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In WCF the preferred way to handle custom error/exception states is through creating an object that can be serialized containing the fault information, and assigning it against an OperationContractAttribute decorated method using the FaultContractAttribute. Assigning a FaultContractAttribute provides an alternate object type to pass back to the client. The default action on the client is to raise a FaultException<MyCustomFault> which allows for the returned fault to be returned in the generic type.
