Diplomacy

The diplomacy window is accessed either in the game menu or via the diplomacy table in the main hall of Castle Loren.

At a certain point during Chapter 1, you will receive a diplomatic missive which introduces you to the diplomatic possibilities.

Every few weeks you'll get a diplomatic missive regarding one of two ongoing conflicts (Shedu vs. Lordemar, Alfheimr vs. The Empire). You need to choose between one or the other, which will award you with a reputation level with the faction you choose. When you reach level 3 with any of them, a new character will be recruited into your party.

Note that you'll only get 4 missives for each conflict, so it is not possible to gain all reputation levels with every faction.

Diplomatic missives are not time critical. This means that you can delay your choice as long as you wish.