diff --git a/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.stories.tsx b/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.stories.tsx
index 777291698..2a23050e7 100644
--- a/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.stories.tsx
+++ b/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.stories.tsx
@@ -77,7 +77,9 @@ export const LeftPanelPreserved: Story = {
     rightChildren: <RightContent title="Right Panel (Auto)" />,
     autoSaveId: 'left-preserved',
     defaultLayout: ['300px', 'auto'],
+    initialLayout: ['100px', 'auto'],
     preserveSide: 'left',
+    leftPanelMinSize: 200,
   },
 };
 
@@ -89,6 +91,7 @@ export const RightPanelPreserved: Story = {
     autoSaveId: 'right-preserved',
     defaultLayout: ['auto', '200px'],
     preserveSide: 'right',
+    rightPanelMinSize: 200,
   },
 };
 
@@ -216,6 +219,7 @@ export const PercentageBasedSizing: Story = {
     rightChildren: <RightContent title="70% Width Panel" />,
     autoSaveId: 'percentage-sizing',
     defaultLayout: ['30%', 'auto'],
+    leftPanelMinSize: '200px',
     preserveSide: 'left',
   },
 };
diff --git a/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.tsx b/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.tsx
index 48cfa935f..f90506e50 100644
--- a/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.tsx
+++ b/apps/web-tss/src/components/ui/layouts/AppSplitter/AppSplitter.tsx
@@ -40,13 +40,13 @@ interface IAppSplitterProps {
   /**
    * Initial preserved-side size from cookies (in pixels)
    */
-  initialLayout?: number | null;
+  initialLayout?: (`${number}px` | `${number}%` | 'auto' | number)[];
 
   /**
    * Default layout configuration as [left, right] sizes
    * Can be numbers (pixels), percentages (strings like "50%"), or "auto"
    */
-  defaultLayout: (`${number}px` | `${number}&` | 'auto' | number)[];
+  defaultLayout: (`${number}px` | `${number}%` | 'auto' | number)[];
 
   /**
    * Minimum size for the left panel
@@ -218,7 +218,12 @@ const AppSplitterWrapper = forwardRef<AppSplitterRef, IAppSplitterProps>(
   ({ autoSaveId, style, className, split = 'vertical', ...props }, componentRef) => {
     const containerRef = useRef<HTMLDivElement>(null);
     const isVertical = split === 'vertical';
-    const [mounted, setMounted] = useState(!props.bustStorageOnInit);
+    const [mounted, setMounted] = useState(
+      !props.leftPanelMinSize &&
+        !props.rightPanelMinSize &&
+        !props.leftPanelMaxSize &&
+        !props.rightPanelMaxSize
+    );
     const splitterAutoSaveId = createAutoSaveId(autoSaveId);
 
     const { splitterAutoSaveId: parentSplitterAutoSaveId } = useAppSplitterContext();
@@ -293,7 +298,6 @@ const AppSplitterBase = forwardRef<
       isVertical,
       splitterAutoSaveId,
       containerRef,
-      bustStorageOnInit,
       split = 'vertical',
     },
     ref
@@ -322,23 +326,7 @@ const AppSplitterBase = forwardRef<
     // STORAGE MANAGEMENT
     // ================================
 
