Preventing a step from failing a test

This problem is pretty easily overcome by properly architecting your tests. Place the core of your test into a sub-test. Leave just steps one and two in your current main test. Data bind the subtest, not the parent test.

You can actually do this very quickly and easily by selecting the core of your test (steps 3 to the end), right clicking and selecting "Create Test as Step". Test Studio will prompt you for the name of the new sub-test and do all the grunt work for you. Once done all you need to do is modify the data binding... remove it from the parent test and add it to the new subtest.

I hope this helps.