1) don't see what you mean by "force the XNotify dialog"
2) this *should* work :
Code:
alias -l block {
  var %1 $+($1,$iif($2,. $2),$iif($3,. $3)) ,%2 $dialog(Xnotify) ,%3 $hsh(Xnotify)
  if $isid return $iif($hget(%3,%1),$v1,$false)
  else .hadd -m %3 %1 $iif(!$hget(%3,%1) && (($2) || ($3)),$($ $+ $0,2),$1) | $iif(!%2,echo -a $iif($3,$3 on $2 ( $1 ),$iif($2,$2 on $1)) $iif(!%2,Un-) $+ Blocked from XNotify)
}


But there is something i don't understand in your code, in the /echo part you were using $iif(!$v1,Un-), and actually in your code, the last comparaison was in the $iif itself so if the $iif is true, $v1 is $true in all case.

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