-    const bustStorageOnInitSplitter = (preservedSideValue: number | null) => {
-      const refSize =
-        split === 'vertical'
-          ? containerRef.current?.offsetWidth
-          : containerRef.current?.offsetHeight;
-      // Don't bust storage if container hasn't been sized yet
-      if (!refSize || refSize === 0) {
-        // console.warn('AppSplitter: container not sized yet');
-        return false;
-      }
-
-      return typeof bustStorageOnInit === 'function'
-        ? bustStorageOnInit(preservedSideValue, refSize)
-        : !!bustStorageOnInit;
-    };
-
-    const defaultValue = () => {
+    const defaultValue = useCallback(() => {
       const [leftValue, rightValue] = defaultLayout;
       const containerSize =
         split === 'vertical'
@@ -354,13 +342,65 @@ const AppSplitterBase = forwardRef<
       const preserveValue = preserveSide === 'left' ? leftValue : rightValue;
       const result = sizeToPixels(preserveValue, containerSize);
       return result;
-    };
+    }, [defaultLayout, split, preserveSide]);
+
+    const initialValue = useCallback(() => {
+      if (initialLayout) {
+        const [leftValue, rightValue] = initialLayout;
+        const containerSize =
+          split === 'vertical'
+            ? (containerRef.current?.offsetWidth ?? 0)
+            : (containerRef.current?.offsetHeight ?? 0);
+
+        if (preserveSide === 'left' && leftValue === 'auto') {
+          return containerSize;
+        }
+        if (preserveSide === 'right' && rightValue === 'auto') {
+          return containerSize;
+        }
+        const preserveValue = preserveSide === 'left' ? leftValue : rightValue;
+        const result = sizeToPixels(preserveValue, containerSize);
+
+        // Check if the result is within min/max bounds
+        if (containerSize > 0) {
+          const minSize =
+            preserveSide === 'left'
+              ? sizeToPixels(leftPanelMinSize, containerSize)
+              : sizeToPixels(rightPanelMinSize, containerSize);
+          const maxSize =
+            preserveSide === 'left'
+              ? leftPanelMaxSize
+                ? sizeToPixels(leftPanelMaxSize, containerSize)
+                : containerSize
+              : rightPanelMaxSize
+                ? sizeToPixels(rightPanelMaxSize, containerSize)
+                : containerSize;
+
+          // If the result is outside the min/max bounds, use the default value
+          if (result < minSize || result > maxSize) {
+            return defaultValue();
+          }
+        }
+
+        return result;
+      }
+      return defaultValue();
+    }, [
+      initialLayout,
+      split,
+      preserveSide,
+      leftPanelMinSize,
+      rightPanelMinSize,
+      leftPanelMaxSize,
+      rightPanelMaxSize,
+      defaultValue,
+    ]);
 
     // Load saved layout from cookies
+
     const [savedLayout, setSavedLayout] = useCookieState<number | null>(splitterAutoSaveId, {
       defaultValue,
-      initialValue: initialLayout ?? undefined,
-      bustStorageOnInit: bustStorageOnInitSplitter,
+      initialValue,
     });
 
     // ================================
diff --git a/apps/web-tss/src/hooks/useCookieState.tsx b/apps/web-tss/src/hooks/useCookieState.tsx
index b95d98ddc..cd9d19e4a 100644
--- a/apps/web-tss/src/hooks/useCookieState.tsx
+++ b/apps/web-tss/src/hooks/useCookieState.tsx
@@ -2,7 +2,7 @@
 
 import { isServer } from '@tanstack/react-query';
 import cookies from 'js-cookie';
-import { useEffect, useState } from 'react';
+import { useState } from 'react';
 import { useMemoizedFn } from './useMemoizedFn';
 import { useMount } from './useMount';
 
@@ -25,11 +25,10 @@ interface CookieOptions {
 
 interface Options<T> {
   defaultValue?: T | (() => T);
-  initialValue?: T;
+  initialValue?: T | (() => T);
   serializer?: (value: T) => string;
   deserializer?: (value: string) => T;
   onError?: (error: unknown) => void;
-  bustStorageOnInit?: boolean | ((layout: T) => boolean);
   expirationTime?: number;
   cookieOptions?: CookieOptions;
 }
@@ -73,7 +72,6 @@ export function useCookieState<T>(
     serializer = JSON.stringify,
     deserializer = JSON.parse,
     onError,
-    bustStorageOnInit = false,
     expirationTime = DEFAULT_EXPIRATION_TIME,
     cookieOptions = {},
   } = options || {};
@@ -85,14 +83,9 @@ export function useCookieState<T>(
 
   // Get initial value from cookies or use default
   const getInitialValue = useMemoizedFn((): T | undefined => {
-    // If bustStorageOnInit is true, ignore cookies and use default value
-    if (bustStorageOnInit === true) {
-      return executeBustStorage();
-    }
-
     // Prefer explicitly provided initialValue if present
     if (initialValue !== undefined) {
-      return initialValue;
+      return typeof initialValue === 'function' ? (initialValue as () => T)() : initialValue;
     }
 
     try {
@@ -128,10 +121,6 @@ export function useCookieState<T>(
       // Data is still valid, deserialize and return the value
       const deserializedValue = deserializer(JSON.stringify(storageData.value));
 
