I would demand the same thing: no direct talks until settlement activity stops. If PM Netanyahu stated the goal of peace, of a demilitarized Palestinian state alongside Israel, settlement activity is contrary to that. Though not equivalent and much worse, terrorism and incitement by Fatah, the PA or any other elements in the West Bank renders direct peace talks impossible.
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from the article: U.S.: Israel pledged not to build in Ramat Shlomo for two years