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First walk through and children living in basement without egress windows

I have been a landlord for a year now and did my first walk through to inspect the property for safety/damage. It is written in the lease that they are now allowed to have anyone living in the basement due to windows not meeting egress standards. The tenant has moved her kids down there anyways. How do I address this issue? Is there an official form I need to send them since I saw this? Thank you for your help in advance!
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Fix or quit notice.  If they don't fix the issue you move to evict.
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