In Docker Desktop before v4.29.0, an attacker who has gained access to the Docker Desktop VM through a container breakout can further escape to the host by passing extensions and dashboard related IPC messages. Docker Desktop v4.29.0 https://docs.docker.com/desktop/release-notes/#4290 fixes the issue on MacOS, Linux and Windows with Hyper-V backend. As exploitation requires "Allow only extensions distributed through the Docker Marketplace" to be disabled, Docker Desktop  v4.31.0 https://docs.docker.com/desktop/release-notes/#4310  additionally changes the default configuration to enable this setting by default.

Docker Desktop allows local privilege escalation to NT AUTHORITY\SYSTEM because it mishandles the collection of diagnostics with Administrator privileges, leading to arbitrary DACL permissions overwrites and arbitrary file writes. This affects Docker Desktop Enterprise before 2.1.0.9, Docker Desktop for Windows Stable before 2.2.0.4, and Docker Desktop for Windows Edge before 2.2.2.0.