diff --git a/crates/project_panel/src/project_panel.rs b/crates/project_panel/src/project_panel.rs
index c22e297a02..85694ec629 100644
--- a/crates/project_panel/src/project_panel.rs
+++ b/crates/project_panel/src/project_panel.rs
@@ -150,7 +150,8 @@ impl ProjectPanel {
                     old_dock_position = new_dock_position;
                     cx.emit(Event::DockPositionChanged);
                 }
-            }).detach();
+            })
+            .detach();
 
             cx.observe(&project, |this, _, cx| {
                 this.update_visible_entries(None, cx);
@@ -253,8 +254,8 @@ impl ProjectPanel {
                             }
                         }
                     }
-                },
-                Event::DockPositionChanged => {},
+                }
+                Event::DockPositionChanged => {}
             }
         })
         .detach();
@@ -1341,7 +1342,11 @@ impl Entity for ProjectPanel {
 
 impl workspace::dock::Panel for ProjectPanel {
     fn position(&self, cx: &gpui::WindowContext) -> DockPosition {
-        cx.global::<Settings>().project_panel_overrides.dock.into()
+        cx.global::<Settings>()
+            .project_panel_overrides
+            .dock
+            .map(Into::into)
+            .unwrap_or(DockPosition::Left)
     }
 
     fn position_is_valid(&self, position: DockPosition) -> bool {
diff --git a/crates/settings/src/settings.rs b/crates/settings/src/settings.rs
index 0eb9eb9e5d..a49d84c6a8 100644
--- a/crates/settings/src/settings.rs
+++ b/crates/settings/src/settings.rs
@@ -132,7 +132,7 @@ impl TelemetrySettings {
 }
 
 #[derive(Clone, Copy, Debug, Serialize, Deserialize, JsonSchema, Eq, PartialEq)]
-#[serde(rename_all="lowercase")]
+#[serde(rename_all = "lowercase")]
 pub enum DockPosition {
     Left,
     Right,
@@ -166,17 +166,9 @@ pub enum GitGutter {
 
 pub struct GitGutterConfig {}
 
-#[derive(Clone, Debug, Serialize, Deserialize, JsonSchema)]
+#[derive(Clone, Debug, Default, Serialize, Deserialize, JsonSchema)]
 pub struct ProjectPanelSettings {
-    pub dock: DockPosition
-}
-
-impl Default for ProjectPanelSettings {
-    fn default() -> Self {
-        Self {
-            dock: DockPosition::Left
-        }
-    }
+    pub dock: Option<DockPosition>,
 }
 
 #[derive(Clone, Debug, Default, Serialize, Deserialize, JsonSchema)]
@@ -279,23 +271,22 @@ pub struct TerminalSettings {
 impl Default for TerminalSettings {
     fn default() -> Self {
         Self {
-            shell:Default::default(),
-            working_directory:Default::default(),
-            font_size:Default::default(),
-            font_family:Default::default(),
-            line_height:Default::default(),
-            font_features:Default::default(),
-            env:Default::default(),
-            blinking:Default::default(),
-            alternate_scroll:Default::default(),
-            option_as_meta:Default::default(),
-            copy_on_select:Default::default(),
+            shell: Default::default(),
+            working_directory: Default::default(),
+            font_size: Default::default(),
+            font_family: Default::default(),
+            line_height: Default::default(),
+            font_features: Default::default(),
+            env: Default::default(),
+            blinking: Default::default(),
+            alternate_scroll: Default::default(),
+            option_as_meta: Default::default(),
+            copy_on_select: Default::default(),
             dock: DockPosition::Bottom,
         }
     }
 }
 
-
 #[derive(Clone, Debug, Serialize, Deserialize, PartialEq, JsonSchema, Default)]
 #[serde(rename_all = "snake_case")]
 pub enum TerminalLineHeight {
@@ -407,7 +398,7 @@ pub struct SettingsFileContent {
     pub autosave: Option<Autosave>,
     #[serde(flatten)]
     pub editor: EditorSettings,
-    pub project_panel: ProjectPanelSettings,
+    pub project_panel: Option<ProjectPanelSettings>,
     #[serde(default)]
     pub journal: JournalSettings,
     #[serde(default)]
@@ -502,7 +493,7 @@ impl Settings {
             show_call_status_icon: defaults.show_call_status_icon.unwrap(),
             vim_mode: defaults.vim_mode.unwrap(),
             autosave: defaults.autosave.unwrap(),
-            project_panel_defaults: Default::default(),
+            project_panel_defaults: defaults.project_panel.unwrap(),
             project_panel_overrides: Default::default(),
             editor_defaults: EditorSettings {
                 tab_size: required(defaults.editor.tab_size),
@@ -610,7 +601,7 @@ impl Settings {
             }
         }
         self.editor_overrides = data.editor;
-        self.project_panel_overrides = data.project_panel;
+        self.project_panel_overrides = data.project_panel.unwrap_or_default();
         self.git_overrides = data.git.unwrap_or_default();
         self.journal_overrides = data.journal;
         self.terminal_defaults.font_size = data.terminal.font_size;