diff --git a/packages/bruno-app/src/components/CollectionSettings/Auth/AwsV4Auth/index.js b/packages/bruno-app/src/components/CollectionSettings/Auth/AwsV4Auth/index.js
index da30225143..d2b644e2c2 100644
--- a/packages/bruno-app/src/components/CollectionSettings/Auth/AwsV4Auth/index.js
+++ b/packages/bruno-app/src/components/CollectionSettings/Auth/AwsV4Auth/index.js
@@ -11,7 +11,7 @@ const AwsV4Auth = ({ collection }) => {
   const dispatch = useDispatch();
   const { storedTheme } = useTheme();
 
-  const awsv4Auth = collection.draft ? get(collection, 'draft..request.auth.awsv4', {}) : get(collection, 'root.request.auth.awsv4', {});
+  const awsv4Auth = collection.draft ? get(collection, 'draft.request.auth.awsv4', {}) : get(collection, 'root.request.auth.awsv4', {});
 
   const handleSave = () => dispatch(saveCollectionRoot(collection.uid));
 
diff --git a/packages/bruno-app/src/components/CollectionSettings/Auth/DigestAuth/index.js b/packages/bruno-app/src/components/CollectionSettings/Auth/DigestAuth/index.js
index 18db037539..382ddc08d9 100644
--- a/packages/bruno-app/src/components/CollectionSettings/Auth/DigestAuth/index.js
+++ b/packages/bruno-app/src/components/CollectionSettings/Auth/DigestAuth/index.js
@@ -11,7 +11,7 @@ const DigestAuth = ({ collection }) => {
   const dispatch = useDispatch();
   const { storedTheme } = useTheme();
 
-  const digestAuth = collection.draft ? get(collection, 'draft..request.auth.digest', {}) : get(collection, 'root.request.auth.digest', {});
+  const digestAuth = collection.draft ? get(collection, 'draft.request.auth.digest', {}) : get(collection, 'root.request.auth.digest', {});
 
   const handleSave = () => dispatch(saveCollectionRoot(collection.uid));
 
diff --git a/packages/bruno-app/src/components/CollectionSettings/Auth/OAuth2/PasswordCredentials/index.js b/packages/bruno-app/src/components/CollectionSettings/Auth/OAuth2/PasswordCredentials/index.js
index d2d9eed1f2..491af25ccf 100644
--- a/packages/bruno-app/src/components/CollectionSettings/Auth/OAuth2/PasswordCredentials/index.js
+++ b/packages/bruno-app/src/components/CollectionSettings/Auth/OAuth2/PasswordCredentials/index.js
@@ -12,7 +12,7 @@ const OAuth2AuthorizationCode = ({ item, collection }) => {
   const dispatch = useDispatch();
   const { storedTheme } = useTheme();
 
-  const oAuth = get(collection, 'root.request.auth.oauth2', {});
+  const oAuth = collection.draft ? get(collection, 'draft.request.auth.oauth2', {}) : get(collection, 'root.request.auth.oauth2', {});
 
   const handleRun = async () => {
     dispatch(sendCollectionOauth2Request(collection.uid));
diff --git a/packages/bruno-app/src/components/CollectionSettings/Docs/index.js b/packages/bruno-app/src/components/CollectionSettings/Docs/index.js
index 0c00c1927b..a5ccbc6986 100644
--- a/packages/bruno-app/src/components/CollectionSettings/Docs/index.js
+++ b/packages/bruno-app/src/components/CollectionSettings/Docs/index.js
@@ -14,7 +14,7 @@ const Docs = ({ collection }) => {
   const dispatch = useDispatch();
   const { displayedTheme } = useTheme();
   const [isEditing, setIsEditing] = useState(false);
-  const docs = get(collection, 'draft.docs') || get(collection, 'root.docs', '');
+  const docs = collection.draft ? get(collection, 'draft.docs', '') : get(collection, 'root.docs', '');
   const preferences = useSelector((state) => state.app.preferences);
   const { theme, storedTheme } = useTheme();
 
diff --git a/packages/bruno-app/src/components/CollectionSettings/index.js b/packages/bruno-app/src/components/CollectionSettings/index.js
index e2d3dac1c7..2985084e9c 100644
--- a/packages/bruno-app/src/components/CollectionSettings/index.js
+++ b/packages/bruno-app/src/components/CollectionSettings/index.js
@@ -44,13 +44,13 @@ const CollectionSettings = ({ collection }) => {
   const hasTests = root?.request?.tests;
   const hasDocs = root?.docs;
 
