diff --git a/lib/filing.py b/lib/filing.py
new file mode 100644
index 0000000..bb33e2c
--- /dev/null
+++ b/lib/filing.py
@@ -0,0 +1,149 @@
+"""
+RECON shared filing logic.
+
+Provides file_processed_item() — the shared function that any processor
+can call to file a completed item from /opt/recon/data/processing/{hash}/
+into /mnt/library/Domain/Subdomain/{canonical_name}.{ext}.
+
+The function:
+  1. Reads dominant domain from concept JSONs (existing logic)
+  2. Derives canonical name (level 1, escalating to 2/3/4 only on collision)
+  3. Moves the source file from processing/ to library/Domain/Subdomain/
+  4. Updates catalogue + documents + Qdrant payloads atomically
+  5. Marks organized
+
+This function does NOT extract, enrich, or embed. Those are upstream stages.
+This function does NOT touch the legacy organize_document() — that stays in place
+until cutover (Phase 5).
+
+Phase 2: function exists, is tested in isolation. Not yet called by anything
+in the service loop.
+"""
+
+import logging
+import os
+import shutil
+
+from .organizer import determine_dominant_domain, _build_target_path
+from .new_pipeline import update_qdrant_payload
+
+logger = logging.getLogger("recon.filing")
+
+
+def file_processed_item(doc_hash, source_file_path, db, config, dry_run=False):
+    """File a completed item into the library.
+
+    Args:
+        doc_hash: Document hash
+        source_file_path: Current absolute path to the source file
+            (typically in /opt/recon/data/processing/{hash}/ or current library path)
+        db: StatusDB instance
+        config: RECON config dict
+        dry_run: If True, plan but don't move
+
+    Returns:
+        dict with keys:
+            hash, action, source_path, target_path,
+            domain, subdomain, qdrant_points_updated, error
+    """
+    result = {
+        "hash": doc_hash,
+        "action": "skip",
+        "source_path": source_file_path,
+        "target_path": None,
+        "domain": None,
+        "subdomain": None,
+        "qdrant_points_updated": 0,
+        "error": None,
+    }
+
+    # Verify source file exists
+    if not os.path.exists(source_file_path):
+        result["action"] = "error"
+        result["error"] = f"Source file not found: {source_file_path}"
+        return result
+
+    # Determine domain from existing concept JSONs
+    data_dir = config["paths"]["data"]
+    domain, subdomain, confidence = determine_dominant_domain(doc_hash, data_dir)
+    result["domain"] = domain
+    result["subdomain"] = subdomain
+
+    if domain is None:
+        result["action"] = "skip_unclassified"
+        return result
+
+    # Get the original filename from catalogue
+    conn = db._get_conn()
+    row = conn.execute(
+        "SELECT filename FROM catalogue WHERE hash = ?", (doc_hash,)
+    ).fetchone()
+    if not row:
+        result["action"] = "error"
+        result["error"] = f"Hash not in catalogue: {doc_hash}"
+        return result
+
+    original_filename = row["filename"]
+
+    # Build target path using existing collision-handling logic
+    library_root = config["library_root"]
+    target_path, sanitized_name = _build_target_path(
+        library_root, domain, subdomain, original_filename, doc_hash
+    )
+
+    if target_path is None:
+        result["action"] = "skip_unclassified"
+        return result
+
+    result["target_path"] = target_path
+
+    # If already at target (idempotency), just mark organized
+    if os.path.abspath(source_file_path) == os.path.abspath(target_path):
+        result["action"] = "skip_already_filed"
+        if not dry_run:
+            db.mark_organized(doc_hash)
+        return result
+
+    if dry_run:
+        result["action"] = "would_file"
+        return result
+
+    # Move the file
+    try:
+        target_dir = os.path.dirname(target_path)
+        os.makedirs(target_dir, exist_ok=True)
+        shutil.move(source_file_path, target_path)
+    except Exception as e:
+        result["action"] = "error"
+        result["error"] = f"Move failed: {e}"
+        logger.error("Move failed for %s: %s", doc_hash[:8], e)
+        return result
+
+    # Update DB and Qdrant
+    try:
+        db.update_catalogue_path(doc_hash, target_path, sanitized_name)
+        db.sync_document_path(doc_hash, target_path, sanitized_name)
+        db.mark_organized(doc_hash)
+
+        # Update Qdrant payloads (download_url, filename, original_filename)
+        points = update_qdrant_payload(
+            doc_hash, target_path, sanitized_name, original_filename, config
+        )
+        result["qdrant_points_updated"] = points
+
+        result["action"] = "filed"
+        logger.info(
+            "Filed %s -> %s [%s/%s, %d vectors]",
+            doc_hash[:8],
+            target_path,
+            domain,
+            subdomain,
+            points,
+        )
+    except Exception as e:
+        # File was moved but DB update failed — log the dangerous state
+        result["action"] = "error"
+        result["error"] = f"DB/Qdrant update failed after move: {e}"
+        logger.error("DB/Qdrant update failed for %s: %s", doc_hash[:8], e)
+
+    return result