diff --git a/submodules/model b/submodules/model
index a383dee..4c12f55 160000
--- a/submodules/model
+++ b/submodules/model
@@ -1 +1 @@
-Subproject commit a383dee17be29decb6193459c82f5cf384191744
+Subproject commit 4c12f558f388b3eabea7a10c93d038a0a28f284f
diff --git a/upgrade_logic/business_objects/gateway.py b/upgrade_logic/business_objects/gateway.py
index 8426b09..f5ab936 100644
--- a/upgrade_logic/business_objects/gateway.py
+++ b/upgrade_logic/business_objects/gateway.py
@@ -11,6 +11,22 @@
 from submodules.model import enums
 
 
+def gateway_1_16_0() -> bool:
+    __gateway_1_16_0_add_cognition_project_folder_defaults()
+    return True
+
+
+def __gateway_1_16_0_add_cognition_project_folder_defaults() -> bool:
+    query = """
+    UPDATE cognition.project
+    SET max_folder_size_mb = 20
+    WHERE max_folder_size_mb IS NULL
+    """
+    general.execute(query)
+    general.commit()
+    return True
+
+
 def gateway_1_15_0() -> bool:
     # Note: A previous version had the previous update listed as v1.15.
     # That was false, the updates already ran through. This is now for the actual 1.15 release