-  const headers = collection.draft ? get(collection, 'draft.request.headers') : get(collection, 'root.request.headers', []);
+  const headers = collection.draft ? get(collection, 'draft.request.headers', []) : get(collection, 'root.request.headers', []);
   const activeHeadersCount = headers.filter((header) => header.enabled).length;
 
   const requestVars = collection.draft ? get(collection, 'draft.request.vars.req', []) : get(collection, 'root.request.vars.req', []);
   const responseVars = collection.draft ? get(collection, 'draft.request.vars.res', []) : get(collection, 'root.request.vars.res', []);
   const activeVarsCount = requestVars.filter((v) => v.enabled).length + responseVars.filter((v) => v.enabled).length;
-  const auth = collection.draft ? get(collection, 'draft.request,auth', {}).mode : get(collection, 'root.request.auth', {}).mode;
+  const auth = collection.draft ? get(collection, 'draft.request.auth', {}).mode : get(collection, 'root.request.auth', {}).mode;
 
   const proxyConfig = get(collection, 'brunoConfig.proxy', {});
   const clientCertConfig = get(collection, 'brunoConfig.clientCertificates.certs', []);
diff --git a/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js b/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
index a368086f1f..53cc380d95 100644
--- a/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
+++ b/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
@@ -169,8 +169,6 @@ export const saveFolderRoot = (collectionUid, folderUid) => (dispatch, getState)
 
     const transformFolderRoot = transformFolderRootToSave(folder);
 
-    console.log({ transformFolderRoot })
-
     const folderData = {
       name: folder.name,
       pathname: folder.pathname,
diff --git a/packages/bruno-app/src/providers/ReduxStore/slices/collections/index.js b/packages/bruno-app/src/providers/ReduxStore/slices/collections/index.js
index 1215f69bd7..c0722e38c0 100644
--- a/packages/bruno-app/src/providers/ReduxStore/slices/collections/index.js
+++ b/packages/bruno-app/src/providers/ReduxStore/slices/collections/index.js
@@ -1635,11 +1635,24 @@ export const collectionsSlice = createSlice({
       // check and update collection root
       if (collection && file.meta.collectionRoot) {
         collection.root = file.data;
+        collection.draft = null;
         return;
       }
 
       if (collection) {
         const item = findItemInCollection(collection, file.data.uid);
+        const isFolderRoot = file.meta.folderRoot ? true : false;
+
+
+        if (isFolderRoot) {
+          const folderPath = getDirectoryName(file.meta.pathname);
+          const folderItem = findItemInCollectionByPathname(collection, folderPath);
+          if (folderItem) {
+            folderItem.root = file.data;
+            folderItem.draft = null;
+          }
+          return;
+        }
 
         if (item) {
           // whenever a user attempts to sort a req within the same folder
diff --git a/packages/bruno-app/src/utils/collections/index.js b/packages/bruno-app/src/utils/collections/index.js
index 009e1bcdbf..c1c7b9283a 100644
--- a/packages/bruno-app/src/utils/collections/index.js
+++ b/packages/bruno-app/src/utils/collections/index.js
@@ -1004,7 +1004,7 @@ const mergeVars = (collection, requestTreePath = []) => {
   let collectionVariables = {};
   let folderVariables = {};
   let requestVariables = {};
-  let collectionRequestVars = get(collection, 'root.request.vars.req', []);
+  let collectionRequestVars = collection.draft ? get(collection, 'draft.request.vars.req', []) : get(collection, 'root.request.vars.req', []);
   collectionRequestVars.forEach((_var) => {
     if (_var.enabled) {
       collectionVariables[_var.name] = _var.value;
diff --git a/packages/bruno-cli/src/runner/prepare-request.js b/packages/bruno-cli/src/runner/prepare-request.js
index 0ed8667609..a26691c573 100644
--- a/packages/bruno-cli/src/runner/prepare-request.js
+++ b/packages/bruno-cli/src/runner/prepare-request.js
@@ -35,7 +35,7 @@ const prepareRequest = (item = {}, collection = {}) => {
     responseType: 'arraybuffer'
   };
 
