This paper investigates the dynamic performance of microgrids under various fault conditions, specifically focusing on the impacts of droop control techniques on stability. It emphasizes the necessity for microgrids to maintain functionality in island mode during faults and analyzes the performance of controllers via MATLAB/Simulink simulations. Key findings include the behavior of microgrid stability during fault-triggered incidents, particularly the effects of adding non-linear loads and the management of real/reactive power in response to disturbances.