diff --git a/app/server/.gitignore b/app/server/.gitignore
index 37ae9e3606..be48d9bfcc 100644
--- a/app/server/.gitignore
+++ b/app/server/.gitignore
@@ -4,3 +4,9 @@ target/**
 **/.idea
 **/target
 **/dist
+.settings/**
+**/.settings
+**/.classpath
+**/.project
+**/.factorypath
+**.iml
\ No newline at end of file
diff --git a/app/server/appsmith-server/src/main/java/com/appsmith/server/acl/AclService.java b/app/server/appsmith-server/src/main/java/com/appsmith/server/acl/AclService.java
index 3b717f1c0c..e928577e33 100644
--- a/app/server/appsmith-server/src/main/java/com/appsmith/server/acl/AclService.java
+++ b/app/server/appsmith-server/src/main/java/com/appsmith/server/acl/AclService.java
@@ -79,7 +79,7 @@ public class AclService {
                             .defaultHeader(HttpHeaders.CONTENT_TYPE, MediaType.APPLICATION_JSON_VALUE)
                             .build();
 
-                    WebClient.RequestHeadersSpec<?> request = webClient.post().syncBody(requestBody.toString());
+                    WebClient.RequestHeadersSpec<?> request = webClient.post().bodyValue(requestBody.toString());
                     return request.retrieve().bodyToMono(OpaResponse.class);
                 });
     }
diff --git a/app/server/appsmith-server/src/main/java/com/appsmith/server/domains/Action.java b/app/server/appsmith-server/src/main/java/com/appsmith/server/domains/Action.java
index 3a250e66dd..d01c34fc4d 100644
--- a/app/server/appsmith-server/src/main/java/com/appsmith/server/domains/Action.java
+++ b/app/server/appsmith-server/src/main/java/com/appsmith/server/domains/Action.java
@@ -10,6 +10,7 @@ import lombok.ToString;
 import org.springframework.data.annotation.Transient;
 import org.springframework.data.mongodb.core.mapping.Document;
 
+import java.util.Map;
 import java.util.Set;
 
 @Getter
@@ -35,6 +36,11 @@ public class Action extends BaseDomain {
 
     Boolean executeOnLoad;
 
+    /* This is a list of fields specified by the client to signify which fields have dynamic bindings in them.
+        TODO: The server can use this field to simplify our Mustache substitutions in the future
+     */
+    Map<String, Boolean> dynamicBindings;
+
     @JsonProperty(access = JsonProperty.Access.READ_ONLY)
     Boolean isValid;
 
diff --git a/app/server/appsmith-server/src/main/java/com/appsmith/server/services/ActionServiceImpl.java b/app/server/appsmith-server/src/main/java/com/appsmith/server/services/ActionServiceImpl.java
index 5bfcdc1420..ac3677bdd9 100644
--- a/app/server/appsmith-server/src/main/java/com/appsmith/server/services/ActionServiceImpl.java
+++ b/app/server/appsmith-server/src/main/java/com/appsmith/server/services/ActionServiceImpl.java
@@ -8,6 +8,8 @@ import com.appsmith.external.models.PaginationType;
 import com.appsmith.external.models.Param;
 import com.appsmith.external.models.Property;
 import com.appsmith.external.models.Provider;
+import com.appsmith.external.pluginExceptions.AppsmithPluginError;
+import com.appsmith.external.pluginExceptions.AppsmithPluginException;
 import com.appsmith.external.plugins.PluginExecutor;
 import com.appsmith.server.constants.AnalyticsEvents;
 import com.appsmith.server.constants.FieldName;
@@ -432,6 +434,12 @@ public class ActionServiceImpl extends BaseService<ActionRepository, Action, Str
                                 ActionExecutionResult result = new ActionExecutionResult();
                                 result.setBody(e.getMessage());
                                 result.setIsExecutionSuccess(false);
+                                // Set the status code for Appsmith plugin errors
+                                if (e instanceof AppsmithPluginException) {
+                                    result.setStatusCode(((AppsmithPluginException) e).getAppErrorCode().toString());
+                                } else {
+                                    result.setStatusCode(AppsmithPluginError.PLUGIN_ERROR.getAppErrorCode().toString());
+                                }
                                 return Mono.just(result);
                             })
                             .map(obj -> populateRequestFields(actionConfiguration, (ActionExecutionResult) obj));
diff --git a/app/server/appsmith-server/src/main/java/com/appsmith/server/services/MarketplaceServiceImpl.java b/app/server/appsmith-server/src/main/java/com/appsmith/server/services/MarketplaceServiceImpl.java
index 771298f492..84f79adf20 100644
--- a/app/server/appsmith-server/src/main/java/com/appsmith/server/services/MarketplaceServiceImpl.java
+++ b/app/server/appsmith-server/src/main/java/com/appsmith/server/services/MarketplaceServiceImpl.java
@@ -203,7 +203,7 @@ public class MarketplaceServiceImpl implements MarketplaceService {
 
