In a waiver situation, what must the breach party demonstrate?

In a waiver situation, the breach party must demonstrate knowledge of the breach and the right to proceed. This means that the party acknowledges that a breach has occurred but chooses to overlook it or consent to proceed with the contract despite the breach. The concept of waiver is rooted in the principle that a party can voluntarily relinquish a known right, which in this case is the right to enforce the contract strictly. Demonstrating knowledge is crucial because it establishes that the party is aware of the breach and is choosing not to act on it, thus signifying a form of acceptance of the breach by continuing under the terms of the contract.

The other options do not accurately reflect the requirements for establishing a waiver. Intent to enforce the contract aggressively does not relate to waiver; rather, it's about pursuing claims. Willingness to renegotiate contract terms suggests a proactive approach to altering the agreement, not merely accepting breaches. Similarly, an agreement on how to manage performance indicates a collaborative effort to resolve issues rather than addressing acceptance of a breach that has already occurred. Thus, the focus remains on the breach party's knowledge of the breach and the right to proceed with the contract, making it the correct aspect to demonstrate in a waiver situation.