-  const collectionAuth = get(collection, 'root.request.auth');
+  const collectionAuth = collection.draft ? get(collection, 'draft.request.auth') : get(collection, 'root.request.auth');
   if (collectionAuth && request.auth.mode === 'inherit') {
     if (collectionAuth.mode === 'basic') {
       axiosRequest.auth = {
diff --git a/packages/bruno-cli/src/utils/collection.js b/packages/bruno-cli/src/utils/collection.js
index 365732c488..a8b97df64b 100644
--- a/packages/bruno-cli/src/utils/collection.js
+++ b/packages/bruno-cli/src/utils/collection.js
@@ -4,7 +4,7 @@ const os = require('os');
 const mergeHeaders = (collection, request, requestTreePath) => {
   let headers = new Map();
 
-  let collectionHeaders = get(collection, 'root.request.headers', []);
+  let collectionHeaders = collection.draft ? get(collection, 'draft.request.headers', []) : get(collection, 'root.request.headers', []);
   collectionHeaders.forEach((header) => {
     if (header.enabled) {
       headers.set(header.name, header.value);
@@ -34,7 +34,7 @@ const mergeHeaders = (collection, request, requestTreePath) => {
 
 const mergeVars = (collection, request, requestTreePath) => {
   let reqVars = new Map();
-  let collectionRequestVars = get(collection, 'root.request.vars.req', []);
+  let collectionRequestVars = collection.draft ? get(collection, 'draft.request.vars.req', []) :  get(collection, 'root.request.vars.req', []);
   let collectionVariables = {};
   collectionRequestVars.forEach((_var) => {
     if (_var.enabled) {
@@ -78,7 +78,7 @@ const mergeVars = (collection, request, requestTreePath) => {
   }
 
   let resVars = new Map();
-  let collectionResponseVars = get(collection, 'root.request.vars.res', []);
+  let collectionResponseVars = collection.draft ? get(collection, 'draft.request.vars.res', []) : get(collection, 'root.request.vars.res', []);
   collectionResponseVars.forEach((_var) => {
     if (_var.enabled) {
       resVars.set(_var.name, _var.value);
@@ -113,9 +113,9 @@ const mergeVars = (collection, request, requestTreePath) => {
 };
 
 const mergeScripts = (collection, request, requestTreePath, scriptFlow) => {
-  let collectionPreReqScript = get(collection, 'root.request.script.req', '');
-  let collectionPostResScript = get(collection, 'root.request.script.res', '');
-  let collectionTests = get(collection, 'root.request.tests', '');
+  let collectionPreReqScript = collection.draft ? get(collection, 'draft.request.script.req') : get(collection, 'root.request.script.req', '');
+  let collectionPostResScript = collection.draft ? get(collection, 'draft.request.script.res') : get(collection, 'root.request.script.res', '');
+  let collectionTests = collection.draft ? get(collection, 'draft.request.tests', '') : get(collection, 'root.request.tests', '');
 
   let combinedPreReqScript = [];
   let combinedPostResScript = [];
@@ -137,7 +137,7 @@ const mergeScripts = (collection, request, requestTreePath, scriptFlow) => {
         combinedTests.push(tests);
       }
     }
-  }
+  }s
 
   request.script.req = compact([collectionPreReqScript, ...combinedPreReqScript, request?.script?.req || '']).join(os.EOL);
 
diff --git a/packages/bruno-electron/src/app/watcher.js b/packages/bruno-electron/src/app/watcher.js
index 43d01153d1..56bd68701f 100644
--- a/packages/bruno-electron/src/app/watcher.js
+++ b/packages/bruno-electron/src/app/watcher.js
@@ -66,7 +66,10 @@ const hydrateRequestWithUuid = (request, pathname) => {
   return request;
 };
 