         if (params != null) {
             for (String key : params.keySet()) {
-                uriBuilder.queryParam(key, URLEncoder.encode(params.getFirst(key)));
+                uriBuilder.queryParam(key, URLEncoder.encode(params.getFirst(key), StandardCharsets.UTF_8));
             }
         }
 
diff --git a/app/server/appsmith-server/src/test/java/com/appsmith/server/services/ActionServiceTest.java b/app/server/appsmith-server/src/test/java/com/appsmith/server/services/ActionServiceTest.java
index 2bfa767d4c..ab8e6c91eb 100644
--- a/app/server/appsmith-server/src/test/java/com/appsmith/server/services/ActionServiceTest.java
+++ b/app/server/appsmith-server/src/test/java/com/appsmith/server/services/ActionServiceTest.java
@@ -3,6 +3,8 @@ package com.appsmith.server.services;
 import com.appsmith.external.models.ActionConfiguration;
 import com.appsmith.external.models.ActionExecutionResult;
 import com.appsmith.external.models.Property;
+import com.appsmith.external.pluginExceptions.AppsmithPluginError;
+import com.appsmith.external.pluginExceptions.AppsmithPluginException;
 import com.appsmith.external.plugins.PluginExecutor;
 import com.appsmith.server.constants.FieldName;
 import com.appsmith.server.domains.Action;
@@ -301,6 +303,39 @@ public class ActionServiceTest {
                 .verifyComplete();
     }
 
+    @Test
+    @WithUserDetails(value = "api_user")
+    public void testActionExecuteErrorResponse() {
+        ActionExecutionResult mockResult = new ActionExecutionResult();
+        mockResult.setIsExecutionSuccess(true);
+        mockResult.setBody("response-body");
+
+        Action action = new Action();
+        ActionConfiguration actionConfiguration = new ActionConfiguration();
+        actionConfiguration.setHeaders(List.of(
+                new Property("random-header-key", "random-header-value"),
+                new Property("", "")
+        ));
+        action.setActionConfiguration(actionConfiguration);
+
+        ExecuteActionDTO executeActionDTO = new ExecuteActionDTO();
+        executeActionDTO.setAction(action);
+
+        AppsmithPluginException pluginException = new AppsmithPluginException(AppsmithPluginError.PLUGIN_ERROR);
+        Mockito.when(pluginExecutorHelper.getPluginExecutor(Mockito.any())).thenReturn(Mono.just(pluginExecutor));
+        Mockito.when(pluginExecutor.execute(Mockito.any(), Mockito.any(), Mockito.any())).thenReturn(Mono.error(pluginException));
+        Mockito.when(pluginExecutor.datasourceCreate(Mockito.any())).thenReturn(Mono.empty());
+
+        Mono<ActionExecutionResult> executionResultMono = actionService.executeAction(executeActionDTO);
+
+        StepVerifier.create(executionResultMono)
+                .assertNext(result -> {
+                    assertThat(result.getIsExecutionSuccess()).isFalse();
+                    assertThat(result.getStatusCode()).isEqualTo(pluginException.getAppErrorCode().toString());
+                })
+                .verifyComplete();
+    }
+
     private void executeAndAssertAction(ExecuteActionDTO executeActionDTO, ActionConfiguration actionConfiguration, ActionExecutionResult mockResult) {
 
         Mono<ActionExecutionResult> actionExecutionResultMono = executeAction(executeActionDTO, actionConfiguration, mockResult);