**Build scan:**
https://gradle-enterprise.elastic.co/s/swrn2vccdizu6/tests/:qa:smoke-test-http:javaRestTest/org.elasticsearch.http.ClusterStateRestCancellationIT/testClusterStateRestCancellation

**Reproduction line:**
`./gradlew ':qa:smoke-test-http:javaRestTest' --tests "org.elasticsearch.http.ClusterStateRestCancellationIT.testClusterStateRestCancellation" -Dtests.seed=2034D67B43AAFEF0 -Dtests.locale=ca -Dtests.timezone=Europe/Madrid -Druntime.java=17`

**Applicable branches:**
main

**Reproduces locally?:**
No

**Failure history:**
https://gradle-enterprise.elastic.co/scans/tests?tests.container=org.elasticsearch.http.ClusterStateRestCancellationIT&tests.test=testClusterStateRestCancellation

**Failure excerpt:**
```
java.lang.IllegalStateException: unable to launch a new watch service

  at __randomizedtesting.SeedInfo.seed([2034D67B43AAFEF0:A2A0FB19FD8E07BE]:0)
  at org.elasticsearch.reservedstate.service.FileSettingsService.startWatcher(FileSettingsService.java:271)
  at org.elasticsearch.reservedstate.service.FileSettingsService.startIfMaster(FileSettingsService.java:142)
  at org.elasticsearch.reservedstate.service.FileSettingsService.doStart(FileSettingsService.java:116)
  at org.elasticsearch.common.component.AbstractLifecycleComponent.start(AbstractLifecycleComponent.java:43)
  at org.elasticsearch.node.Node.start(Node.java:1372)
  at org.elasticsearch.test.InternalTestCluster$NodeAndClient.startNode(InternalTestCluster.java:982)
  at java.util.concurrent.Executors$RunnableAdapter.call(Executors.java:539)
  at java.util.concurrent.FutureTask.run(FutureTask.java:264)
  at org.elasticsearch.common.util.concurrent.ThreadContext$ContextPreservingRunnable.run(ThreadContext.java:820)
  at java.util.concurrent.ThreadPoolExecutor.runWorker(ThreadPoolExecutor.java:1136)
  at java.util.concurrent.ThreadPoolExecutor$Worker.run(ThreadPoolExecutor.java:635)
  at java.lang.Thread.run(Thread.java:833)

  Caused by: java.io.IOException: User limit of inotify watches reached

    at sun.nio.fs.LinuxWatchService$Poller.implRegister(LinuxWatchService.java:264)
    at sun.nio.fs.AbstractPoller.processRequests(AbstractPoller.java:266)
    at sun.nio.fs.LinuxWatchService$Poller.run(LinuxWatchService.java:364)
    at java.lang.Thread.run(Thread.java:833)

```
server/src/main/java/org/elasticsearch/reservedstate/service/FileSettingsService.java
* the version information in the file is newer than what's already saved as processed in the
     * cluster state.
     *
     * For snapshot restores we first must restore the snapshot and then force a refresh, since the cluster state
     * metadata version must be reset to 0 and saved in the cluster state.
     */
    private void refreshExistingFileStateIfNeeded(ClusterState clusterState) {
        if (watching()) {
            ReservedStateMetadata fileSettingsMetadata = clusterState.metadata().reservedStateMetadata().get(NAMESPACE);
            
            
            if (fileSettingsMetadata != null && fileSettingsMetadata.version() == 0L && Files.exists(operatorSettingsFile())) {
                try {
                    Files.setLastModifiedTime(operatorSettingsFile(), FileTime.from(Instant.now()));
                } catch (IOException e) {
                    logger.warn("encountered I/O error trying to update file settings timestamp", e);
                }
            }
        }
    }
    public boolean watching() {
        return watcherThread != null;
    }
    synchronized void startWatcher(ClusterState clusterState, boolean onStartup) {
        if (watching() || active == false) {
            refreshExistingFileStateIfNeeded(clusterState);
            return;
        }
        logger.info("starting file settings watcher ...");
        /*