Answer:
French diplomats demanded large bribes and loans.
Step-by-step explanation:
"The XYZ Affair" was the political incident between the United States and France that resulted in a Quasi-war between the two nations. This was mainly due to the issues between which was resolved after a peace convention was held in 1800.
The United States had concluded what was the Jay Treaty (1794) with Great Britain which greatly infuriated France. As a result, France decided to order the seizure of all US merchant ships. The United States then sent three envoys to try to talk it out and come to a peace treaty between the two nations. But outrageously, the French diplomats issues certain terms for an agreement, among them is the provision of a low-interest loan to France, pay a large amount of bribe to the French Foreign Minister, the Marquis de Talleyrand.
Thus, an agreement was unable to be made between the two countries because of the large bribes and loans demanded by the French diplomats.