honor the "root" or "writeable" argument to session requests.
diff --git a/repos/os/src/server/chroot/component.cc b/repos/os/src/server/chroot/component.cc
index 577271b6b..6e9baeac7 100644
--- a/repos/os/src/server/chroot/component.cc
+++ b/repos/os/src/server/chroot/component.cc
@@ -116,26 +116,8 @@ struct Chroot::Main
 		if (policy.has_attribute("path")) {
 			policy.attribute("path").value(tmp, sizeof(tmp));
 			root_path.import(tmp);
-		}
-
-		/* if policy specifies a merge, use a truncated label */
-		else if (policy.has_attribute("label_prefix")
-		        && policy.attribute_value("merge", false))
-		{
-			/* merge at the next element */
-			size_t offset = policy.attribute("label_prefix").value_size();
-			for (size_t i = offset; i < label.length()-4; ++i) {
-				if (strcmp(label.string()+i, " -> ", 4))
-					continue;
-
-				strncpy(tmp, label.string(), min(sizeof(tmp), i+1));
-				break;
-			}
-			root_path = path_from_label<Path>(tmp);
-		}
-
-		/* use an implicit chroot path from the label */
-		else {
+		} else {
+			/* generate implicit chroot path from the label */
 			root_path = path_from_label<Path>(label.string());
 		}