Enforcing Precedence Constraint While NOT Failing Package(On Failure Logic Ignored)

I have designed an SSIS package that :

(1) contains a for loop task (in which all the logic is contained) that loops through a particular folder for excel files
WITHIN THE FOR LOOP:
(2) pulls data from an excel file into SQL Tables(Data Transformation Task)
(3) run stored proc to validate data (Execute SQL TASK)
(4)ON SUCCESS of executing the SQL Task (Script Task - move file to success or reject folder based on value returned from sproc)
(5)ON FAILURE of executing the stored proc (Script Task - move file to bad format failure)

NOTE:
I have modified the MaximumErrorcount property of (1 FOR LOOP) and (3 EXECUTE SQL TASK) and the package itself to 0.
In order to deal with badly formatted excel files...I do not want the package to stop for every missing tab in excel file or data entry error. I simply want the badly formatted file to be moved to a special folder

PROBLEM:
on failure logic is never executed (I have 2 options after step (3)) on success do step (4) on failure do step (5)
step (3) fails...then it simply iterates to the next file
step 5 is never executed

Is this because I changed the maximumerrorcount property?
What am I doing wrong witht he Precendence Logic?