Don't list cwd packages in pip list

news/7731.bugfix

@@ -0,0 +1 @@
+Avoid listing packages from current directory, when invoked as 'python -m pip list'

src/pip/__main__.py

@@ -13,6 +13,12 @@
     path = os.path.dirname(os.path.dirname(__file__))
     sys.path.insert(0, path)
 
+# Remove '' and current working directory from the first entry
+# of sys.path, if present to avoid using current directory
+# in pip commands
+if sys.path[0] in ('', os.getcwd()):
+    sys.path.pop(0)
+
 from pip._internal.cli.main import main as _main  # isort:skip # noqa
 
 if __name__ == '__main__':

tests/functional/test_list.py

@@ -3,6 +3,7 @@
 
 import pytest
 
+from tests.lib import create_test_package_with_setup
 from tests.lib.path import Path
 
 
@@ -543,3 +544,21 @@ def test_list_path_multiple(tmpdir, script, data):
     json_result = json.loads(result.stdout)
     assert {'name': 'simple', 'version': '2.0'} in json_result
     assert {'name': 'simple2', 'version': '3.0'} in json_result
+
+
+def test_list_skip_work_dir_pkg(script):
+    """
+    Test that list should not include package in working directory
+    """
+
+    # Create a test package and create .egg-info dir
+    pkg_path = create_test_package_with_setup(script,
+                                              name='simple',
+                                              version='1.0')
+    script.run('python', 'setup.py', 'egg_info',
+               expect_stderr=True, cwd=pkg_path)
+
+    # List should not include package simple when run from package directory
+    result = script.pip('list', '--format=json', cwd=pkg_path)
+    json_result = json.loads(result.stdout)
+    assert {'name': 'simple', 'version': '1.0'} not in json_result