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The error stems from Jupyter insisting on certain permissions for a file:

RuntimeError: Permissions assignment failed for secure file: '/home/sage/.local/share/jupyter/runtime/kernel-5ecbbfc0-978c-428b-bf7b-3ae1eadf2539.json'. Got '0o644' instead of '0o0600'.

I resolved this issue by creating an environment variable JUPYTER_ALLOW_INSECURE_WRITES with value true.

This was addressed in https://discourse.jupyter.org/t/jupyter-core-4-6-2-release-with-insure-mode-option/3300.