What is the test for non-compliance of Rules 1(8)?

The court in Ferguson v. Charlton, a three-step process for assessing non-compliance in the context of Rules 1(8): 1. Has there been a triggering event (i.e., non-compliance with a court order)? 2. If a there has been a triggering event, is it appropriate to exercise the court’s discretion to not sanction the party’s non-compliance? This discretion will be exercised in “exceptional circumstances”, and ought to take into account the history of the litigation and the conduct of the non-complying party. 3. If the court determines that it should not exercise its discretion in favour of the non-complying party, what is the appropriate remedy to impose?[17]