By default, when Update menu option is clicked, Zoom client will only download the changes to the files that are checked out on the user’s local working copy folder. This prevents files that may be newly added by others users in the same parent or ancestor folder from being checked-out when the user presses update menu option.
This behavior can be changed by a client side settings through the Z -> Settings:
DEFAULT_UPDATE_ONLY_WC_ASSETS setting to false. This allows the update of a folder to receive all its files – newly added or already checked-out; not just the updates to the existing files in the local working copy.
Note: Be careful with this option, if a user accidentally clicks update on the project root folder with this flag turned to false, Zoom client will checkout the entire project with all its assets.