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you may want to check

docker context ls

as that looks like the normal docker desktop socket. you should see the socket in

~/.rd/docker.sock

Asked about these issues at work some one shared this.

$ mv ~/Library/Application\ Support/rancher-desktop/lima ~/.rdlima
$ ln -s ~/.rdlima ~/Library/Application\ Support/rancher-desktop/lima

So i ran that and it seems to have fixed the issue