-      if (typeof bustStorageOnInit === 'function' && bustStorageOnInit(deserializedValue)) {
-        return executeBustStorage();
-      }
-
       return deserializedValue;
     } catch (error) {
       onError?.(error);
@@ -146,35 +135,28 @@ export function useCookieState<T>(
     setState(getInitialValue());
   });
 
-  // Update cookies when state changes
-  useEffect(() => {
-    try {
-      if (state === undefined && !isServer) {
-        removeCookie(key, cookieOptions);
-      } else {
-        // Create storage data with current timestamp
-        const storageData: StorageData<T> = {
-          value: JSON.parse(serializer(state)),
-          timestamp: Date.now(),
-        };
-        setCookie(key, JSON.stringify(storageData), expirationTime, cookieOptions);
-      }
-    } catch (error) {
-      onError?.(error);
-    }
-  }, [key, state, serializer, onError, expirationTime, cookieOptions]);
-
   // Setter function that handles both direct values and function updates
   const setStoredState = useMemoizedFn((value?: SetState<T>) => {
     try {
-      if (typeof value === 'function') {
-        setState((prevState) => {
-          const newState = (value as (prevState?: T) => T)(prevState);
-          return newState;
-        });
-      } else {
-        setState(value);
-      }
+      setState((prevState) => {
+        // Calculate the new state value
+        const newState =
+          typeof value === 'function' ? (value as (prevState?: T) => T)(prevState) : value;
+
+        // Update cookie with the new state
+        if (newState === undefined && !isServer) {
+          removeCookie(key, cookieOptions);
+        } else {
+          // Create storage data with current timestamp
+          const storageData: StorageData<T> = {
+            value: JSON.parse(serializer(newState)),
+            timestamp: Date.now(),
+          };
+          setCookie(key, JSON.stringify(storageData), expirationTime, cookieOptions);
+        }
+
+        return newState;
+      });
     } catch (error) {
       onError?.(error);
     }
diff --git a/apps/web/src/layouts/ChatLayout/ChatLayout/ChatLayout.tsx b/apps/web/src/layouts/ChatLayout/ChatLayout/ChatLayout.tsx
index d9b0553d6..b678e8740 100644
--- a/apps/web/src/layouts/ChatLayout/ChatLayout/ChatLayout.tsx
+++ b/apps/web/src/layouts/ChatLayout/ChatLayout/ChatLayout.tsx
@@ -51,8 +51,8 @@ export const ChatLayout: React.FC<ChatSplitterProps> = ({ children }) => {
       <ChatContextProvider>
         <AppSplitter
           ref={appSplitterRef}
-          leftChildren={mounted && <ChatContainer />}
-          rightChildren={mounted && <FileContainer>{children}</FileContainer>}
+          leftChildren={mounted && renderLeftPanel && <ChatContainer />}
+          rightChildren={mounted && renderRightPanel && <FileContainer>{children}</FileContainer>}
           autoSaveId={autoSaveId}
           defaultLayout={defaultSplitterLayout}
           allowResize={selectedLayout === 'both'}
@@ -61,8 +61,6 @@ export const ChatLayout: React.FC<ChatSplitterProps> = ({ children }) => {
           leftPanelMaxSize={leftPanelMaxSize}
           rightPanelMinSize={rightPanelMinSize}
           rightPanelMaxSize={rightPanelMaxSize}
-          renderLeftPanel={renderLeftPanel}
-          renderRightPanel={renderRightPanel}
           bustStorageOnInit={bustStorageOnInit}
         />
       </ChatContextProvider>
diff --git a/apps/web/src/layouts/ChatLayout/FileContainer/FileContainer.tsx b/apps/web/src/layouts/ChatLayout/FileContainer/FileContainer.tsx
index a73fac0d2..649c37922 100644
--- a/apps/web/src/layouts/ChatLayout/FileContainer/FileContainer.tsx
+++ b/apps/web/src/layouts/ChatLayout/FileContainer/FileContainer.tsx
@@ -70,7 +70,7 @@ export const FileContainer: React.FC<FileContainerProps> = ({ children }) => {
     }
   });
 
-  const rightChildren = useMemo(() => {
+  const rightChildren: React.ReactNode = useMemo(() => {
     if (!debouncedSelectedFileViewSecondary) {
       return null;
     }