-const hydrateBruCollectionFileWithUuid = (collectionRoot) => {
+const hydrateBruCollectionFileWithUuid = (collectionRoot, pathname) => {
+  if(pathname) {
+    collectionRoot.uid = getRequestUid(pathname);
+  }
   const params = _.get(collectionRoot, 'request.params', []);
   const headers = _.get(collectionRoot, 'request.headers', []);
   const requestVars = _.get(collectionRoot, 'request.vars.req', []);
@@ -256,7 +259,7 @@ const add = async (win, pathname, collectionUid, collectionPath) => {
 
       file.data = collectionBruToJson(bruContent);
 
-      hydrateBruCollectionFileWithUuid(file.data);
+      hydrateBruCollectionFileWithUuid(file.data, pathname);
       win.webContents.send('main:collection-tree-updated', 'addFile', file);
       return;
     } catch (err) {
@@ -367,6 +370,33 @@ const change = async (win, pathname, collectionUid, collectionPath) => {
     }
   }
 
+  if (path.basename(pathname) === 'folder.bru') {
+    const file = {
+      meta: {
+        collectionUid,
+        pathname,
+        name: path.basename(pathname),
+        folderRoot: true
+      }
+    };
+
+    try {
+      let bruContent = fs.readFileSync(pathname, 'utf8');
+      file.data = collectionBruToJson(bruContent);
+
+      // Preserve the existing UID
+      const existingUid = getRequestUid(pathname);
+      file.data.uid = existingUid;
+
+      hydrateBruCollectionFileWithUuid(file.data, pathname);
+      win.webContents.send('main:collection-tree-updated', 'change', file);
+      return;
+    } catch (err) {
+      console.error('Error handling folder.bru change:', err);
+      return;
+    }
+  }
+
   if (hasBruExtension(pathname)) {
     try {
       const file = {
diff --git a/packages/bruno-electron/src/utils/collection.js b/packages/bruno-electron/src/utils/collection.js
index 15d5574e22..3a98ef57b5 100644
--- a/packages/bruno-electron/src/utils/collection.js
+++ b/packages/bruno-electron/src/utils/collection.js
@@ -4,7 +4,7 @@ const os = require('os');
 const mergeHeaders = (collection, request, requestTreePath) => {
   let headers = new Map();
 
-  let collectionHeaders = get(collection, 'root.request.headers', []);
+  let collectionHeaders = collection.draft ? get(collection, 'draft.request.headers', []) : get(collection, 'root.request.headers', []);
   collectionHeaders.forEach((header) => {
     if (header.enabled) {
       headers.set(header.name, header.value);
@@ -37,7 +37,7 @@ const mergeHeaders = (collection, request, requestTreePath) => {
 
 const mergeVars = (collection, request, requestTreePath) => {
   let reqVars = new Map();
-  let collectionRequestVars = get(collection, 'root.request.vars.req', []);
+  let collectionRequestVars = collection.draft ? get(collection, 'draft.request.vars.req', []) : get(collection, 'root.request.vars.req', []);
   let collectionVariables = {};
   collectionRequestVars.forEach((_var) => {
     if (_var.enabled) {
@@ -81,7 +81,7 @@ const mergeVars = (collection, request, requestTreePath) => {
   }
 
   let resVars = new Map();
-  let collectionResponseVars = get(collection, 'root.request.vars.res', []);
+  let collectionResponseVars = collection.draft ? get(collection, 'draft.request.vars.res') : get(collection, 'root.request.vars.res', []);
   collectionResponseVars.forEach((_var) => {
     if (_var.enabled) {
       resVars.set(_var.name, _var.value);
@@ -116,9 +116,9 @@ const mergeVars = (collection, request, requestTreePath) => {
 };
 
 const mergeScripts = (collection, request, requestTreePath, scriptFlow) => {
-  let collectionPreReqScript = get(collection, 'root.request.script.req', '');
-  let collectionPostResScript = get(collection, 'root.request.script.res', '');
-  let collectionTests = get(collection, 'root.request.tests', '');
+  let collectionPreReqScript = collection.draft ? get(collection, 'draft.request.script.req', '') : get(collection, 'root.request.script.req', '');
+  let collectionPostResScript = collection.draft ? get(collection, 'draft.request.script.res', '') : get(collection, 'root.request.script.res', '');
+  let collectionTests = collection.draft ? get(collection, 'draft.request.tests') : get(collection, 'root.request.tests', '');
 
   let combinedPreReqScript = [];
   let combinedPostResScript = [];