Ensure tests are failing CI

[rdimitrov]

The following PR:

• Updates the makefile target to use the correct exit flow when a test fails
• Updates the failing tests referenced in the issue

Fixes #834

Motivation and Context

How Has This Been Tested?

Breaking Changes

Types of changes

• Bug fix (non-breaking change which fixes an issue)
• New feature (non-breaking change which adds functionality)
• Breaking change (fix or feature that would cause existing functionality to change)
• Documentation update

Checklist

• I have read the MCP Documentation
• My code follows the repository's style guidelines
• New and existing tests pass locally
• I have added appropriate error handling
• I have added or updated documentation as needed

Additional context